How to recruit competent people…for free…

Starting up a venture is challenging in many ways. Today I have been struggling with costs. One thing is to recruit good competent people, but how do you do it when you don’t have any money to offer? One way is to offer shares in the company and in that way future payment. This works if he or she have enough money to survive until then. If there really is no money at all, so not even future revenue works, then venture capital is a solution. This gives you enough money to recruit people to a low salary so they can survive and give them shares as an incentive to work. We haven’t decided to look for venture capital yet. As students we survive on government subsidize (we live in Sweden of course!) and our development is done by students doing their master thesis. But in the fall we will have costs and we have to find a solution. The closest one now is to find a partner to run a pilotproject that can finance the development. Another is to find a customer that is willing to take the risk and finance the development. None is simply done and both calls for skills in communication and sales.

~ by Andreas Sigurdsson on July 24, 2006.

One Response to “How to recruit competent people…for free…”

  1. Unfortunately, many companies have to make do with the staff they can afford. Know it from my own work experience.

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