What do you think about hiring your friends as employees?

Hi guys, as the tittle said, I would like to know your opinions of the above question. It needs to be restricted to any background but please feel free to add in any context if you believe it is relevant.
For me, I'm in the tech startups space and so far the few pros and cons I have been thinking are:
Pros:

• We know each other well so probably can utilise our advantages and minimise our disadvantages better.
• Negotiation may be faster because we are more comfortable with sharing our opinions.
  Cons:
• Failure in business can result in end of the friendship.
• Because we want to maintain the friendship, we may not disagree openly and thus the decisions are not optimised.

Thanks guys!