How to Start Your Own Temp Agency

If you are a skilled employee but want the flexibility of freelance, you might want to start your own temp agency.

By starting your own temp agency, you can 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.

Difficulty: Moderate

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 they advise.

2. Define your field of expertise -
   
   Before you start a temp agency, you need to decide what services your temp agency will provide. You might want to open a temporary secretarial service, a temp bookkeeping service, a temp data entry service or even a temporary management service. 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 the single temp employee the temp agency you start. This makes it easier to open a business and file taxes. This limits your potential though 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 who would be interested in the temp services that your agency will provide. You should also put together promotional brochures, a promotional website and business cards. A promotional product such as a notepad, mouse pad, stress ball or other item that sits on an employer's desk could be a good investment as you will want companies to think of you first when their needs arise.

6. Decide on a pricing structure -
   
   Decide on 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 continuously 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.

Tips & Warnings

• Be sure to keep up a good reputation so that companies come to you with all their temp needs.

[sonni57]

on 6/7/2009 Having your own temp agency sounds like it could pay off thanks for the good details