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How expensive are job board ads?

Job board ads can be very expensive and only produce candidates who are actively conducting a job search.  Often companies are paying for job board ads and when they hire us to find talent, they want us to present passive candidates.  They don’t want us to submit the same candidates they are surfacing as a result of their own job board ads.

In our program, we will teach you how to recruit talent, attract 40% of the people you place through referrals and other methods of attracting talent.  As a result, you will not need to invest in job board ads.

Can I work from home?

It is smart to keep your overhead as low as possible when you first open a new business.  Technology has made it very easy to interview someone over Skype and service both your candidates and clients from your home.

This does not work however if you are placing lower-level temporary jobs like light industrial temporary workers or office support.  In these instances, you will need to interview the candidates, often conduct a skills test and other types of assessments.  Most firms in these niche areas have offices which have become the expectation of both clients and candidates.  In addition, workmen’s comp costs are higher for these niche areas.
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When Should I Hire My First Employee?

The answer to this question depends on your finances.  In most instances, I think it is wise to not hire initially until you learn the business and are making a profit.  It can take up to five months to generate revenue.  During this timeframe, you have set up your business, written a job order, contract or assignment with a client, filled the opening, your candidate handed in a two-week notice and your invoice was paid in 30 days.

When you have too many job orders, contracts or assignments to handle, that is when you hire your first employee.  My suggestion is to hire someone who will just work the recruiting side of the sale helping you fill the business you have written.  It will take them some time to pay for themselves, and you don’t want to jeopardize your new business.

What about all the competition?

The Staffing and Recruiting Profession worldwide is filling approximately 60% of the business they write.  This means 40% of the business is not being filled because either their competition filled it, the company found someone on their own, an internal candidate surfaced or the job is still open.

There are more than enough jobs available for you to develop a very lucrative business.  You just need to brand yourself, so you can answer the question “Why should I use you to find talent instead of someone else?”

Clients don’t care if you’ve been in business 10 years or 10 days.  They will hire from anyone who can supply them with the talent they need.

ARE AVERAGE FEES REALLY $25,000?

If you place professionals on a direct basis, yes fees are averaging 25% of the first year’s salary or an average of $25,000.  If you place just one person in a job per month, you will generate revenue of $300,000.

You can see how it doesn’t take placing that many people in jobs, to build a very lucrative Staffing and Recruiting business.  With Baby Boomers retiring and the global competition for top talent, the need for the services we offer will continue to escalate for years to come.