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Mastering Contractor Management: Essential Strategies for Business Success
Episode 11st July 2024 • Operationally Sound Podcast • Amalie Media LLC
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Join Sarah Wood from Sarah Wood Communication as we delve into the essentials of successfully hiring and managing contractors in your business. This episode covers everything you need to build a thriving team, from vetting processes and effective communication strategies to task management and handling client and contractor expectations.

Key Topics Covered:

  1. Vetting Process: Learn about effective vetting techniques, including using test projects to find the right fit.
  2. Communication: Establishing clear communication channels such as Slack or Front to ensure seamless interactions.
  3. Processes: Setting up robust onboarding and task management systems to streamline workflows and assignments.
  4. Managing Expectations: Techniques for managing both contractor and client expectations to maintain project clarity and satisfaction.
  5. Handling Issues: Proactive approaches to address and resolve potential challenges that may arise with contractors.

Building a successful team starts with solid infrastructure and effective processes. Tune in to gain insights that will help you optimize your contractor relationships and business operations.

Do you have a question you'd like Amalie to answer on the Operationally Sound Podcast?

Fill out this form: https://forms.gle/72hQuJHmDRtznHod7

Follow the links to connect with Sarah:

Website: https://www.sarahwoodcommunication.com/

LinkedIn: https://www.linkedin.com/in/sarah-wood-682513a1/

Transcripts

Amalie Shaffer:

All right.

Amalie Shaffer:

Welcome, Sarah.

Amalie Shaffer:

Thank you so much for agreeing to be on the podcast today.

Amalie Shaffer:

If you wouldn't mind just taking a moment to introduce yourself,

Amalie Shaffer:

and then we will jump right in.

Sarah Wood:

Thanks for having me.

Sarah Wood:

I'm happy to be here today.

Sarah Wood:

My name is Sarah Wood.

Sarah Wood:

I own Sarah Wood Communication, which is a boutique communication agency.

Sarah Wood:

We work exclusively with purpose driven organizations who are

Sarah Wood:

trying to make the world a better place doesn't want that, right?

Sarah Wood:

They do the good work and we help them tell their stories.

Sarah Wood:

We talk about what they do.

Sarah Wood:

We do it consistently, strategically and in a way that reaches and

Sarah Wood:

resonates with their target audiences.

Amalie Shaffer:

Awesome.

Amalie Shaffer:

Well, thanks so much for being here.

Amalie Shaffer:

And I would just love to, if you can just kind of tell me what you have going

Amalie Shaffer:

on, what issue or question you have, and then for the next 30 minutes, we'll just

Amalie Shaffer:

work through it and you know, whatever is my, I will do my best to answer and

Amalie Shaffer:

work through everything that you have.

Sarah Wood:

So I've been in business for a little more than eight years.

Sarah Wood:

I'm a solopreneur, so it's just me, myself and I over here, but I have found that

Sarah Wood:

many clients sometimes want complimentary services to what I offer, right?

Sarah Wood:

They might want someone to help with graphic design or video services,

Sarah Wood:

web design things, marketing things that are related to communication

Sarah Wood:

and that they want assistance with, but I don't directly do.

Sarah Wood:

And so I have come to the point where I think that I need to 10 99 some

Sarah Wood:

people to do some subcontracting.

Sarah Wood:

And my question is.

Sarah Wood:

How do I go about doing that?

Sarah Wood:

I want to make sure that, you know, I'm doing it correctly, legally,

Sarah Wood:

you know, on the up and up with the, with the taxes and all of that.

Sarah Wood:

So as someone who is a solopreneur and wants to tap into some external

Sarah Wood:

assistance, what's the best way for me to go about doing that?

Amalie Shaffer:

Okay.

Amalie Shaffer:

Yeah, definitely.

Amalie Shaffer:

So I want to say first that as far as on the financial side, I would

Amalie Shaffer:

recommend I'm not a bookkeeper or a CPA.

Amalie Shaffer:

So I do recommend, you know, consulting with them, but I can talk about how to

Amalie Shaffer:

set up the infrastructure for it first.

Amalie Shaffer:

And, you know, obviously there's going to be some budgeting.

Amalie Shaffer:

So when you start to look into hiring or bringing some some

Amalie Shaffer:

contractors on board, you're going to want to know what your budget is.

Amalie Shaffer:

And a lot of that will also be what the client's budget is.

Amalie Shaffer:

So it may be that you have a, I don't know, a database or something

Amalie Shaffer:

of people that you've given kind of approval to, and then, you know,

Amalie Shaffer:

they're sort of on call if you will.

Amalie Shaffer:

And then as you get those services more regularly.

Amalie Shaffer:

You may work with them more often and they become a more

Amalie Shaffer:

regular part of your business.

Amalie Shaffer:

But I would say as far as financially, the first thing you do want to

Amalie Shaffer:

do is whenever you are making the proposal to the client, you're going

Amalie Shaffer:

to want to take into consideration.

Amalie Shaffer:

You're going to want to know who you're thinking about hiring to bring them in.

Amalie Shaffer:

So you can budge that into the cost of the client project.

Amalie Shaffer:

So that's really important.

Amalie Shaffer:

And then whether that's, I mean, I recommend like that 100 percent of the fee

Amalie Shaffer:

would be included in the client project.

Amalie Shaffer:

But if you're not going to do that, obviously, you have to work that out

Amalie Shaffer:

with, you know, on the financial side.

Amalie Shaffer:

So, the 1st thing I want to talk about is having processes for communicating, with

Amalie Shaffer:

the contractors and Like delegating work.

Amalie Shaffer:

So if we go the route of let me quickly talk about something like Upwork

Amalie Shaffer:

where you would go into Upwork, you would have an account and you could

Amalie Shaffer:

hire contractors through there and they would be paid through Upwork.

Amalie Shaffer:

Now, there are fees associated with that.

Amalie Shaffer:

So you may want to look into that.

Amalie Shaffer:

I will say when you're looking for someone that is.

Amalie Shaffer:

easy because you have a whole list of people who are looking for work on there

Amalie Shaffer:

so it does make that easier, but it does cost right because there's a fee.

Amalie Shaffer:

There's like fees associated with paying them, they pay fees on their side.

Amalie Shaffer:

And in order to take someone off of work and like bring them.

Amalie Shaffer:

Take your working relationship off of Upwork.

Amalie Shaffer:

There is a larger fee that you have to pay.

Amalie Shaffer:

So there are some things associated with doing that.

Amalie Shaffer:

It's not necessarily a bad way, but just So you know that that that could

Amalie Shaffer:

be, you know, something to look into, but what I want to focus on is like,

Amalie Shaffer:

if you're gonna have the contractors yourself, you're going to have them fill

Amalie Shaffer:

out the W 9s and you're going to send them the 1099s at the end of the year.

Amalie Shaffer:

So the first thing I would do is think about how you want

Amalie Shaffer:

to communicate with them.

Amalie Shaffer:

So that might look like something like Slack or there's also a software

Amalie Shaffer:

called Front, which is really great.

Amalie Shaffer:

I use that with a client.

Amalie Shaffer:

It's a paid software.

Amalie Shaffer:

But, and Slack is free up to a certain point in certain features.

Amalie Shaffer:

I recommend having a separate communication tool than your

Amalie Shaffer:

project management tool.

Amalie Shaffer:

If one goes down, you still have a way to communicate with

Amalie Shaffer:

people to get things done.

Amalie Shaffer:

So that's the first thing.

Amalie Shaffer:

How are you going to communicate with them?

Amalie Shaffer:

I don't recommend communicating via email because that can

Amalie Shaffer:

easily become very chaotic.

Amalie Shaffer:

I don't know about you, but I prefer to get out of email

Amalie Shaffer:

because it just is, it's a lot.

Amalie Shaffer:

I get a lot of emails every day, right?

Amalie Shaffer:

So do you have anything like that now, like that you might use with

Amalie Shaffer:

clients or anything like that?

Sarah Wood:

I do not.

Sarah Wood:

I do communicate via email.

Sarah Wood:

Okay.

Amalie Shaffer:

That's fine.

Amalie Shaffer:

I mean, it's only you, so it's totally fine.

Sarah Wood:

Yeah, I, I have used Slack with different clients

Sarah Wood:

because that's what they wanted to use but I don't have a particular

Sarah Wood:

communication software at this point.

Sarah Wood:

I will say it would, in this situation, it would be me directly hiring people.

Sarah Wood:

It would be, well, I guess hiring is a, a Kind of catch all term here.

Sarah Wood:

Like I know the people,

Sarah Wood:

I know people who do these things.

Sarah Wood:

I have,

Sarah Wood:

you know, personal connections.

Sarah Wood:

It's, you know, a known quantity type situation.

Sarah Wood:

And so it would be, you know, I'm getting the W nine, I'm issuing the 10 99.

Sarah Wood:

That was part of my question is like, you know, what do I need

Sarah Wood:

to be aware of related to that?

Sarah Wood:

Like what paperwork do I need?

Sarah Wood:

That type of question.

Sarah Wood:

As far as communication goes, Like I said, I am primarily using email and

Sarah Wood:

I'm not working in high volume, right?

Sarah Wood:

We're a boutique agency.

Sarah Wood:

We're pretty exclusive.

Sarah Wood:

So we don't have huge amounts of clients at the same time.

Sarah Wood:

So I think that makes it a little less difficult to track than someone

Sarah Wood:

who's kind of has a roster 20 deep, you know, that they're trying to

Sarah Wood:

keep managed all at the same time.

Sarah Wood:

So it's a little more streamlined than that.

Amalie Shaffer:

Yeah, I still recommend having some way to communicate with them

Amalie Shaffer:

in like when there are things going on as far as if you're trying to have a

Amalie Shaffer:

discussion about a client or something in real time versus email because the

Amalie Shaffer:

thread is a little easier to read and slack is free so it's a really easy

Amalie Shaffer:

way to all I'm saying is you want to establish the communication process

Amalie Shaffer:

first however you want to do that.

Amalie Shaffer:

Then You want to think about how you're going to assign things.

Amalie Shaffer:

So are you going to have a Google doc where you give it to them or a Google

Amalie Shaffer:

spreadsheet or something like that?

Amalie Shaffer:

Or do you have a project management tool?

Amalie Shaffer:

So do you have one?

Amalie Shaffer:

Do you have a project management tool that you use to manage your projects now?

Sarah Wood:

We're using Google Docs at this point

Amalie Shaffer:

Okay.

Amalie Shaffer:

And you know what, and that might work to a certain point.

Amalie Shaffer:

And that when you, if you get to the place where you're like, you know what,

Amalie Shaffer:

we need something a little bit more involved, you could always go to that.

Amalie Shaffer:

I do have recommend having a place where you can

Amalie Shaffer:

collaborate track due dates, and maybe that looks like a spreadsheet

Amalie Shaffer:

to start, but you want to document whatever that process is.

Amalie Shaffer:

So say like, okay, let's say you're going to use email to

Amalie Shaffer:

communicate, you'll receive an email from me with task instructions.

Amalie Shaffer:

Like you want to write out this process, right?

Amalie Shaffer:

You want to write out like how it's going to happen.

Amalie Shaffer:

You know, expectation is that when I give this to you on a Monday, it's due by the

Amalie Shaffer:

next Monday at noon, whatever that might be, or you have 10 days to finish this.

Amalie Shaffer:

You know And you want to just have that written out.

Amalie Shaffer:

So you have some sort of base place to start from.

Amalie Shaffer:

And it can always change as you start bringing people on.

Amalie Shaffer:

You can like work out the kinks of all that, but communication is one two

Amalie Shaffer:

is how you're going to assign them.

Amalie Shaffer:

Well, let me see.

Amalie Shaffer:

Number two is onboarding.

Amalie Shaffer:

So the onboarding is going to be okay.

Amalie Shaffer:

What information do you need from them?

Amalie Shaffer:

Maybe you have them fill out a form.

Amalie Shaffer:

A Google form where you can track all their information.

Amalie Shaffer:

So like, what's your phone number?

Amalie Shaffer:

What's your email address?

Amalie Shaffer:

because, and then send them the W 9 right away, get that filled out.

Amalie Shaffer:

So you'll need to save that because that information will

Amalie Shaffer:

need to go to your bookkeeper.

Amalie Shaffer:

If you have it or for yourself, if you do your own books and then for tax time

Amalie Shaffer:

as well, because then the 10 99 gets issued to those people prior to tax time.

Amalie Shaffer:

And it's, You'll want to Google this, but I'm almost positive

Amalie Shaffer:

if it's, if you pay someone more than $600, I do it for everyone.

Amalie Shaffer:

Even if I paid someone $20, I would do it just to To cover my ass, you know okay.

Amalie Shaffer:

So communication tool onboarding, you'll want to, I recommend kind of writing out

Amalie Shaffer:

having a rough process in place prior to even bringing anyone on for the onboarding

Amalie Shaffer:

and for the task management, just so you have something in place that when

Amalie Shaffer:

they come on, it just doesn't feel like.

Amalie Shaffer:

You know, everyone's everywhere.

Amalie Shaffer:

Right.

Amalie Shaffer:

You have a way to kind of streamline it.

Amalie Shaffer:

It sounds like your production process is already streamlined.

Amalie Shaffer:

So now it's just going to be communicating with these people and making sure

Amalie Shaffer:

that the expectations are set.

Amalie Shaffer:

During the onboarding process.

Amalie Shaffer:

You'll need to have a contract or an agreement.

Amalie Shaffer:

So depending on who you hire, if they have their own business, they may

Amalie Shaffer:

have a contract Or you can produce a contract for a subcontractor.

Amalie Shaffer:

So I typically do that.

Amalie Shaffer:

I mean, I'm just more of a control freak, so I prefer to be it on

Amalie Shaffer:

my side, you know, whatever.

Amalie Shaffer:

My recommendation would be to work with a lawyer for that, draw up a

Amalie Shaffer:

subcontract agreement and in there, in my experience, I wrote it up

Amalie Shaffer:

explaining that this subcontractor is agreeing to work using my processes.

Amalie Shaffer:

So the thing about a contractor is they can really work whenever they want.

Amalie Shaffer:

Like you're not going to tell the plumber that comes in to your house

Amalie Shaffer:

to fix something, how to do it.

Amalie Shaffer:

They're going to tell you when they're available, they're going

Amalie Shaffer:

to come do their thing and leave.

Amalie Shaffer:

So when you, and again, consult a lawyer, I'm not a lawyer.

Amalie Shaffer:

I'm just saying what I've done in my experience is I got the

Amalie Shaffer:

agreement from them that they were okay to use my processes.

Amalie Shaffer:

And if they're not, then you can decide whether you want to work with them or not.

Amalie Shaffer:

But for me, I brought my subcontractors into my project management tool.

Amalie Shaffer:

They still work on their own time.

Amalie Shaffer:

Like I don't tell them that they have to be available, you know, 8am till 5pm.

Amalie Shaffer:

But I do ask that they communicate with me through Slack and we do

Amalie Shaffer:

tasks and projects in ClickUp.

Amalie Shaffer:

So they agree to that.

Amalie Shaffer:

Um, any questions?

Sarah Wood:

I just have.

Sarah Wood:

Yeah, I did have some follow up questions about that because I have a

Sarah Wood:

contract that I use, you know, a lot of times I also use client contracts

Sarah Wood:

because they have a standard contract.

Sarah Wood:

But I do have a standard contract that I use with clients.

Sarah Wood:

I don't currently have one for subcontractors because I haven't

Sarah Wood:

used one up until this point, I have made direct referrals to clients

Sarah Wood:

and kind of just pass them off.

Sarah Wood:

And then they had their own contract and agreement.

Sarah Wood:

But I have found over time that there are a lot of clients who just want to

Sarah Wood:

pay one person, and they just want you to be their primary point of contact.

Sarah Wood:

Right.

Sarah Wood:

And so they just want you to, yeah, they just want you to kind of handle

Sarah Wood:

things that are kind of, they see under the umbrella of communications.

Sarah Wood:

Right.

Sarah Wood:

And So is there are there specific things that need to be in that contract that

Sarah Wood:

are different and I'm not asking legally.

Sarah Wood:

I'm just kind of asking in your experience.

Sarah Wood:

Are there specific things that need to be in the contract with a

Sarah Wood:

subcontractor to protect both of us that would not necessarily be something

Sarah Wood:

I would think about with a client?

Amalie Shaffer:

Yeah.

Amalie Shaffer:

So non disclosure agreement.

Amalie Shaffer:

I don't know if you have that with your clients, but that's going to

Amalie Shaffer:

be important with subcontractors.

Amalie Shaffer:

What I mentioned about agreeing to use your processes The understanding that they

Amalie Shaffer:

pay their own taxes because they're 1099.

Amalie Shaffer:

So they take care of that.

Amalie Shaffer:

So there's usually like a blurb in there about that, how and when they get paid you

Amalie Shaffer:

know, through if they have an invoicing system on their side, or do you need

Amalie Shaffer:

to establish some sort of pay process?

Amalie Shaffer:

So you know, are you going to pay them through like Zelle or, I mean,

Amalie Shaffer:

I wouldn't necessarily recommend that only because with an invoice an

Amalie Shaffer:

invoice system, it's easier to track.

Amalie Shaffer:

Now, depending on your bookkeeping software, so like QuickBooks,

Amalie Shaffer:

you can do invoicing like Xero I think there's some invoicing and

Amalie Shaffer:

you can request payments as well.

Amalie Shaffer:

So there may be a way, maybe you want to, I don't know if you have a

Amalie Shaffer:

bookkeeper, do you have a bookkeeper?

Amalie Shaffer:

Do you know?

Amalie Shaffer:

Okay.

Amalie Shaffer:

If you ever need one, let me know.

Amalie Shaffer:

I have a great one.

Amalie Shaffer:

But.

Amalie Shaffer:

Whatever your bookkeeping software is, there's likely a way to request payments.

Amalie Shaffer:

You could just, you know, do it that way, but they may have, depending

Amalie Shaffer:

on the structure of their business, they may have an invoicing and

Amalie Shaffer:

they may just send you the invoice.

Amalie Shaffer:

So you'll be able to work that out.

Amalie Shaffer:

So that would need to be stated how and when they're going to get paid.

Amalie Shaffer:

So that'll be in there.

Amalie Shaffer:

Yeah.

Amalie Shaffer:

That beginning part of it where it describes that you're hiring the

Amalie Shaffer:

subcontractor because you're under the under, you know, understanding that

Amalie Shaffer:

they can complete the project that you need or whatever that verbiage up top

Amalie Shaffer:

you're just going to switch it around a little bit because you're hiring the

Amalie Shaffer:

subcontractor to work on the project.

Amalie Shaffer:

Recommend.

Amalie Shaffer:

So if let's say you find two graphic designers that you really like and

Amalie Shaffer:

you're like, you know what, I'm just going to work with them for for a while.

Amalie Shaffer:

You can, again, consult a lawyer, write a contract that's sort of open, right?

Amalie Shaffer:

Like, meaning it'll say something like projects will be given to the contractor

Amalie Shaffer:

in this way and like you'll do statements of work for new projects, right?

Amalie Shaffer:

So you'll have an, a contract, an agreement, and then statements of work

Amalie Shaffer:

for each project that they participate on.

Amalie Shaffer:

So the agreement will be more open so that you can always go back to them.

Amalie Shaffer:

So you're not constantly doing new.

Amalie Shaffer:

Contracts or agreements, you're doing statements of work.

Amalie Shaffer:

So the statement of work.

Amalie Shaffer:

And another reason why I recommend like having the communication tool is one

Amalie Shaffer:

of the things I did with contractors in the past is I would put in a Slack

Amalie Shaffer:

message, the project, and then they would send a message in response

Amalie Shaffer:

saying, I agree, I will take this on.

Amalie Shaffer:

And, you know, I agree to the due date.

Amalie Shaffer:

So now I had a record and not that, I mean, you can do this in email

Amalie Shaffer:

too, but now you have a record of they've agreed to this project.

Amalie Shaffer:

But having something signed, so in however you send your agreements, just

Amalie Shaffer:

having a statement of work that you would send to them each time you have

Amalie Shaffer:

a new project so that they know here's the start and end date, here's your role

Amalie Shaffer:

in it, here's what you're going to be paid for it, I'll, you know, pay you

Amalie Shaffer:

50 percent upfront and 50 percent when it's done, however, whatever you work

Amalie Shaffer:

that out in, that's what I would have in the statement of work, and then you do

Amalie Shaffer:

a statement of work each time you bring them on to a new project, that way you

Amalie Shaffer:

have something really clear in place, but that agreement would just be sort of open,

Amalie Shaffer:

for you to be able to reach out to them whenever.

Amalie Shaffer:

Is that good?

Amalie Shaffer:

Any questions about that?

Sarah Wood:

I'm completely different.

Sarah Wood:

I'm completely switching, switching up here a little bit.

Sarah Wood:

Still related to 1099s.

Sarah Wood:

Have you found in your experience that most people just do a direct

Sarah Wood:

cost or do people add on like a little bit of a project management fee when

Sarah Wood:

they're bringing on subcontractors?

Amalie Shaffer:

Yes.

Amalie Shaffer:

Putting on a fee.

Amalie Shaffer:

Yeah.

Amalie Shaffer:

You could call it a service fee.

Amalie Shaffer:

You could call it a management fee and call whatever you want.

Amalie Shaffer:

But yeah, because it takes time to communicate with the person, get them

Amalie Shaffer:

in, make sure they have everything they need, get the logins right.

Amalie Shaffer:

That's another reason why I recommend having one solid place

Amalie Shaffer:

because I'm imagining, let's say it's a web designer or whatever.

Amalie Shaffer:

They're going to need the logins and they're going to need, you know, here's

Amalie Shaffer:

this and that, like one place to have all that information, whatever that might look

Amalie Shaffer:

like for you and establishing that before you bring anyone on is that is important.

Amalie Shaffer:

Let's lay the foundation first, before you bring anyone on, but I

Amalie Shaffer:

would absolutely add a fee to it.

Amalie Shaffer:

Now you don't even have to, it doesn't have to be a line item fee.

Amalie Shaffer:

You could just up your prices a little bit if you wanted to.

Amalie Shaffer:

I mean, because think about it too.

Amalie Shaffer:

Let's say you get click up to manage projects and

Amalie Shaffer:

whatever, say you pay for that.

Amalie Shaffer:

Well, that's a software fee.

Amalie Shaffer:

I'm just going off my experience.

Amalie Shaffer:

That's a software fee that you want to incorporate into how much you

Amalie Shaffer:

charge for your projects, right?

Amalie Shaffer:

So my hourly rate includes all the things I pay for to run my business,

Amalie Shaffer:

plus what I'm being paid an hour, right?

Amalie Shaffer:

Like they're all expenses.

Amalie Shaffer:

I have to take that all into consideration when I'm figuring

Amalie Shaffer:

out what my hourly rate is.

Amalie Shaffer:

So yours may go up as you have contractors.

Amalie Shaffer:

So you do want to include that.

Amalie Shaffer:

Now, if you want to make it, if you still want to up your prices, but

Amalie Shaffer:

add a line item, you can do that too.

Amalie Shaffer:

I think it's probably with new clients, probably easier just

Amalie Shaffer:

to up your prices in my opinion.

Sarah Wood:

Right.

Sarah Wood:

And is there like a standard for Like a percentage on a dollar

Sarah Wood:

amount that typically is associated with this, or it's varies widely.

Amalie Shaffer:

So I think it varies.

Amalie Shaffer:

And I think it's going to depend on your process.

Amalie Shaffer:

So how much time is it going to take, you know, and I think you may have to

Amalie Shaffer:

kind of do it and see what happens.

Amalie Shaffer:

I think you're likely.

Amalie Shaffer:

Not you personally, this is just humans in general.

Amalie Shaffer:

We underestimate how long things take.

Amalie Shaffer:

I think you're likely going to underestimate how long it's

Amalie Shaffer:

going to take to manage people.

Amalie Shaffer:

So I think you should go with a number and in six months, do another review.

Amalie Shaffer:

Like it's, it's going to be important for you to track your time.

Amalie Shaffer:

It's going to be tedious, but I think it's important to track your

Amalie Shaffer:

time and your contractor's time.

Amalie Shaffer:

They don't need to, I'm not saying that they have to like be in with a

Amalie Shaffer:

start stop, but they need to give you times of how long something takes.

Amalie Shaffer:

because you need to have an idea of, okay, what am I paying for?

Amalie Shaffer:

Can I find someone that's more efficient and I'm not paying

Amalie Shaffer:

as, you know what I'm saying?

Amalie Shaffer:

Like, you're going to want to know times and how long things take, but for you

Amalie Shaffer:

personally, you're going to want to know how long it takes to manage people.

Amalie Shaffer:

So when you're sitting down doing the onboarding process,

Amalie Shaffer:

how long does that take?

Amalie Shaffer:

How long does it take to onboard one contractor?

Amalie Shaffer:

How long does it take to assign them their, their first project.

Amalie Shaffer:

Likely that'll take longer than their third, fourth, fifth, and so on.

Amalie Shaffer:

Right.

Amalie Shaffer:

How long does it take to manage them after the first project?

Amalie Shaffer:

Like, am I checking in on them a lot?

Amalie Shaffer:

The other reason why you want to know that is because let's

Amalie Shaffer:

say you bring on two designers.

Amalie Shaffer:

One takes is really hands off, does their thing.

Amalie Shaffer:

They're great, whatever.

Amalie Shaffer:

But you bring someone else on and you're like having to talk to them every day.

Amalie Shaffer:

Hey, how's this going?

Amalie Shaffer:

I got to check in with you.

Amalie Shaffer:

Well, that's a time suck.

Amalie Shaffer:

Are you pay?

Amalie Shaffer:

Are you charging your clients enough to account for this

Amalie Shaffer:

time that you're spending.

Amalie Shaffer:

So all of that is hours that you need to know what you're, how long

Amalie Shaffer:

it's taking to do those things.

Amalie Shaffer:

Right.

Amalie Shaffer:

What was the other, I think, did you have another question?

Amalie Shaffer:

I'm sorry, I got really involved in that answer.

Sarah Wood:

I think most of it.

Sarah Wood:

I mean, I think, like I said, the people that I'm considering bringing on are

Sarah Wood:

kind of like known quantities to me.

Sarah Wood:

So that feels a little safer.

Sarah Wood:

I guess I will go ahead and ask this, even though I'm hoping

Sarah Wood:

not to run into this situation because they are known quantities.

Sarah Wood:

If you find yourself in a situation where someone who you subcontracted is

Sarah Wood:

just not doing what they're supposed to be doing, or the quality of the work

Sarah Wood:

is not where you anticipated it being at, what, what would you suggest doing?

Amalie Shaffer:

Okay.

Amalie Shaffer:

So you can fire someone.

Amalie Shaffer:

Well, it depends on your contract.

Amalie Shaffer:

So your agreement will likely say something like you have to

Amalie Shaffer:

give 14 days or 30 days notes.

Amalie Shaffer:

That's like typical between 14 and 30 days.

Amalie Shaffer:

You could make it 60.

Amalie Shaffer:

I that's a little long for me.

Amalie Shaffer:

I'm, I'm a 30 day person as far as like being able to let someone go.

Amalie Shaffer:

But they, on the other hand also have 30 days, they can give you

Amalie Shaffer:

notice and leave 30 days, but they could really just leave whenever.

Amalie Shaffer:

So you do have to be aware of that.

Amalie Shaffer:

Right.

Amalie Shaffer:

And but in regards to your contract I would do 30 days, 30 days notice.

Amalie Shaffer:

So with that in mind, you would, you know, give them 30 days.

Amalie Shaffer:

Prior to that point my recommendation is try to work with the person.

Amalie Shaffer:

Get on a call.

Amalie Shaffer:

So being remote, and I'm assuming you're going to be remote

Amalie Shaffer:

with all these people, right?

Amalie Shaffer:

It is really easy to get in like our own silos of working.

Amalie Shaffer:

I recommend getting on a call.

Amalie Shaffer:

Hey, I noticed this is what's going on was there confusion about the instructions?

Amalie Shaffer:

Kind of be curious about it, find out, ask them questions.

Amalie Shaffer:

Was it just, they're not good, like, do they just not have the

Amalie Shaffer:

skill, or are they just not great at designing, or did they misunderstand?

Amalie Shaffer:

If it was a misunderstanding, let's say they, they got it wrong, they

Amalie Shaffer:

misunderstood the instructions, I'm likely to give them a chance.

Amalie Shaffer:

Especially if I just went through the effort of onboarding them.

Amalie Shaffer:

I just went through the effort of getting them a new project.

Amalie Shaffer:

Let me give them a chance and I may give them one, two projects

Amalie Shaffer:

just to see some, maybe it was just that was not their thing.

Amalie Shaffer:

That kind of, because you're also going to start to learn about the contractors.

Amalie Shaffer:

What are they good at?

Amalie Shaffer:

What are they not good at?

Amalie Shaffer:

Maybe one's good at like more floral design than a more like structure design.

Amalie Shaffer:

So, you know something like that.

Amalie Shaffer:

So then you're also going to get a feel for what they're good at.

Amalie Shaffer:

And so maybe then you just learn, okay, I'm just not going to give them,

Amalie Shaffer:

you know, a project if it's a bunch of flowers versus a bunch of boxes.

Amalie Shaffer:

I mean, I don't know, trying to, I'm trying to like, but

Amalie Shaffer:

you get what I'm saying.

Amalie Shaffer:

Or maybe they're just not great to work with, right?

Amalie Shaffer:

Either way.

Amalie Shaffer:

But let's say you don't know, and you want to give them another, so

Amalie Shaffer:

you want to get on a zoom call.

Amalie Shaffer:

I think it's really, or a video call.

Amalie Shaffer:

I think it's really important or a voice call that you get on with

Amalie Shaffer:

someone and explain not just through email, but through voice so that

Amalie Shaffer:

they can hear your tone or see your face and understand what's going on.

Amalie Shaffer:

Okay, now let's give them 30 days or 60 depending on how many projects

Amalie Shaffer:

you have assigned to them, but let's give them a couple of projects,

Amalie Shaffer:

maybe two to like redeem themselves.

Amalie Shaffer:

Can they do it?

Amalie Shaffer:

Let me try to give them a different project that's more leaning towards

Amalie Shaffer:

their style of design or whatever.

Sarah Wood:

Yeah.

Sarah Wood:

So the, important thing to remember is to make sure that in the contract there is an

Sarah Wood:

out if things are not going as expected.

Sarah Wood:

And then your recommendation is kind of to handle it like you would if

Sarah Wood:

you had an actual employee, right?

Sarah Wood:

And you needed to kind of talk to them about needing to improve

Sarah Wood:

their performance and whatnot.

Sarah Wood:

Specifically, I think specifically my concern is deadlines, right?

Sarah Wood:

If I am the one that's responsible, right?

Sarah Wood:

I'm the one responsible to the client, right?

Sarah Wood:

And maybe this is a fabulous, you know, they do fabulous work.

Sarah Wood:

It's really great, but maybe they're kind of like pushing on those

Sarah Wood:

deadlines or, or that, or it's making my life stressful, right?

Sarah Wood:

Because maybe, maybe I start giving them a little fake deadline to kind of

Sarah Wood:

try to make my life a little easier.

Sarah Wood:

But if that's someone and you kind of.

Sarah Wood:

And it becomes an issue with the client.

Sarah Wood:

Let's put it that way because I feel like I know how to handle it

Sarah Wood:

if it's an issue for me, right?

Sarah Wood:

But if it becomes an issue with the client and it's damaging your

Sarah Wood:

relationship with the client, how would you recommend handling that?

Amalie Shaffer:

So very similarly, again, I want to know, is it a personal issue?

Amalie Shaffer:

Are they going through something?

Amalie Shaffer:

I recommend having two of everything or three of every service.

Amalie Shaffer:

So you have some redundancy that you could pull someone in last minute.

Amalie Shaffer:

Like you need like that pinch hitter.

Amalie Shaffer:

Like, Hey, I got a problem.

Amalie Shaffer:

I need this done.

Amalie Shaffer:

because you're going to run into times where the contractor

Amalie Shaffer:

is not going to get done.

Amalie Shaffer:

They're not going to, something's going to happen.

Amalie Shaffer:

They're going to get sick or they're going to be away or they're going to be like,

Amalie Shaffer:

look, I can't finish this I got to go.

Amalie Shaffer:

You may even have people that just leave and ghost you, whatever.

Amalie Shaffer:

Not that you want that to happen, but it does happen.

Amalie Shaffer:

I would have redundancy in contractors so that you know, Hey, I got something

Amalie Shaffer:

at short notice, please let me know.

Amalie Shaffer:

And you may have to offer to pay, I'll pay you a little extra for the expedited

Amalie Shaffer:

project, but that all happens internally.

Amalie Shaffer:

Outfacing to the client.

Amalie Shaffer:

You're going to have to explain it.

Amalie Shaffer:

Look we'll have it by this day.

Amalie Shaffer:

You know, you're just going to have to reset the expectations with the client.

Amalie Shaffer:

And however, you know, you would normally do that for me.

Amalie Shaffer:

I'm likely going to get onto a call.

Amalie Shaffer:

So again, they can hear my voice, they can see my face and

Amalie Shaffer:

they know we got this there.

Amalie Shaffer:

You know, I just, there was.

Amalie Shaffer:

An emergency, whatever, we're going to get this done.

Amalie Shaffer:

Here it is.

Amalie Shaffer:

And then whatever they say, based on that, you can, you know, maybe

Amalie Shaffer:

they're like, well, I'm not paying until this is done or whatever,

Amalie Shaffer:

you know, whatever that might be.

Amalie Shaffer:

You can adjust that.

Amalie Shaffer:

But those are my recommendations.

Amalie Shaffer:

And for me, the first time someone's late on something, maybe even the second,

Amalie Shaffer:

especially in the beginning, I'm going to find out like, what's going on.

Amalie Shaffer:

Are you like, was this too much?

Amalie Shaffer:

Was this too big of a project?

Amalie Shaffer:

Should I give you smaller ones?

Amalie Shaffer:

because it's always good to have a variety of people that can do a variety of things.

Amalie Shaffer:

So maybe I have someone that can do a quick logo.

Amalie Shaffer:

But giving them like a webpage, they just don't have the time for that.

Amalie Shaffer:

Right.

Amalie Shaffer:

So you're going to want to know what your contractors are good at

Amalie Shaffer:

and you know, what they can handle.

Amalie Shaffer:

That's going to take time working with them to know that though.

Sarah Wood:

Right.

Sarah Wood:

And I mean, it sounds like, which was kind of my thing going in that it's

Sarah Wood:

really a relationship game, right?

Sarah Wood:

I mean, with your, both with your clients and with your subcontractors, right?

Sarah Wood:

The better the relationship you have, the more you know about them.

Sarah Wood:

The more, you know, how they communicate best and, and what style works best

Sarah Wood:

with them, you know, the better the working relationship is going to be the

Sarah Wood:

better results that you're going to get.

Amalie Shaffer:

Yeah.

Amalie Shaffer:

And once you have someone in, and let's say they go, they're doing really great.

Amalie Shaffer:

And then something happens.

Amalie Shaffer:

It's worth human to human to figure out what's happening.

Amalie Shaffer:

Something obviously what's going on, like, right.

Amalie Shaffer:

You know what happened?

Amalie Shaffer:

I have someone as backup.

Amalie Shaffer:

I can bring them in.

Amalie Shaffer:

Yeah.

Amalie Shaffer:

Versus just like letting them go.

Amalie Shaffer:

I don't, that's me personally.

Amalie Shaffer:

I think some people probably just let people go and they just wash

Amalie Shaffer:

their hands of them, but that's just not my way of doing it.

Amalie Shaffer:

I prefer to be, you know, in long relationships with my contractors.

Amalie Shaffer:

I have contractors that I've been working with for like six years.

Amalie Shaffer:

Like I like to build that because they're reliable and I can go to them when I

Amalie Shaffer:

need them and they can help, you know, and I know them, they know my business.

Amalie Shaffer:

They know my processes.

Amalie Shaffer:

It's, it's really, to me, it's important to build that.

Amalie Shaffer:

But you also have to set the boundary, like, okay, this is the

Amalie Shaffer:

third time, like, you gotta go.

Amalie Shaffer:

You know what I'm saying?

Amalie Shaffer:

But after you give them the chance.

Amalie Shaffer:

I have one more thing I want to add.

Amalie Shaffer:

I know that you mentioned that the people that you're planning on hiring

Amalie Shaffer:

are people, you know, I will say, I think it is really important to give

Amalie Shaffer:

contractors a test project before hiring them, whether it's a proofreader,

Amalie Shaffer:

it's a designer, it's whatever.

Amalie Shaffer:

I recommend a test project and you pay them for it.

Amalie Shaffer:

You don't just ask them for free.

Amalie Shaffer:

You pay them.

Amalie Shaffer:

Hey, here is the description of the design I'm looking for

Amalie Shaffer:

and then you give them a limit.

Amalie Shaffer:

Look, I'll pay you for three hours of time.

Amalie Shaffer:

Here's the description, provide this thing like a proofreader might, you would

Amalie Shaffer:

give them, Hey, here's a whole thing.

Amalie Shaffer:

Proofread this, I'll pay you up to three hours.

Amalie Shaffer:

They can take as much time as they want.

Amalie Shaffer:

That way you kind of establish like a baseline of, of their work.

Amalie Shaffer:

I always do test projects with contractors and it really helps

Amalie Shaffer:

me see one, what kind of questions that they come back with.

Amalie Shaffer:

Did they understand?

Amalie Shaffer:

Did they misunderstand?

Amalie Shaffer:

How are they communicating with me?

Amalie Shaffer:

Were they on time?

Amalie Shaffer:

Did they have to ask for an extension on a test project or whatever?

Amalie Shaffer:

It gives me a lot of information about just based off of one thing.

Sarah Wood:

Right.

Sarah Wood:

And it's some of the intangibles as well, too, right?

Sarah Wood:

Like, what's the vibe when I'm working with this person?

Sarah Wood:

Do I feel comfortable with this?

Sarah Wood:

Yeah, I was just thinking about that, that I was like, there are some things

Sarah Wood:

that I could actually use for my own business that it might be helpful to

Sarah Wood:

kind of test run people on, right?

Sarah Wood:

Yeah.

Sarah Wood:

And test run them on something, you know, that's also going

Sarah Wood:

to be of value to me, right?

Sarah Wood:

And value to my business and my efforts at like kind of communicating

Sarah Wood:

and marketing about myself.

Sarah Wood:

Yeah.

Amalie Shaffer:

Yeah.

Amalie Shaffer:

because you may hire them to do something in your business.

Amalie Shaffer:

So right.

Amalie Shaffer:

You know, you need to know what, and you want to know what you're getting into.

Amalie Shaffer:

Like if you ask them to do flowers and they give you squares, like we

Amalie Shaffer:

got a problem, you know what I mean?

Amalie Shaffer:

Like something isn't right.

Amalie Shaffer:

You know?

Amalie Shaffer:

But yeah.

Amalie Shaffer:

So any other questions?

Sarah Wood:

I guess just, is there anything else kind of related to this that

Sarah Wood:

you think would be helpful for me to know?

Sarah Wood:

because as, as someone who's going to do it for the first time, right, I've

Sarah Wood:

been a business owner for a long time, but I've been a solopreneur, right?

Sarah Wood:

So I've been, it's a very different than kind of working with a stable of

Sarah Wood:

subcontractors or even one subcontractor.

Sarah Wood:

And then of course, like obviously You know, bringing on actual full time

Sarah Wood:

employees would be a whole other step.

Sarah Wood:

But is there anything that you just wish you had known before you

Sarah Wood:

brought on your first contractor that you think would be helpful?

Amalie Shaffer:

It takes time to manage people, and even though

Amalie Shaffer:

they're subcontractors, you still have to communicate with them.

Amalie Shaffer:

And like I said, you'll likely underestimate how long it's going

Amalie Shaffer:

to take even the best people require some communication, right?

Amalie Shaffer:

I also think one thing you may want to consider, especially because of

Amalie Shaffer:

the nature of what you're doing, you may have, like, a designer that needs

Amalie Shaffer:

to work with the website person.

Amalie Shaffer:

So again, I'm going to go back to the Slack idea.

Amalie Shaffer:

If you have everyone in Slack, I would not be the middle person.

Amalie Shaffer:

I would want to see the back and forth.

Amalie Shaffer:

So I know what's going on, but it takes a lot of energy for you to be like, what's

Amalie Shaffer:

the, the designer saying, okay, over here to the, you know, to the web designer.

Amalie Shaffer:

Well, the designer said, buh.

Amalie Shaffer:

And then you gotta go back to them and you're going back like that.

Amalie Shaffer:

No, please, by all means, let's not do that.

Amalie Shaffer:

That is crazy.

Amalie Shaffer:

And you're likely to lose track of things, communication.

Amalie Shaffer:

You're going to lose details.

Amalie Shaffer:

Things are going to get missed.

Amalie Shaffer:

Not a good idea.

Amalie Shaffer:

I would allow them to communicate even though they're all subcontractors.

Amalie Shaffer:

So something I do for one of my clients is each project

Amalie Shaffer:

gets its own channel in Slack.

Amalie Shaffer:

So everyone working on that project is in that channel and can communicate.

Amalie Shaffer:

Some of the messages don't apply to them, so they can ignore

Amalie Shaffer:

those, but some of them do.

Amalie Shaffer:

That's going to make your life a lot easier, bringing those people together.

Amalie Shaffer:

I would not keep them separate because that's going to be a lot of time on

Amalie Shaffer:

your hands trying to meet those needs.

Amalie Shaffer:

Yeah, I think so figuring out how you want to communicate with the people about

Amalie Shaffer:

the projects, create your onboarding process, even if it's just written out

Amalie Shaffer:

on a Google doc, and that's all you have, creating your delegation process or task

Amalie Shaffer:

process and task management, how are you going to track this, make sure people are

Amalie Shaffer:

getting things done on time, do you ask

Amalie Shaffer:

for an update at halfway point, like, Hey, how's it going?

Amalie Shaffer:

Are you going to be there?

Amalie Shaffer:

Like establish whatever that is for you.

Amalie Shaffer:

And that might change.

Amalie Shaffer:

Right.

Amalie Shaffer:

So it might change.

Amalie Shaffer:

And then in the onboarding process, that's like getting the agreement

Amalie Shaffer:

together and all of those things.

Amalie Shaffer:

And then test projects.

Amalie Shaffer:

I think that's everything we covered.

Amalie Shaffer:

I mean, there was a lot of other smaller details in there, but those

Amalie Shaffer:

were the kind of the main things.

Amalie Shaffer:

I mean, I think it's, it's, it's good to bring people on.

Amalie Shaffer:

It's going to change things for you because you're going to keep it in house.

Amalie Shaffer:

You're going to be able to say yes to a lot more things versus, Hey, no, but

Amalie Shaffer:

I got somebody you're going to have a little bit more control over the project.

Amalie Shaffer:

Yeah.

Amalie Shaffer:

And I just also just remain flexible.

Amalie Shaffer:

It's going to be a little rough in the beginning.

Amalie Shaffer:

Every time you hire someone new, there's always like an adjustment

Amalie Shaffer:

period, but especially like the first couple of contractors you're

Amalie Shaffer:

hiring just for yourself because you've not worked with them.

Amalie Shaffer:

Just give yourself some grace.

Amalie Shaffer:

It's going to take some time to get used to for them to get used

Amalie Shaffer:

to you just like a new client.

Amalie Shaffer:

It's really the same kind of relationship, but just give yourself the time to adjust.

Amalie Shaffer:

And having the processes in place first will really help you with that.

Sarah Wood:

Great.

Sarah Wood:

This has been really helpful.

Sarah Wood:

It's nice to just be able to like talk it through with someone and

Sarah Wood:

I've managed people before, but you know, when I was a supervisor

Sarah Wood:

before I was like in house, right?

Sarah Wood:

So it's different when it's your own business and there's

Sarah Wood:

just different regulations and things that you're involved in

Sarah Wood:

that you would not necessarily.

Amalie Shaffer:

One more thing I'll mention is I would likely make the

Amalie Shaffer:

due date the day before, or two days before it's actually due to the client.

Amalie Shaffer:

So if it's due, like on a Friday, I'm going to tell the

Amalie Shaffer:

contractor like Wednesday, EOD.

Amalie Shaffer:

Yeah.

Amalie Shaffer:

Okay.

Amalie Shaffer:

Awesome.

Sarah Wood:

And also because you just wanted to be able to have

Sarah Wood:

time to do a, a review, right?

Amalie Shaffer:

Put everything together, review it.

Amalie Shaffer:

Yeah.

Amalie Shaffer:

If you find a mistake, you know, something like that.

Amalie Shaffer:

Yeah.

Amalie Shaffer:

Absolutely.

Amalie Shaffer:

Yeah.

Amalie Shaffer:

Awesome.

Amalie Shaffer:

Well, thank you so much for being here.

Amalie Shaffer:

I'm so grateful.

Amalie Shaffer:

I really appreciate it.

Amalie Shaffer:

And I look forward to connecting again.

Sarah Wood:

Yeah.

Sarah Wood:

Thank you.

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