Joe Kraus, one of the founders of Excite, says that hiring a bad employee is far worse than not hiring anyone. He explains:

Other than fundraising, nothing I do as an entrepreneur is as important as hiring. But, hiring is tricky because it’s so easy to loosen standards, especially when you’re feeling in a pinch for people. But, I always keep two things in mind when hiring, no matter how desperate I feel.
  1. A bad employee does far more damage than no employee, no matter the issue.
  2. A players hire A players, B players hire C players, and C players hire losers. Let your standards slip once and you’re only two generations away from death.

Originally posted by Dane Carlson on September 16, 2004 in Ideas.

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