In creating the modern workplace, for many companies, hiring —especially an entry-level or virtual assistant with inexperience—can seem like a cost-saving solution. After all, paying lower rates for an assistant who can handle administrative tasks remotely sounds like a smart financial move, right?
Unfortunately, what many businesses fail to realize is that onboarding and training inexperienced VAs come with hidden costs that can quickly outweigh any initial savings. From the time-intensive onboarding process to the ongoing mentoring required by senior staff, these hidden expenses can have a significant impact on productivity and profitability. In fact, research shows that improper onboarding and frequent turnover can cost businesses thousands, if not more, in the long run.
In this article, we’ll explore five often-overlooked costs of onboarding inexperienced virtual assistants—and offer solutions to avoid these costly pitfalls.
1. Time-Consuming Onboarding Process
Hiring an inexperienced virtual assistant (VA) often results in a much longer onboarding process than expected. Unlike experienced VAs who can dive into tasks immediately, entry-level VAs require significant time to familiarize themselves with company workflows, tools, and expectations. This onboarding phase, which can stretch for several weeks or even months, demands constant oversight from managers and senior employees.
Onboarding a new hire is an expensive and time-consuming process for any business. According to a hiring report, the average onboarding cost is $1,830 per hire, with small and medium-sized companies spending between $600 and $1,800 for each new employee. For larger companies, this figure can rise to $3,000. These costs apply directly to virtual assistants as well, where entry-level hires often require more extensive training and oversight to become fully productive. Hiring inexperienced VAs can quickly escalate these onboarding expenses, making it critical for businesses to consider long-term efficiency.
The longer onboarding time for inexperienced VAs can delay their ability to contribute meaningfully to the business. While they’re learning the ropes, your company’s operations may slow down, causing bottlenecks and reducing overall productivity. In contrast, hiring an experienced VA drastically shortens the onboarding timeline, allowing them to start contributing from day one.
2. Increased Mentoring and Training Costs
Beyond the initial onboarding phase, training and mentoring an inexperienced VA takes up valuable time from your senior employees. In many cases, experienced team members must divert their attention from critical business tasks to teach the new VA the intricacies of your systems, tools, and workflows.
Mentoring new hires, particularly inexperienced virtual assistants (VAs), often adds unforeseen pressure on senior employees. While mentoring programs are designed to guide new recruits, they can backfire without proper structure. A report by Art of Mentoring shows that when mentors lack formal training, only 1 in 3 mentoring relationships are successful. This creates a significant strain on productivity as senior employees juggle their own responsibilities with the added task of mentorship, leading to missed deadlines and decreased focus on key business tasks.
Instead of enhancing productivity, poorly managed mentoring programs risk stagnation, with mentors spending excessive time guiding inexperienced hires. In contrast, experienced VAs require little to no mentoring, as they are already adept in relevant tools and processes, allowing them to integrate smoothly into your operations.
3. Higher Risk of Turnover
One of the most overlooked hidden costs of hiring inexperienced virtual assistants is the high risk of turnover. Entry-level VAs often view their position as temporary, gaining experience and then moving on to better opportunities. This can result in a cycle of frequent rehiring, which can be both financially and operationally draining.
Employee turnover, particularly with entry-level virtual assistants, can have a significant impact on business operations. According to recent data, 38% of employees quit within the first year, and a staggering 40% of them leave within the first 90 days, based on a Hubstaff report. This means businesses often find themselves stuck in a cycle of recruiting, rehiring, and retraining, which consumes both time and resources.
Each time a VA leaves, the company incurs costs related to finding and onboarding their replacement, which can amount to 16-20% of the employee’s annual salary. This repeated turnover also disrupts continuity and results in inconsistencies in service, leading to missed deadlines and project delays. By hiring experienced VAs from the start, businesses can avoid this turnover trap, ensuring long-term stability and minimizing the costs of rehiring.
4. Productivity Losses Due to Errors
Another significant hidden cost of hiring inexperienced VAs is the increased risk of errors. Entry-level virtual assistants are more prone to making mistakes, whether in handling customer queries, data entry, scheduling, or managing administrative tasks. These errors can lead to operational disruptions, dissatisfied customers, and, in the worst cases, financial losses.
Mistakes in hiring inexperienced virtual assistants (VAs) can have a serious impact on business operations. Poor hiring decisions, which 66% of managers come to regret based on hiring stats, often lead to errors that disrupt workflow, delay projects, and strain internal resources. These issues can snowball, affecting everything from customer satisfaction to overall business productivity.
When businesses hire the wrong VA, they often face not only the immediate costs of correcting errors but also the long-term consequences of lost time and missed opportunities. However, partnering with a trusted VA company like WeGrowVA can help businesses recover quickly from these challenges. WeGrowVA specializes in providing experienced, skilled VAs who are ready to step in and mitigate disruptions, ensuring a smoother transition and continuity in operations. By leveraging their expertise, businesses can avoid the pitfalls of poor hires and get back on track without the hassle of constant retraining or operational downtime.
5. Long-Term Financial Costs
While the initial cost of hiring any junior employee or an entry-level virtual assistant (VA) may seem appealing, the long-term financial implications are often far more significant. Frequent turnover, extended training periods, and drops in productivity can quickly erode any initial savings. In environments with high turnover rates, employee engagement tends to decline sharply. According to Gallup, disengaged employees are 60% more likely to leave, creating a cycle of frequent rehiring and retraining that drains time and resources.
This problem is especially prevalent with entry-level VAs who often move on as soon as they gain experience. Businesses then find themselves in a perpetual loop of onboarding and training new hires. Gallup estimates that businesses lose up to $1 trillion annually due to voluntary turnover, a figure that highlights the cost of failing to retain talent.
However, by partnering with experienced VAs, businesses can sidestep these costly issues. Experienced VAs reduce the need for extensive training, minimize errors, and provide long-term stability, offering a higher return on investment (ROI). Studies show that hiring experienced VAs can increase ROI by 10-15%, making them a more cost-effective solution over time.
Avoid the Hidden Cost of Hiring Due to Inexperience VAs
Hiring an inexperienced virtual assistant may seem like a cost-effective option at first glance, but the hidden costs of onboarding, mentoring, turnover, and lost productivity can quickly add up. These expenses often outweigh the initial savings, resulting in financial strain and operational inefficiencies.
By understanding these hidden costs and considering the benefits of hiring experienced VAs, businesses can make more informed decisions and avoid costly mistakes. At WeGrowVA, our team of skilled virtual assistants is ready to deliver immediate value, saving you time and money in the long run.
Contact us today to learn more about how our experienced VAs can help your business grow and thrive.
