The Do's And Don'ts Of Hiring For A SaaS Company In The Growth Phase

The growth phase of your SaaS company is the most thrilling part of a startup development cycle. It is a testament to the sustainability of your business idea. It marks the point where your startup has gained traction in the market, and you can now focus on growing and expanding it to its full potential.

Typically, it also indicates that you have successfully established the skeleton of main teams, such as sales, deployment, and support. Now it is all about plugging in the gaps by hiring more candidates to keep pushing the growth forward. 

When your startup has successfully managed to reach its growth phase, you may encounter questions like, “When do I hire an AWS developer?” or, “Do I need more sales rep?” Well, this post is right for you! Read on to know more about the dos and don’ts of hiring for a SaaS company.

Best Practices of Hiring for a SaaS Company

Here are a few things to keep in mind while choosing a SaaS vendor:

1. Start With a Hiring Plan

Before you get interviewing and hiring candidates, it is crucial to be certain that you are hiring fitting roles and for a reason.

Thus, the first step of any hiring process involves strategizing. First, you need to take stock of your existing employees and identify the gaps in the process. The next part involves defining your current and future needs to identify the candidates and the roles you want in your company. Finally, you need to define and streamline how the hiring will take place.

2. Optimize Your Job Listings

You may now have clarity on the roles and responsibilities of a new recruit. It is time to convey the same to the interested candidates. Rather than sticking to a template job description, take the time to address the specific nature of the job.

Start by pinpointing the exact educational qualification and skills required by the company. Then, you can include the soft skills that you seek. Most importantly, clearly state the compensation that you can offer to the candidate.

3. Build and Develop Company Image

Companies thoroughly assess a candidate before getting them on board. Interestingly, candidates also do the same before applying or accepting the offer. If you are a startup, it is plausible that the candidates may not have even heard of you and would research your background.

Naturally, nobody would be keen on applying to a company that appears sketchy or has a negligible online presence. Hence, it is essential to establish an employer brand to win over the top talent. Apart from building a website (which is a must), you can also include social proof and reviews on websites like Glassdoor to help alleviate such concerns.

4. Skill vs. Attitude and Experience vs. Potential Debate

Theoretically, it would only make sense to choose a highly skilled and experienced individual for the company. However, it is essential to realize that attitude surpasses many of the regular hiring attributes in startup culture. You could have the best developer applying for the job, but if they are not a team player, it may emerge as an issue at a later point.

However, the debate surrounding experience is not all that clear. For this reason, it would be wise to hire a mixed pool of experienced professionals and those who show promise at a later stage. Ultimately, the candidate must be a culture fit for your organization.

What to Avoid While Recruiting for a SaaS Company

Here are some common hiring mistakes that a startup can make while looking for recruits:

1. Hiring Those Who Lack the Passion for YOUR Category of Services

Sure, the candidate may have a product management certification and may seem like an excellent addition to any talent pool. However, are they passionate about SaaS or your category of SaaS? 

A startup thrives on the passion of the team working in it and hiring someone who lacks this passion would be a suicide mission. Thus, find your tribe who can push your startup even in trying times than the ones who will jump the boat for an easy exit.

2. Recruiting Too Many People

Once your startup has reached a growth phase, it can trigger a hiring frenzy. Several founders believe that overhiring is the best way to fill all the positions and establish your business. However, it can result in hiring mistakes, and one must practice caution.

While it is crucial to hire for the current needs and future requirements, try to keep the anticipated need for the near future, say four months, rather than ten years down the line. Such a practice gives you enough time to stick to your budget while also staying in touch with other talents before getting them in your team. 

3. Incorrect Hiring and Keeping Them Around

Incorrect hiring is inevitable. It is especially true for when you are filling out the posts for new roles that you may not have hired for before. However, keeping the wrong people around for a longer period is unwise.

The moment you realize that you may have made a hiring mistake, it is time to act upon it quickly. An ill-fit could result in lost opportunities, customers, momentum, revenue, and even credibility. Hence, be unafraid to let such employees go.

4. Not Nurturing the Talent Pool

Whether it is potential employees or fresh recruits, it is crucial to nurture the talent pool as they will drive your startup’s growth. Building strong relationships with your employees will encourage them to spearhead the growth of your organization.


While hiring for your SaaS company in the growth phase can be exciting, do not skip on the little things that matter. Activities like training and onboarding may significantly help the new recruits to accept and fit into their desired roles. Make them feel welcome, and you can retain them in the long run.

When you are in the growth stage, it can be challenging to juggle money, product, and team. However, once you have streamlined the hiring, you are already on the road to success!

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