Identifying Recruitment Competition In Your Market

by Veronica Blatt

Whether you’re opening a new venture or have an established business, it’s crucial to identify and understand the recruitment competition in your market. If you haven’t gone through this exercise, here are a few ideas to get started:

List Your Recruitment Competition

  • Make a list of all the recruitment providers in your local market.
  • If you are working in a niche or micro-niche, you’ll want to expand the previous item to include the major players within that niche.
  • Identify which of your potential clients already have in-house talent acquisition teams, as these will also serve as recruitment competition for you.
  • Include quasi-competitors like BountyJobs and other similar services.
  • Include job boards that your clients (and potential clients) may be using.

Read the rest of this entry »

Insurance Considerations for Small Recruitment Firms

by Veronica Blatt

image of an insurance policy and eyeglassesSmall recruitment firms have a number of requirements at the start-up phase. Insurance is an important item for your business and one that can be easily overlooked, especially for a start-up venture that may be home based. Here is a list of some of the different types of insurance you may want (or need) to procure: Read the rest of this entry »

Starting a Recruitment Firm: Define Your Focus

by Dave Nerz

Defining your industry/segment/niche/geographic focus is a crucial step in establishing a successful recruitment business. When defining your focus, keep in mind that specialization can help you stand out in a crowded market. Clients and candidates often prefer recruiters who have in-depth knowledge of their industry or niche. Additionally, as you gain expertise in your chosen focus, you’re more likely to become the “go-to” recruiter in that area, which can lead to more referrals and business opportunities. Lastly, consider seeking guidance from business coaches or industry experts to help you refine your focus and ensure that your chosen market can support your success. Too narrow a focus limits your potential and too broad a focus might lead to a scattered and poorly delivered service to clients and candidates. Read the rest of this entry »

Are You Ready to Own a Recruitment Firm?

by Veronica Blatt

I love talking to recruiters about how they got into this business. It’s almost always accidental, and it’s fun to hear all the different stories. Many agency recruiters go on to own a recruitment firm of their own. If this sounds like you, how will you know when you’re ready to hang your own shingle? Here are three important things you should consider before starting your own venture: Read the rest of this entry »

12 Steps to Follow to Start a Recruiting Business

by Dave Nerz

title image how to start a recruiting businessSo, you have been recruiting for a big agency, a firm owner, or maybe you have been in HR and are ready to apply your passion for people to the recruiting profession. Something has driven you this point. Congratulations for considering and researching the next logical step…how to start a recruiting business!

What follows are some basic steps that will allow you to be a well-planned and profitable recruiter in the years ahead. Luck and timing can have an impact on the magnitude of your success but only your effort, aptitude, dedication, and commitment to working a plan will deliver the result. Read the rest of this entry »

Starting a Recruiting Business

by Dave Nerz

sticky-notesIf 2013 is the year you will start a recruiting business, here is a very high level look at some things to consider.  The steps may be spelled out for you if you are buying a recruitment franchise.  I would strongly suggest you consider formal and informal network membership as an alternative to purchasing a recruitment franchise.  Here are the high level actions required to get going with your business:

1. Pick a name

Think ahead. Maybe someday after you start your recruiting business you will want to sell it and retire. Do not name the recruitment business after yourself. There is less value to a business called “John Jones Recruiting” when there is no John Jones in the business. At the same time, don’t let name selection paralyze you. The name might help, but look at Google: who would have picked that name? I think they are doing just fine with a crazy name.

Make sure your company name is not already taken with the  U.S. Patent and Trademark Office or the appropriate service in your location.

2. Register a domain name

Make sure that the name you selected has available the domain that you want. Even better, think about how people might find you via an online search and see if there is a way you can incorporate your top keyword into your domain name (as well as your company name).

Go for the .com extension. If you must give in, consider .net or .jobs. Try to avoid the dreaded hyphen! Check domain names at Network Solutions. There is nothing worse than a thriving business working on a, or address.

3. Arm your recruiting business with tools

Business cards – is a great source of cheap cards.

Accounting Software – Quickbooks is a standard. Freshbooks is an online option.

Applicant Tracking System – I like PCRecruiter. They have a low-cost, highly-flexible tool to track clients and candidates. (Disclosure: Main Sequence Technology, maker of PCRecruiter, is NPA’s technology partner.)

Backup system or cloud-based storage area – Dropbox or GoogleDocs are cloud-based, or you can have a scheduled backup from a service like Carbonite.

Mailing/Marketing Service – try Constant Contact or MailChimp.

LinkedIn – buy the best package you can afford. You will be using it all day, every day, so make it your friend.

4. Set up a website

There are many low-cost tools, including, Network Solutions, and Vistaprint. A word of caution: You don’t want your next-door-neighbor’s-kid’s-best-friend to build you a website, unless that person REALLY knows about websites, responsive design, search engine optimization, mobile interfaces, etc. Economical is smart. Cheap is not.

5. Get connected to the industry

Join the industry trade association – NAPS (National Association of Personnel Services) is in the US.

6. Get trained

Look into a service like Next Level Exchange. They provide training on recruiting from many of the masters of industry.

7. Expand your capabilities/make more money/connect to a peer group

Once established, join NPA, The Worldwide Recruiting Network to enable global coverage to your prospects and clients, do more deals, and gain access to fellow entrepreneurs for ideas and coaching.

It is a great time to be a recruiter. It is difficult work, but the demographics are on your side. With millions of boomers retiring each year and companies back into a growth mode, good employees will be hard to find. That’s where you can benefit. Happy New Year and best of luck for a successfully starting a recruiting business.

Recruiting Franchise Opportunities will Benefit from the War for Talent

by Dave Nerz

open signMany say it is a great time to start to start a business and in light of the long-term demographics a recruiting franchise or staffing franchise is a good bet for success. Recruiting and staffing franchises help employers find workers either as full-time company hired employees, as temporary contractors, or as full-time contact employees.

Because of the uncertainty in the economy, many employers are looking for less permanent types of arrangements with employees. They want to pay someone to implement a project, lead a launch or manage a program but want to “rent” employees rather than “owning” them for the long haul. Demographics point to a long-term shortage of talent due to the aging baby-boomer generation leaving the work place and insufficient talent in the pipeline behind them. This is more real in technology, engineering, healthcare and science than it is for service-type jobs. But regardless, if the economy gets moving again, the demand for talent (aka skilled and talented employees) will be overwhelming. It is projected by many to be a “War for Talent” that will play out both locally and across borders and continents. And according to a report by The Bureau of Labor Statistics, the employment services industry is expected to be the United States’ 9th-largest in terms of job-creating industry over the next 10 years.

When I look a the money MRI, Spherion and others are charging for a recruiting franchise, I wonder why more are not going it on their own with the help of a peer group for support. While the turnkey option offered by the big boys is appealing, it also has its own unique risk. Because owners go into to it with a large debt to service, the success must come faster and the profits must be shared with the franchising operator. The success these major operators have is tough to argue with if you are relatively new to the recruiting business.  f you value independence, the recruiting franchise option will be somewhat frustrating as you are really a part of a bigger operation and must do certain things to honor the relationship bought into with the franchisor.

A seasoned recruiter, who knows the tools of recruiting, has a recruitment process, and just wants to strike out independently may value a peer group and some partners to help along the way. Vendors to the industry act as a great support mechanism and can provide ideas and support if a relationship is nurtured with your ATS provider, your accountant, job board partner, etc. Online networks, organized recruiting networks, trade associations and trainers to the industry are all excellent options that, while not fully replacing a recruiting franchise, certainly offer an option to those who want to be more independent.

What kinds of numbers have you heard that a recruiting franchise from a major brand costs in today’s market?

Would you pay the price or start the business independently?

Any resources that are a must for a new independent recruiter?

Recruiting franchise opportunities and the opportunities for starting a staffing business are good. Franchising, while not for everyone, is an option that will prosper in the war for talent.

Recruiting Franchise vs. Recruiting Network – Which one is right for you?

by Veronica Blatt

When hiring is robust, like the cycle we are entering (or are already in, depending on the market), there is high interest in starting a recruiting business. It can be a lucrative and rewarding career; it’s attractive to many former HR and corporate recruiters, and high-producing third-party recruiters who have no equity in their current employment situation may consider going out on their own. Read the rest of this entry »

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