As a business leader you’re constantly looking for ways to get more done, and in this economy we all understand the need financially to “do more with less.” 

When the time comes to hire, remember that this is the person you will count on to get those things done.  Let’s say that you have narrowed it down to a couple of great candidates, and one is more expensive than the other, but brings stronger domain knowledge, people skills, and leadership experience.  You might think “That candidate is overqualified for this role.  I shouldn’t hire him.  Besides, I really can’t afford to pay him the $5K or $10K more per year than I was planning to pay for that role.”

Stop.
Right.
There.

Now is the time that you’re setting the stage for future success or failure. 
Everything rises and falls on leadership. 

That additional labor cost to your business is *not* purely a business expense.  If you hire poorly you’re right.  It’s an expense,  and one you can ill afford.  If you hire well, and even go over your planned budget on payroll, it can be a significant investment in future growth.

If you think small in these short term decisions, you will regret it over the long haul.

Hire the best you can afford.  Hire team members who are smarter than you are, or who have better leadership skills than you do.  They can help you, if you trust them and let them lead.  You’ll never experience that if you take the “safe” and “affordable” route in hiring.

With the economy being in the state it’s in, there are lots of excellent candidates out there who can help you build better stuff, ship more product, sell more units, or lower your operational costs.  Look for those excellent candidates, and be willing to re-think your pay range when you uncover that star you’ve been looking for. 

Stretching yourself in this situation is just one part of raising your game.