What I Recommend Before You Hire an HR Consultant for Your Michigan Small Business

You’re building your business—not dreaming of HR headaches

You didn’t start your business to obsess over job descriptions, compliance audits, and PTO policies. But here you are—Googling "HR consultant for small businesses," wondering if what you’ve pieced together is enough to protect your team and your bottom line.

Maybe you’ve downloaded a free employee handbook template, guessed your way through new hire paperwork, or tried to settle a workplace issue with a quick chat. And while all of that worked when your team was small, now you’re growing—and you’re starting to worry what you don’t know could cost you.

Rather than a focus on PTO policies, the focus can be on the effective development of a performance management program that drives workplace productivity, improves employee engagement, and provides accountability and clarity around performance expectations.

HR support that actually clears your head

In case you’re new here, I’m Danette, and I help small business owners simplify HR compliance and avoid costly missteps—without the overwhelm. If you want a smart, strategic HR partner in your corner while you focus on growing your business, Clearheaded is here to help.

What to Look for in Human Resource Services for Small Businesses

If you’re feeling unsure where to start, here’s what I recommend you prioritize before hiring an HR consultant—especially if you’re a growing small business in Michigan or operating across multiple states. These aren’t just “nice-to-haves”—they’re non-negotiables if you want to stay compliant, protect your team, and build a workplace that runs smoothly.

1. State-Specific Expertise 

Labor laws aren’t one-size-fits-all. Your consultant should be well-versed in Michigan employment laws, including local PTO regulations, FMLA nuances, wage and hour compliance, and recent changes to leave laws. If your business operates in multiple states or has remote employees, they should also know how to navigate compliance across jurisdictions—without making your policies a patchwork nightmare.

Tip: Ask if they’re familiar with state posting requirements, unemployment rules, and how Michigan’s at-will laws apply to your policies.

2. Risk Prevention, Not Just Cleanup

Anyone can step in after an issue and try to manage the fallout. But a strong HR partner will identify your weak spots before they become liabilities—and design systems to keep you out of hot water.

Look for someone who takes a proactive approach:

• Are your time keeping systems compliant?
• Are your job descriptions putting you at risk for misclassification?
• Is your team trained on anti-harassment or ADA accommodation processes?

A great HR consultant doesn’t just put out fires—they make sure you’re not carrying matches.

 3. Employee Handbook & Policy Review (Or Creation)

Whether you have a dusty old handbook or no handbook at all, your HR partner should audit your existing documents, flag outdated or missing policies, and offer clear, legally sound recommendations that reflect how your business actually operates.

They should cover:

At-will employment disclaimers

PTO, holiday, and leave policies (that follow state and federal law)

Social media, discipline, and code of conduct clauses

Remote work and hybrid expectations

Workplace safety, especially if you’re growing fast

Bonus points if they make policy language readable—because HR should protect your business, not confuse your team.

4. Real-World Guidance for Sticky Workplace Issues

Every small business has at least one “what do I do with this?” employee moment. Whether it's a harassment complaint, a request for medical leave, a misstep in hiring, or navigating termination with dignity and compliance—you want someone who’s seen it all and can walk you through it without flinching.

Your HR consultant should give you:

• Clear scripts or email templates for tough conversations
• Support during sensitive investigations or terminations
• ADA and FMLA guidance that keeps you compliant and compassionate
• Coaching for managers who’ve never had to lead through conflict before
  
  

You’re not just hiring paperwork support—you’re bringing on a trusted advisor who helps you lead better.

Do small businesses have HR?

Short answer: they should.

Whether you have 5 employees or 50, you're still responsible for complying with labor laws, wage and hour rules, employee classifications, and anti-discrimination protections. Many small businesses DIY their HR until they face a complaint, lawsuit, or audit—and by then, the cost of "figuring it out later" is far higher than getting ahead of it.

If you're in that in-between space—not ready to hire a full-time HR employee but totally over second-guessing every people decision—outsourcing your HR is the smartest move you can make.

How to find the best HR company for your small business in Michigan

Ask about their experience with small teams. Big corporate policies don’t always translate to lean businesses. Make sure they get the realities of managing a small but mighty crew.

Look for a provider who offers both strategy and support. You want someone who can build your systems and answer your "what do I do about this employee" texts when issues pop up.

Check their service model. At Clearheaded, we offer an HR Compliance Services retainer model, giving you ongoing access to a seasoned HR pro without hiring in-house.

What is the average cost of HR consulting?

Rates vary depending on whether you're hiring hourly, per-project, or on retainer. In Michigan, small businesses might pay anywhere from $100–$250/hour for experienced consultants, with flat-rate or monthly retainer packages offering more value and consistency.

Clearheaded's retainer includes ongoing compliance reviews, policy updates, real-time support, and guidance on tricky workplace issues—so you're never left guessing.

Tips for hiring and outsourcing an HR consultant

• Start with a free consultation. You want to make sure there’s alignment in communication, approach, and industry knowledge.
• Don’t wait until there’s a problem. Proactive HR saves time, money, and team morale.
• Look for a relationship, not a transaction. The best HR consultants become trusted partners who grow with your business.
  

Clarity is good for business



Hiring an HR consultant isn't about adding more to your plate. It's about finally taking something off of it—so you can lead your business without the constant worry of "what if I’m doing this wrong?"

If you’re ready to stop second-guessing and start scaling with confidence, we should talk.

👉 Book a free consultation to see how Clearheaded can help you build a stronger, safer workplace—without the burnout.