Hiring Your First Contractors with Amy Kim

In this episode of 'Never Too Early,' host Lauren Ipsen from Decibel engages with Amy Kim, the Chief Revenue Officer at A.Team, discussing the strategic use of contractors for early-stage startups. Amy provides insights into the evolving gig economy, emphasizing the paradigm shift towards output-driven organizations in a rapidly changing workforce landscape. She discusses the benefits of hiring contractors, such as flexibility and cost efficiency, while addressing common concerns and misconceptions about their investment and reliability. 

The conversation also covers A.Team's rigorous vetting process for high-caliber talent, differences in contractor versus full-time employee compensation, and the importance of cultural fit and regular feedback. Amy shares her perspective on when it is optimal to hire contractors, stressing function over company stage, and encourages founders to overcome traditional stigmas associated with contract work as they build agile, impact-focused teams.

00:00 Introduction to Never Too Early

00:19 Meet Amy Kim: CRO at The A.Team

02:42 Question One: What are the pros and cons of hiring contractors versus ful time employees? Amy and Lauren address the negative association that usually comes with hiring contractors as opposed to full time employees and why it shouldn’t be taken at face value.

06:31 Question Two: Do I vet contractors the same as I do full time employees? Amy talks through not only how the A.Team vets talent that they let into their contract community, but also ways to ensure that your company is also choosing the right contractor.

13:20 Question Three: What does compensation typically look like for contractors versus full time employees? Lauren talks about how contractors can often charge a premium on the front end, or actually be more expensive from a cash perspective than hiring a full time employee, but overall, are ultimately cheaper for the organization.

15:33 Question Four: When is it less optimal to engage contractors? Amy talks about how it’s actually less important to focus on the stage of the company for contractor support and more important to focus on the specialty or function.

17:25 Question Five: How do I ensure that contractors feel properly incentivized? The biggest reason contractors fail is when they are not properly incentivized or treated as a player on the field. Amy talks about the importance of frequent check-ins and aligning incentives early in the contract engagement process.

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