I come from a generation where you'd be lucky to get free coffee, even within tech firms. Then, the Google and Meta of this world created a trend of "free everything," making it hard for emerging companies to compete. Younger generations working in tech became accustomed to these perks and now expect all tech companies to provide them.
If you are not investing in office space (like I suggested in a previous chapter), perks won't be an issue. However, if you decide to bring your team together in an office a few days a week, it will be. My advice is to resist the urge to jump on that train just yet. Sure, provide the basics like coffee, the ubiquitous Friday (or now Thursday) beers, and a few out-of-office lunches or dinners. These will help build a sense of community within the team and reveal sides of your team members that might not surface during work hours.
However, don't let perks—including training and language courses—become expected benefits too soon. They have a cost and can create a culture of entitlement, which isn't healthy at this stage of your venture. Just like with salaries, be disciplined about perks and expand benefits as your company develops and becomes more stable. Make this clear to any team members who choose to join your journey.
Truth be told, when flyiin became more than an entry in the local commercial register, I was all for perks. Just like the office space, it made me feel that we were real. A team, an office space, and perks: the dream was now reality. I immediately bought a fridge (which we'd give away two years later), stocked it with soft drinks and beers, and filled a few IKEA bowls with healthy and not-so-healthy snacks. I'd diligently restock these every week at the local supermarket (yes, that's also part of the early-stage startup gig). Our tenant provided this terrible coffee I spoke about before, and tea, at a cost.
What quickly became clear was that perks would become a topic of discussion, and a recurring one: "Can we have other types of soft drinks?" "Can we get our own water cooler because the tenant's is too far away?" “What about a monthly gym subscription?” There was even a request for an ice cream machine (well, that one popped up in the retro notes as a joke because the team knew these perk discussions were driving me nuts).
Since our team consisted entirely of non-German employees, we offered German language courses. Although this perk was right, looking back, I believe it was premature. There was, however, another perk my co-founder introduced early on that proved to be a good decision. Each year, we'd send our tech team to the annual conference for developers using our tech stack. Our participation in ElixirConf EU not only enhanced our employer brand but also directly improved the quality of the platform we were building.
Key Takeaway #22
Wait to introduce perks until your company's future is more secure. Gradually expand benefits as customer contracts and revenue grow. Make this approach clear to your team from the start. If your finances permit, consider investing in sending your tech team to their annual developer conference—the return on investment tends to be immediate.