Systems
The E-Myth Revisited
Michael E. Gerber
Why most small businesses fail — and how systems save them.
Recommended for: I'm Not Sure If I Should Hire Someone
All Challenges
Employees
I'm Not Sure If I Should Hire Someone
Think through the problem, cost, and capacity before hiring.
The Challenge
Think through the problem, cost, and capacity before hiring.
Why This Happens
- Overloaded but unsure of cost
- No clear role
- Fear of payroll
Questions to Ask Yourself
- 1.What problem will this person solve?
- 2.What work will they own?
- 3.Can the business afford the full employment cost?
- 4.What happens if we don't hire?
What to Do First
1
Fill out the Hiring Decision Worksheet.
2
Calculate full employment cost.
3
Talk it through with a mentor.
Step-by-Step Solution
- 1
Define the problem.
- 2
Define the work owned.
- 3
Calculate current cost.
- 4
Estimate time saved.
- 5
Estimate capacity or revenue created.
- 6
Confirm affordability.
- 7
Decide.
Three Levels of Solutions
Quick Win
Do this today
Write what this person would own.
Build the System
Next 30 days
Complete the Hiring Decision Worksheet with real numbers.
Long-Term Transformation
Where you're headed
Hiring decisions that strengthen the business and its people.
Lessons From the Pass It On Library
From Profit First
Make sure the business can afford it.
Framework: Allocate first: Profit, Owner Pay, Taxes, Operating Expenses.
From The E-Myth Revisited
Hire into a defined system.
Framework: Technician (does the work) · Manager (creates order) · Entrepreneur (builds the future)
Pass It On Action
Calculate the full employment cost.
Practical Tool
Hiring Decision Worksheet
Fill it in here, then download or print. Your answers stay on your device.
Your Action Plans
Sign in to check off steps and save progress to My Growth Plan. Sign in
7-Day Action Plan
- Day 1 — Identify the problem: write down exactly how “I'm Not Sure If I Should Hire Someone” shows up in your business.
- Day 2 — Review the numbers: gather the facts, figures, and examples connected to this challenge.
- Day 3 — Find the root cause: answer “What problem will this person solve?”
- Day 4 — Choose one change: Fill out the Hiring Decision Worksheet.
- Day 5 — Assign responsibility: name ONE owner, a deadline, and the expected result.
- Day 6 — Implement: Calculate full employment cost.
- Day 7 — Review what happened: what worked, what didn’t, and what you’ll do next week.
30-Day Action Plan
Week 1 — Diagnose
- Answer: What problem will this person solve?
- Answer: What work will they own?
- Answer: Can the business afford the full employment cost?
- Complete the 7-Day Action Plan.
Week 2 — Build
- Complete the Hiring Decision Worksheet with real numbers.
- Define the problem.
- Define the work owned.
- Calculate current cost.
- Estimate time saved.
Week 3 — Implement
- Estimate capacity or revenue created.
- Confirm affordability.
- Decide.
- Train the people involved and assign owners.
Week 4 — Measure & Improve
- Compare results to where you started.
- Write one lesson learned.
- Adjust the process.
- Share what you learned with someone in the fellowship.
Biblical Principles
Wisdom for the journey — encouraging stewardship, integrity, and service, never a promise of guaranteed success.
#42 · Money Management
Plan before spending
Luke 14:28–30
#51 · Employees
Pay workers fairly
Luke 10:7
#73 · Growth
Count the cost of expansion
Luke 14:28
Related Challenges
Recommended Books
Approved Bookshelf resources related to this challenge.
Cash Flow
Profit First
Mike Michalowicz
A simple discipline for cash flow and actually keeping profit.
Recommended for: I'm Not Sure If I Should Hire Someone
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