Dec 4, 2025 | Recruiter Insights

Why Small Businesses Can’t Afford to Ignore Inclusive Recruiting

When you think about inclusive hiring, you might picture large corporations with entire DEI departments with six-figure budgets. But here’s the reality: inclusive recruiting is just as important—if not more so—for small businesses.

Whether you’ve got a team of 5 or 50, prioritizing inclusion can directly impact how you grow, how you compete, and how you build a business people want to be part of.

 

The Business Case for Inclusive Hiring in Small Teams

1. Every hire matters more

In a small business, each new employee can significantly shape your culture, decision-making, and customer experience. A team of 10 where two or three people bring different perspectives can dramatically improve how problems are solved and how inclusive your workplace feels.

2. Inclusive teams make better decisions

A McKinsey study found that companies in the top quartile for ethnic diversity outperformed their peers by 36% in profitability. While that data skews toward larger orgs, the takeaway applies at every level: Inclusive perspectives lead to smarter, more well-rounded decision-making.

3. Candidates care—even if you’re not a household name

You might not have the name recognition of Google or Apple, but that doesn’t mean job seekers aren’t vetting your values. According to a 2023 Greenhouse report, 65% of job seekers said they want to work for a company that prioritizes diversity and inclusion.

If you’re a small business, showcasing your DEI efforts can help you stand out to top candidates who are looking for more than just a paycheck.

 

Common Misconceptions—And How to Overcome Them

“We’re too small to focus on DEI.”

Inclusion doesn’t require a big budget or a dedicated team. It starts with intention—like where you post your jobs, how you interview, and how you support employees once they’re hired.

“We just want to hire the best person.”

That’s the goal for every business. But if you’re always sourcing from the same places, using the same criteria, or relying heavily on referrals, you’re likely narrowing your definition of “best” without realizing it.

 

Practical Ways to Improve Inclusive Recruiting (Without Breaking the Bank)

  • Widen your reach: Post jobs on niche platforms like TalentAlly to access more Inclusive talent.
     
  • Audit your job descriptions: Avoid requirements that aren’t truly essential. Research shows that women and people of color are less likely to apply to roles where they don’t meet 100% of the criteria.
     
  • Standardize interviews: Use structured interview guides to reduce bias and create a more consistent candidate experience.
     
  • Offer flexibility: Remote work, flexible hours, and inclusive benefits help attract a broader range of candidates—especially caregivers, disabled professionals, and those from underserved communities.
     

 

Final Thoughts: Inclusion Starts With Intention

You don’t need a DEI consultant to build an inclusive team—you just need to be thoughtful, consistent, and open to learning. In fact, small businesses often have the advantage of being more nimble and authentic in their approach.

The earlier you build inclusion into your hiring foundation, the easier it becomes to scale a culture you’re proud of—one that reflects the diversity of the world around you.

 

Want to attract more Inclusive candidates?
Start by sharing your open roles on TalentAlly, a job board designed to connect inclusive employers with underrepresented talent.

Tags: Diversity / Hiring / Recruitment
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