Why SMB Hiring Mistakes Are So Expensive – (And How to Avoid Them) - The Costliest Hires I Ever Made Had Nothing to Do with Money Hiring mistakes are expensive—but the biggest cost isn’t just money. I

The Hiring Mistakes I Made (And What I Learned)

When I moved across the country to renovate an older home in the mountains of Colorado with my business partner, we soon realized we needed help—

fast. No water. No power. No heat beyond a portable propane heater. The clock was ticking, and this was not a two-person job.

We brought someone in who had experience and knew the trades inside and out. They said all the right things, and it was clear they knew what they were talking about. Given the urgency, we moved forward with the hire quickly.

Here’s what happened:

• They showed up mid-morning, left early, and spent more time talking than working.

• I realized that in the early hours, before they arrived, I was getting more done on my own than I did in two full days with help.

• Eventually, we had to make the tough call to move on, because the output wasn’t matching what was needed.

Then there was another hire:

• This person had the right skills on paper and presented themselves as highly capable.

• But in practice, I spent more time circling back to double-check work, fixing mistakes, and smoothing things over with customers than I would have if I did the job myself.

• The ability to think ahead, anticipate next steps, and problem-solve independently just wasn’t there.

And here’s the real kicker—I really liked these guys and still do. It wasn’t their fault.

I own it. I rushed the hire.

I didn’t lay out clear expectations. I didn’t ask the right questions. I didn’t take the time to really assess whether they were the right fit for what I actually needed—not just based on what they said they could do.

I made timing the priority, not the right fit.

The Hidden Cost of Hiring the Wrong Person

Hiring mistakes cost far more than a salary. The real damage comes in ways many SMB owners don’t calculate:

🔹 Time Wasted: Training, fixing mistakes, redoing work.

🔹 Energy Drain: Constant follow-up and micromanagement.

🔹 Reputation Damage: Customers notice mistakes—sometimes more than you do.

🔹 Lost Momentum: The wrong hire slows down growth, productivity, and team morale.

Most small business owners don’t realize that hiring the wrong person is one of the most expensive mistakes they can make—not just financially, but in every area of their business.

How SMB Owners Can Avoid These Hiring Mistakes - Hiring isn’t just about skills—it’s about making sure the person can actually do what the business needs.

Here’s how to avoid the most common mistakes:

✔ Define the Role Clearly Before Hiring – If you don’t know exactly what you need, how can you hire the right person?

✔ Ask Better Interview Questions – Go beyond what they say they can do—ask for examples, scenarios, and past experiences.

✔ Check References & Work Samples – Don’t just take their word for it—see their work in action.

✔ Don’t Hire in a Rush – Urgency leads to mistakes. A slower, structured hiring process saves time in the long run.

If I had slowed down and clarified what I actually needed in a hire, both of these situations could have been avoided. That’s why I now teach my clients a hiring framework that prevents costly mistakes before they happen.

Final Thoughts: A Smarter Way to Hire

I learned the hard way, but you don’t have to. Avoiding hiring mistakes isn’t luck—it’s a process. The right hiring strategy can mean the difference between a team that drives your business forward and one that holds it back.

📌 Need help improving your hiring process?

Let’s talk. I help small business owners avoid costly hiring mistakes by implementing proven hiring strategies that work.

📩 dotys@odysseyexecutivecoaching.com