Investments lead to hiring at many startups

According to some business experts, before a company begins hiring aggressively, many will first obtain an investment.

For instance, EverFi, an educational firm based in Washington, D.C., started the process of filling new positions after it was able to raise $10 million, the Washington Post reports. Many hiring experts say that the money-raising process, which often results from investments from venture capital funds, helps the economy move forward.

“As these start-ups grow and become more established companies, they become real engines of job growth at a really significant level,” said StartUpHire co-founder Steve Fredrick in an interview with the newspaper. “Often they’ll IPO and continue to add thousands and thousands of new employees as they grow.”

When firms grow at a quick pace, some will call in a hiring consultant to help figure out the best ways to handle the process. The Vancouver Sun reports that British Columbia-based Alliance Truss brought in a consultant to help deal with the 25 percent yearly growth in staff.