The journey of building a startup is like assembling a puzzle that grows more complex with every piece you add. In the beginning, you’re driven by the spark of an idea, the passion of a small team, and the relentless pursuit of building a product that could change the world. But as your startup evolves, each new hire is another puzzle piece, contributing not just to the growth of the business but to its very foundation. From a scrappy team of five to a full-fledged company of over 100 employees, the roles and responsibilities shift dramatically, and understanding who to hire at each stage of growth is the key to scaling effectively.
1 to 5 employees
In the early days, when your team is no larger than a handful of people, it’s all about focus. At 1 to 5 employees, the Lead Developer or Lead Designer becomes your cornerstone. This role drives the core product, whether it’s software or a physical item, and sets the stage for everything that follows. In this phase, you’re building the engine that will power your future growth. The founder’s strengths heavily influence this choice—if the founder has a technical background, a product lead might be more critical; if not, a lead developer steps in to turn vision into reality. It’s a delicate balance, but one that sets the tone for the next stage.
5 to 10 employees
As you reach 5 to 10 employees, the focus shifts from product-building to finding product-market fit. A Head of Marketing or a Head of Brand becomes essential. Their role is to articulate your product’s story, define the brand, and begin the process of scaling awareness. Generalists—those who can wear multiple hats—shine in this stage. While you’re still small enough for a few people to manage a wide range of tasks, each one is laying the foundation for future success. Every visual, piece of copy, and marketing campaign speaks to who you are and what you stand for. Get this right, and you’re set to take off; get it wrong, and scaling becomes an uphill battle.
10 to 20 employees
When your team grows to 10 to 20 employees, your business starts to take on a life of its own. This is where sales becomes paramount. A Head of Sales or a Head of Business Development ensures you’re no longer just building for the sake of it—you’re building with a market in mind, testing KPIs, and proving your business model. If you’ve secured Series A funding, you now have more resources, but expectations rise, too. Your hires during this phase are focused on making your business profitable and aligning with investor expectations.
20 to 50 employees
At 20 to 50 employees, things get more operational. You’ll need a Head of Finance or an Operations Manager—someone to ensure the growing complexity of your business doesn’t overwhelm your team. Financial planning, budgeting, and managing cash flow become critical. Without this role, scaling becomes risky. Money has been raised or is in the process of being raised, and how you handle it will determine whether your company can thrive during rapid expansion. The operations lead keeps the business running smoothly, avoiding breakdowns as you add more people and processes.
50 to 100 employees
By the time you reach 50 to 100 employees, you’re on the cusp of Series B and the scaling becomes exponential. The need for a full-time HR Manager or Operations Lead becomes undeniable. People are your greatest asset at this stage, and keeping them engaged, motivated, and aligned with the company’s culture is crucial. Hiring and retention take center stage as the team continues to grow and diversify. At this size, it’s no longer feasible for business heads to collectively manage HR—they need dedicated support to avoid chaos.
100+ employees
Finally, at 100+ employees, your company has matured. Specialization becomes key. A Business Intelligence Analyst or Data Analyst ensures that every department is using data-driven insights to scale efficiently. No longer just about product or sales, now it’s about optimizing every part of the business. Data helps steer decisions, avoiding costly missteps, and ensuring each team is pulling in the same direction.
The progression of hiring, from the first developer to specialized analysts, paints a picture of how businesses evolve from the raw energy of a startup to a structured, data-driven organization. Each stage brings new challenges, but with the right people in the right roles, you can navigate these transitions smoothly and successfully.