- World-changing tech and the prospect of riches have made startups an attractive career proposition.
- But most startups fail, and there’s no guarantee you’ll get rich, even as an early employee.
- Six HR experts told us the questions you should ask yourself before risking it all on a startup job.
Startups can often offer more exciting work than that of their established peers.
The thrill of rapid growth, the need to succeed, and more responsibility all act as big draws for employees. But they also inherently come with risk, since most startups fail.
The world of work has been turned upside down in the past two years, driven in part by the pandemic, in addition to a cohort of job-hopping Gen Zers. Many of them demand employers — who are already grappling with the Great Resignation and the anti-work movement — meet them on environmental, social, and governance issues and flexible working. It is here where nimble startups can shine.
If you’re considering joining a startup, there are a few things you should know when applying: Pay attention to the job description, expect little organizational structure, and ask yourself if you can afford the risk.
Insider asked six human-resources experts to provide their top tips on how to prepare for an interview and what to ask yourself and the startup before accepting a role.
1. Are you prepared for less structure?
“If you’re looking for structure, don’t join a startup,” Wendy McDougall, the CEO of the recruitment-tech business Firefish, said. “If you want a clear path to career progression, you’re looking in the wrong place.”
This can differ depending on the stage of the startup, but there will likely be few cookie-cutter routes into official leadership roles.
“If you are at the embryonic stage of joining a startup, there is a high probability you won’t even be given the luxury of a job description,” said Sarah Wisbey, the founder of the public-relations and communications-focused jobs site Luna Careers. “It may be you are given a function and hopefully are empowered to run it in its entirety.”
To become indispensable, a startup employee should be able to perform at all stages and be prepared to know everything about the business “from the ground up,” Wisbey said. The Luna Careers founder also said this could lead to imposter syndrome in some cases.
In the case where there is a job description, applicants should watch out for coded language.
“It might be subtler in some cases, but how a job description is written can convey a lot about an organization’s larger values and culture,” Samantha Lawrence, the senior vice president of people strategy at the tech-careers site Hired, said. The way a job description is written can indicate what it’s like to work at a startup — “and if you can see yourself thriving there,” she added.
2. Are you at the right level in your career?
Joining an early-stage startup can often mean heading up a team of one or being the first technical employee.
“For junior candidates, in particular, it is important to understand the structure of the tech team and then evaluate if your experience and seniority level will nevertheless allow you to work autonomously,” Aude Barral, the chief creative officer and cofounder of the developer-recruitment platform CodinGame, said.
There may be limited levels of supervision or chances to learn from a mentor, while a flexible management system could also mean working closely with the founders.
“For the right person who is not deterred by a steeper learning curve, there will be more opportunities to learn and develop and gain technical experience more rapidly,” Barral added.
3. Are you open to unconventional ways of working?
Work-life balance and a flexible working environment rank highly on many developers’ wish lists, Barral said, citing her platform’s research — “and it’s one of the many reasons why startups attract candidates.”
“Startups have been at the forefront of the flexible-working revolution,” Barral said. “Many startups offer a modern working environment with friendly and adapted offices and state-of-the-art tools that meet the expectations of today’s tech professionals.”
Startups offering flexible or fully remote roles can also be more inclusive, according to Paralympian Liz Johnson, a cofounder of The Ability People and Podium, a jobs and freelancer marketplace for those who cannot work because of a disability or impairment.
“For people with young children, disabilities, or other needs, this can make startups attractive employers,” she said.
“Traditional office spaces can be inaccessible for disabled workers, and parents might benefit from flexi-time in order to fit work around childcare,” she added. “So ask yourself what it is that you need to fulfill your potential at work, and check which startups offer the flexible policies you need.”
Despite unconventional ways of working, there may be more oversight and exposure because of a lack of a hierarchy.
“You definitely need to be self-motivated to thrive in a startup environment,” Theo Margolius, a cofounder and the chief operating officer of the tech-jobs site Otta, said.
“Because the team is small, it’s very clear what impact you have as an individual, and there is nowhere to hide or room for coasting,” he said. “You should join a startup if you want to work hard, progress fast, and learn lots.”
4. Will the startup care for your well-being?
“If there is little to no investment in well-being support and benefits, think twice before signing on the dotted line,” Wisbey said.
An indicator may be if they offer a working-abroad policy, she said, as this shows trust and to what extent the startup values work-life balance.
Candidates should also speak with the startup’s people or culture lead and ask what they are doing to support employees and why it’s important.
“Interview them twice as hard. You will spend more of your life at work than anywhere else,” Wisbey added. “Take it that seriously.”
It isn’t necessarily a red flag if a startup doesn’t have a dedicated “people person” or HR team, it just may not be at that stage yet, Otta’s Margolius said.
“A lot of startups do take really good care of their employees. This is because they want to attract the best people to their business, and they know they need to provide a great working environment to do that,” he said.
Margolius’ top tip for getting support is being “really proactive” in reaching out to a manager or the startup’s founders. “Most of the time, they will do their best to help,” he said.
When it comes to perks, established companies may offer health insurance or gym-membership discounts, while a startup may offer generous holiday allowances or
mindfulness
sessions.
“Explore and compare what’s on offer,” Podium’s Johnson said.
“Work perks might seem like trivial considerations, but your mental and physical health should always come above all else,” she said, adding: “Preventing burnout doesn’t require an all-expenses-paid yoga retreat, but it does require a company who cares and listens to what you need.”
5. Can you afford to run the risk?
Most startups fail, which makes working for one risky and uncertain.
“It’s important to find out if the business is venture-backed or bootstrapped,” Luna’s Wisbey said. “Do your digging on the company’s investor backing. Take into consideration that if they have reputable sponsors, they are more likely to have better growth.”
Weigh in whether the exposure to its people, networking opportunities, and lessons will “counterbalance the heart palpitations you will experience at each raise,” Wisbey added. For early employees, there’s also “huge potential” to earn a return through stock options.
6. Ask yourself why you should choose this startup above others?
Even early-stage startups should be able to convey a complete brand picture, including its mission, vision, and unique selling point. This helps candidates see why a startup is right for them.
“If this isn’t clear from a job description or site, this isn’t a good sign,” Hired’s Lawrence said. “It’s a larger red flag if a startup’s vision, mission, or culture seems confusing or unclear to you.”
Podium’s Johnson reiterated the need for a complete brand picture. Prospective employees should “interrogate a company’s manifesto” to make sure it aligns with their own values, she said.
“Where companies value inclusivity and equality, they are more likely to be diverse and, in turn, more likely to be successful,” she added. “Beyond that, inclusive companies will generally be more progressive, supportive, and collaborative places to work.”
But ultimately, follow your gut
“To succeed in a fast-paced startup environment, you need to be hungry for it,” Firefish’s McDougall said. “The biggest thrill of joining a business at this early stage is throwing yourself out of your comfort zone every single day.
“Does this idea excite you or scare you? Be honest with yourself, and this will tell you if joining a startup is the right move for you.”
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