Offering competitive salaries is crucial for a startup to compete with established companies for talent. Here are some reasons why:
1. Attraction of Talent: High-quality talent is often sought after by multiple companies. Offering a competitive salary can make your startup more appealing. 2. Retention: Employees are more likely to stay with a company that values their contribution through fair compensation. 3. Motivation: Competitive salaries can serve as a motivator for employees to perform better, leading to increased productivity.