In this presidential election year, there is enormous focus on adding jobs to the economy. Many of those jobs come via new businesses – start up companies. Pretty much all of these start up companies are small. If we are successful in providing the environment in which these new businesses thrive, then you may very well have an opportunity to work in a small company – but should you?
Here are six reasons you might want to work in a small company.
Casual work environment.
In larger companies, HR has usually decided on a dress code to which all employees must adhere. Dress tends to be more casual – even ranging to shorts, t-shirts and sandals in smaller companies. There is more stress on work done and ability than looking the part. There is often less of a company reputation at stake too.
Cooler perks.
Small companies can offer up some unusual work perks. One of my sons worked for a company with about 30 employees. They worked in an old warehouse building and the employer provided free beer onsite (courtesy of one of the clients), a pool table to use on breaks and a TV room for discussions.
Growth with the company.
It’s called “Getting in on the ground floor”. If you start with a company and stick with it, helping it grow, you have a better shot at landing an executive level position as the company grows.
I started at a mid-sized company and grew with it as it became a large company. The people who started when the company was small (about 10 years before I came) were 20 steps ahead of the rest of us in landing the director, vice president and higher positions.
More recognition.
Because there are far fewer employees, pretty much everything you do (or don’t do!) is recognized by someone. You probably have more opportunity to work directly with the founder and CEO than you would at a larger company.
Marissa Mayer (now CEO of Yahoo) started at Google when it was a baby and worked directly with the founders. She grew with that company.
More opportunity to develop multiple skills.
To survive in a small company, you have to be ready to do what is needed, even if that isn’t your particular specialty. If a new employee needs training, you get to do it – even if you suck at teaching. If hardware breaks but you are a software guy, guess what? You get to fix it anyway.
One of my son’s is a senior software engineer at a 7 person company that does middle ware for websites that want to offer personalized products. He is on call for anything and everything related to the computers, servers and software.
Less time spent jumping through the hoops.
In a large company, you will be following written policies and procedures on pretty much every type of work activity, from interviewing a potential new hire to talking to the clients. You are expected to know the policies and to follow them. If you don’t you are subject to termination and/or personal lawsuits.
In some large companies, computer security policies dictate that you don’t go outside the company network (i.e. to the internet) without express permission. In order to get that permission (and get the computer restrictions lifted that keep you from getting to the web), you have to weave your way through multiple levels of management and present a case as to why you need that access to do your job.
Of course, working at a large company has benefits as well – paid training, business travel, possibly better benefits, ability to really specialize in what you do and etc.
Which is better for you in the long run? I guess that depends. Some small businesses are less stable than their big brothers. Some people are more comfortable in an environment with more structure. But, if you can sign on to a company in it’s start up phase and help it grow, there can be significant benefits – especially if the company offers stock ownership and really takes off!
Do you prefer working in a small company?
I currently work at a small company and I’m loving it. Can’t beat the casual work environment and not having to jump through hoops to actually get things accomplished. That kind of freedom just doesn’t exist in a large company where everything requires approval. Website design change? – Need approval! Modify text? Approval! Hehe.
Thanks for stopping by and sharing. I hear you – even in a mid sized company there are lots of rules and regs.
There are definitely benefits to working for smaller institutions. I have seen first hand how one can flourish (or fail) based on the fit of the organization for his or her personality. I remember when I was a part of a very large organization, and I saw someone have trouble. I told her that the problem may be the fit rather than with the organization or with her. She thought the advice was perfect for how she felt at the time.
That was a sound observation and one many people that never worked outside a large organization might not be capable of making.
I’ve never worked any really small. I think on the whole I prefer bigger ones – more opportunities to move, good benefits, etc..
There are advantages (and disadvantages) to working in any company, no matter what the size. Some large companies are better to work in than others too.
I worked in a small company for a few years, while I enjoyed the casual atmosphere and the unusual perks, I felt that options to grow were limited. Your Google example is one in millions, most of the time, there is only need for one supervisor, and the others stay below. Some of my friends also got fired when the company hit a rough patch or went bankrupt. I’d say you have to like and believe in what they do or sell and then hope for the best!
Good points all. One of my sons got laid off from a small company when an expected client sale was cancelled. Luckily his skills allowed him to step right into another position.
Great points Marie. I worked for a small business while in college and it was great. As long as you got your job done they really did not care about what you dressed like or when you came or left. My wife and I have our own small business. Our goal is to in the near future be able to hire a few people and the small company mindset is one we both definitely have.
I’m sure you guys will be great bosses when the time comes. Good luck.
There is a big danger in getting involved with a start-up. Unless the key person involved has done it before, there are bound to be a lot of bumps and growing pains along the way. And, there is also a tendency for employees to be stretched too thin, as there isn’t always enough money to fully staff a company just starting out efficiently. For every Facebook or Google, there are tons of failed businesses (and not just in the tech sector). Not every business will end up with millionaire secretaries the way it ended up at Microsoft
It’s also a personality thing when it comes to this issue. Some people need to have a rigid environment and structure while others can handle the casual environment. Some folks need to have their egos stroked while others are content being a nameless cog in the machine (as so many put it).
Eric, thanks for expanding on the down side of small businesses. I know they can be precarious – and I imagine they can be terrible places to work if there are factors such as not enough help, family members who get moved ahead before you and etc.
I’m at a really big company, and have never worked somewhere small. I have considered it, but I don’t even know where I would start or how I could fit in. I am a finance guy, and small companies don’t need someone like me to plan out their financial strategic vision.
Hmmm, my brother-in-law has been a CFO for several not too big companies, but I don’t know too much about the situation. It sounds like he went in to set them straight on making financial decisions and on record keeping.
I now work for a small company, and I definitely love it. I like our unusual work perks & also the casual work environment where we can always talk with the CEO and discuss various subjects with regards to our work. I also get rockstar health care and I get paid more. Having a direct line to the CEO is awesome.. he’s a great mentor
Take full advantage – sounds great!
Great perspective. The first tendency would always be to aspire for a bigger company but you showed me a better view. As they say – some people keep hitting a different target not realizing that they already reached the peak.
I believe there are different fits – as far as company size – for different folks.
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