How to Start Your Own Temp Agency
If you are a skilled employee, but want the flexibility of freelance work, you might want to start your own temp agency. By starting your own temp agency, you can often work in your field of expertise while setting your work conditions. If you build up a reputation, you can get paid consultant fees which can be higher than average salary. Read the steps below to find out how to start a temp agency in your local area.
Other People Are Reading
Instructions
-
-
1
Speak to a lawyer and accountant in your area to get an overview of legalities and tax expectations of starting your own temp agency. Listen to their advice and see them as often as needed.
-
2
Define your field of expertise. Before you start a temp agency, you need to decide what services your agency will provide. You might want to open a temporary secretarial, bookkeeping, data entry or even a management services. You can decide on a single field of expertise or a combined temp agency.
-
-
3
Decide if you will be a sole proprietor temp agency or hire others. If you have the skills, you may want to work on your own as a single temp employee for the temp agency when you start. This makes it easier to open a business and file taxes, but limits your potential because you will not be able to fill as many jobs and you will be limited by your field of expertise.
-
4
Find employees for your temp agency. If you decide to open a temp agency with more than just yourself as an employee, you will need to find qualified individuals to work under you. You will need well-trained professionals who are comfortable working independently in a variety of environments.
-
5
Advertise your temp agency. Contact local businesses that may be interested in the temp services that your agency will provide. You should also put together promotional brochures, a website and create business cards. A promotional product, such as a notepad, mouse pad, stress ball or other item that sits on an employer's desk, can be a good investment as you will want companies to think of you first when their needs arise.
-
6
Decide on a pricing structure. What you will charge each company for services? When deciding how much to charge, take into account that you will have to be paying the employee's salary plus your overhead. Make sure to charge enough to leave a profit for yourself, but not overcharge so that companies will look elsewhere. Be sure to talk to your accountant about taxes and other overhead expenses before deciding on a pricing structure for your temp hires.
-
7
Be on call. Although you will have flexibility when starting your own temp agency, you should be prepared to be on call as much as possible. This is especially important when you are starting off and want to build a reputation of being available when needed.
-
8
Continuously monitor your employees' progress. Be prepared to oversee your employees from a distance. Be in touch with companies and make sure they are happy with the employees you send them; keep an eye on your employees and give them the support they need. You may have to lay off employees that are not productive as temp employees or hire new employees as your company grows.
-
1
Tips & Warnings
Be sure to keep up a good reputation so that companies come to you with all their temp needs.
