You are trying to help your friend or family member. He is down-and-out. He cannot find work. You know (or think) he is a hard worker. It makes so much sense. It is easy and comfortable. You know your friend well – you will work well together. Or will you?
Your brother (sister, son, daughter, uncle, father …) may firstly not have the right experience, personality or qualification. And even if they have, be careful to appoint them. Personal and work relationships differ. And very few people can keep them separate. If your sister does not perform well, and you reprimand her – how will she take it? Will she be professional enough to understand that you are her boss and that it is your responsibility to ensure that employees perform as required? And how will her attitude be towards you after work hours? Will she still be unhappy and do things to affect your personal relationship?
How will your father act when you have to retrench him, or lower his salary, or not give him a raise at the end of the year? Many people will say that they can handle these situations. BUT THEY LIE! Only in exceptional cases will they really accept these, without affecting the family bond. And I for one, am not willing to take this risk.
It is human nature that friends and family, due to your personal relationship, will most likely “abuse” the employer-employee relationship. They may ask for time off, they may not be willing to work late when required, they may gossip about you at family gatherings. Most employees complain (or to be blunt – bitch) about their employers. “The boss is sooo unreasonable – sooo unfair – do not pay me what I am really worth – make stupid decisions.. etc.”
My advice is – NEVER appoint a friend or family member in your business. Friendship and family are TOO important to put at risk. There are many capable people out there – appoint one of them. Separate friendship and business.
Running a business is a BIG challenge! Mixing family and business INCREASES the challenge. Are you really up to it? If you are – I hope you have hair on your teeth – because you WILL need it.