HR Consulting for Startups
We Help You Build & Scale Your People Operations
Is your startup ready for employees? Do you already have employees and need some support?
My name is Jessica D. Winder, and one of my favorite services to offer is HR Consulting for Startups. I've worked with all kinds of startups over my 13-year HR career.
HR is what really allows you to build the foundation that lets your company scale with confidence.
I do it all, from creating compliant processes and compensation structures to shaping a culture that attracts top talent. I help founders design systems that impress investors, minimize risk, and empower teams to perform at their best.
If you’re serious about using HR as a growth engine for your company, I can help. Get in touch with me for a free consultation now!
Why Startups Need HR Consulting from Day One
There are many things a startup needs. One of the most important is HR consulting. Without it, there could be major issues.
The High Cost of HR Mistakes for Early-Stage Companies
Making the wrong hiring decision can cost you. According to research from CareerBuilder, companies can lose thousands of dollars, in fact. On average, the cost is around $15,000 to $17,000 per employee. This includes training, lost productivity, and the work involved in replacing them.
Additional costly mistakes are possible, too. These include misclassifying workers and poor documentation. It's also possible to miss payroll tax deadlines. These all come with potential penalties.
If you work with someone who understands this, however, things are different. All of these things will be taken care of quickly and affordably. Additionally, it helps you save money as well. When you compare the cost of mistakes to the cost of working with an HR consultant for startups, you can easily see the difference.
How Strategic HR Drives Startup Growth & Culture
Another thing startups should consider is creating a company culture. HR influences this, too. Recruitment, retention, productivity, and team alignment all are affected by hiring decisions.
Research from a Rutgers professor shows us something interesting. When companies use best HR practices, such as selection, training, compensation, and performance management, amazing things happen. They see lower turnover, higher productivity, and better financial performance.
There is other research that supports this, too. For instance, a study from MIT shows that a toxic corporate culture is a strong predictor of turnover. In other words, a toxic work environment pushes good employees to resign.
With the right start up HR consultancy, this can all be prevented.
Compliance Risks Startups Can’t Afford to Ignore
In addition to financial and cultural issues, startups also need to comply with federal, state, and local laws.
Federal laws to consider include:
Fair Labor Standards Act (FLSA.) - Standards for minimum wage, overtime, and record keeping
Occupational Safety and Health Act (OSHA.) - Standards for safe working conditions
Immigration Reform and Control Act (IRCA.) - Standards for work eligibility (Form I-9)
Equal Pay Act (EPA.) - Standards for wage discrimination based on sex
Some state laws to consider include:
Minimum wage and overtime laws
Workers compensation - required in most states when there is at least one employee
State anti-discrimination laws - depends on the state
Paid sick leave - required in some, but not all states
Local laws to consider include:
Local minimum wage ordinances - applies in certain areas like New York and San Francisco
Local paid sick time and safe time requirements
Local anti-discrimination protections, i.e. sexual orientation or gender identity
There are a number of real world examples of this non-compliance, too. For instance:
In 2013, OSHA fined Walmart $190,000 for not maintaining safe storage practices. Boxes were stacked in an unsafe way. This created fall and crushing hazards for staff. The company was also cited for repeat violations.
Another example is from California, where a construction company didn't classify staff correctly. They classified staff as independent contractors to avoid payroll taxes. In 2021, the company was audited and had to pay more than $500,000.
OSHA has a penalty schedule as of January 7, 2025. It includes:
Serious/Posting Requirement Violations - up to $16,550 per violation
Failure to Abate - up to $16,550 per day following the abatement date
Willful or Repeat Violations - up to $165,514 per violation
Keep in mind that even a small business with a single employee can be fined if OSHA rules aren't followed. These fines can add up quickly, and it can get very expensive.
Working with the right startup HR consultant, however, can ensure this doesn't happen to you.
Our HR Consulting Services for Startups
As you can see above, partnering with a start-up HR consultancy service has advantages. Our services can specifically help in the following ways:
Foundational HR Setup & People Strategy
We will help create documents such as employee handbooks, policies, and job classifications. We will also help you set up an onboarding framework and performance metrics. All of this will be in compliance with the law.
HR systems must match your business goals and the expectations of your investors. Additionally, each system must be customized specifically for a startup culture. A cookie-cutter approach won't work as well as a custom solution.
Recruitment, Hiring & Onboarding for Culture Fit
We also assist with creating a structured hiring process. This includes things like role scoping, creating job descriptions, sourcing, and interviewing.
In a startup, having alignment between culture and employer branding is imperative.
We have 30, 60, and 90-day plans, too, which are proven to work for retention.
Performance Management & Leadership Development
Another thing we help with is performance management and leadership development. We use a number of methods for this, including OKR settings and quarterly check-ins. We also offer 360-degree feedback and leadership coaching.
By doing this early in the process, it helps to avoid burnout and turnover. Here are some examples of leadership frameworks.
The Hersey–Blanchard Model is one such example. This allows leaders to adjust their style depending on team members’ competence and motivation. The leaders move between directing, coaching, supporting, and delegating.
Another example is OKR, or Objectives and Key Results. This offers more clarity in a fast-moving environment. It allows everyone to work on a measurable goal.
There are many others, as well. When working with startup HR consultants, we can choose the right framework for you.
HR Compliance Audits & Risk Management
We've already touched on the risks of not being compliant with laws, and we assist with that, too. We can help with worker classification, wage/hour compliance, and I-9 verification. We can also help ensure you comply with benefits.
We create written reports, action plans that are easy to follow, and a compliance calendar. By monitoring this, we help you prevent lawsuits and expensive fines.
Diversity, Equity & Inclusion (DEI) Strategy
Our team also helps with creating DEI policies. This includes inclusive hiring training and pay equity audits. There are a number of proof points based on McKinsey Research to share.
For instance, research looks at leadership teams that are gender and ethnically diverse. These companies are 39% more likely to have higher profits than those that are less diverse.
There are steps to take for embedding DEI in hiring as well as in onboarding and reviews. The first thing to do to embed DEI is to have a wider hiring funnel. Use inclusive job descriptions and interview panels that are also diverse. We also suggest using anonymized resumes to reduce bias.
Onboarding should also include your DEI values from the start. We can do this through mentoring, accessible materials, and clear expectations.
Finally, it's a good idea to include DEI into performance reviews for managers. This ensures that they are accountable. It also ensures that rewards and promotions are equitable.
HR Technology & Process Optimization
As an HR consultant for start ups, I also recommend HRIS/ATS tools. Examples are Gusto, BambooHR, and Lever.
I recommend these things because there are a lot of benefits. These include reduced admin time and improved accuracy in reports.
Change Management & Organizational Design
Finally, we offer assistance and support for change management and organizational design. For instance, we outline support for both restructures and mergers. We also can help with pivots and scaling teams.
We will also help you by describing role clarity and creating communication plans. We also assist with employee engagement strategies during big changes.
As a start up, you have very specific needs, and we can help facilitate this quickly. At the same time, we keep your company culture stable.
HR Advisory & Coaching for Founders
Another option we offer is advisory and coaching in HR. We advise founders on making decisions that are related to both people and culture.
When you work with us, you get one on one advisory calls and policy reviews. We also look at and critique hiring plans.
With this type of coaching, you will position yourself as a founder who fully understands important HR concepts. Additionally, you won't need a large internal team to do it.
Get Started with HR Consulting for Your Startup
Are you ready to get started with HR consulting for your startup? Contact us for a free consultation! We are looking forward to working with you.
Book Your Free Initial Consultation. Contact us today for a free consultation.
Project-Based HR Support for Targeted Initiatives
We also offer HR support on a project basis. This might include handbook creation, and a compliance audit. Additionally, we offer the redesign of your onboarding process and help with DEI rollout.
This includes a clear project timeline. Generally, it's a 2-6 week project.
With this style of targeted work, you get a higher ROI. Also, you won't have to pay a retainer to keep someone around if you don't need them.
Scalable HR Packages for Seed to Series B Startups
Finally, we offer scalable packages that are available in different tiers. Every package is customizable and includes hours/month, deliverables, and price points.
We offer services from the funding stage to the time you are ready to add more people and services. Of course, you always have the option to upgrade your package, downgrade, or pause. This is important as your business needs will shift as time goes by.
The Benefits of Partnering with an HR Consultant for Your Startup
We offer many benefits to those who choose to partner with Hidden Gem Career Coaching:
Save Founder Time & Reduce People-Related Errors
Approximately 81% of small business owners manage HR on their own. Out of those people, 34% have made an error with payroll.
When you work with us, you will have time to do more important things. These include sales, fundraising, and working on products and services you offer.
Leaders of startups have a lot of stress. When you work with startup HR consultants, this is one thing you won't have to worry about.
Build a Culture that Attracts and Retains Talent
When leading a startup, onboarding matters. Most new hires will know if they want to stay very quickly. Most, about 70%, know within the first month. Around 3 in 10 decide in the first week. This means you have about 44 days to offer an amazing onboarding experience.
A strong culture with intentional branding elevates the quality of applicants. For example, a company that highlights its values often sees a surge of candidates who have the same values.
Culture also plays a role. A new hire expects the culture they were told about during recruitment. If they don't have that, they will leave. We help you do this.
Reduce Legal & Compliance Risks
We also help business owners avoid potential fines and penalties. Having a documented process especially helps with EPLI coverage.
Insurance companies often base risk on a company's policies and procedures, including anti-discrimination. When compliance is clear, it will likely lead to lower EPLI premiums. Additionally, you can get better coverage and faster claims resolution.
Ultimately, this can save you from a costly lawsuit in the future.
Prepare for Funding Rounds and Investor Due Diligence
We also help by offering data points that investors want. These include the total number of employees, turnover, and comp structures.
According to JPMorgan, investors want to know how a company is evaluating staff. They also want to know how organizational culture is tracked.
Having clean HR records accelerates due diligence. It does this by giving investors immediate confidence in compliance. It also helps to ensure the workforce is stable.
When documentation is organized, it reduces red flags. Additionally, it shortens review timelines and avoids delays. This directly impacts success when making a deal with an investor.
Our Proven HR Consulting Process
Understanding our process is the key to success when working with our team.
Step 1 - Initial HR Assessment & Gap Analysis
We start by reviewing any current policies and processes. We also look at compliance and company culture.
Once this is done, we will deliver a report that prioritizes the steps we need to take and implement.
Our team also likes to speak to the founder and/or leadership to ensure we fully understand the strategy and goals you have.
Step 2 - Customized People Operations Roadmap
Once we have all of the information, we will create a roadmap. This includes information about your growth goals and funding plans.
We further improve the roadmap by adding milestones and KPIs. This helps to ensure success.
Because of common budgetary concerns, we use a phased approach here. This way, you can pay as you go.
Step 3 - Implementation & Ongoing Optimization
When we roll out the chosen initiatives, we do it hands-on. We review progress regularly, and if necessary, we make adjustments. When the time is right, our team will phase out, and your team can take over when you are ready.
Industries & Startup Sectors We Support
The best thing about working with Hidden Gem Career Coaching? We can work with any industry. We have worked in HR in all major sectors including:
Tech and Software
Startups
Human Resources
Legal
Healthcare
Retail
Biohazard Cleaning
Construction
Don't see your industry? Don't worry. We can still work with you.
Success Stories from Clients
We take our clients seriously, and Jessica. has always been an amazing talent in this field. She has worked as an HR executive at three companies during her career. She's always put talent and performance programs first. She even cut turnover by a whopping 25% with a minimum salary program.