How Do Turnover Costs Impact Startups Differently?
Turnover costs can have a more pronounced impact on startups compared to established businesses. Startups often operate with limited resources and small teams, making each employee crucial to the companyâs success. High turnover can lead to:
Operational Delays: Key projects may be delayed due to the lack of skilled personnel. Financial Strain: Recruitment and training expenses can quickly add up, straining the startupâs budget. Loss of Knowledge: Departing employees take valuable knowledge and experience with them.
Entrepreneurs must be proactive in addressing turnover to ensure the sustainability of their startup.