How to Start a Search Recruiting Business
When the unemployment rate hovers in the high single digits, there is very high demand for search recruiters from the unemployed. At the same time, employers are still seeking highly skilled individuals who can drive their business forward to profitable growth. Starting a business to bridge this gap is challenging but can be done by taking the right steps.
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Instructions
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As with any new business, you should consider starting a company if you have a distinctive idea or resources that you can draw on to make the company successful. The search recruiting business is highly competitive, with entrenched players such as Michael Page and Hendrick & Struggles. Find your unique strength and focus on it. Some companies focus on filling lucrative senior manager positions. Some focus on specific industries, like hiring for technology, financial or pharmaceutical companies. If you are the president of a large social club or industry organization, you may already have contacts who can help you find employers and potential employees.
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Connect with potential clients before you launch your business. These include small, medium and large companies with job openings that need to be filled. These enterprises pay on a per-employee basis, usually the equivalent of the employee's first month of salary. Every new business struggles to acquire its first clients, so gaining interest ahead of time can be crucial to your company's success. Reach out personally to your contacts, send out letters and emails to potential clients and attend conferences they may attend. If your business has a niche, such as technology professionals, it may be easier to focus your efforts on those employers. Draw on your full range of contacts to broaden the number of potential clients and job seekers.
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Once your company's focus and potential clients are set, you can register your business and launch. Unless you have capital, the business will probably be run from your home at first. Conserve cash and spend frugally. Create your own legal documents from online sources and have them approved by your attorney, to reduce legal fees. You will probably not be able to generate enough income for the first few months to meet your living expenses, but that should change as you acquire clients.
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Find job seekers to feed to employers. Visit job fairs, government agencies and placement firms to network with these individuals. You may also find it easier to simply market your services online. Set up a professional website and buy search engine advertisements. You can also place ads on the major job-hunting engines, such as Monster and Indeed.
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Match job seekers with the right employers. Use resumes, job references and in-person interviews to get a feel for the best candidates. The satisfaction of your clients will lead to a cycle of more sales and more job seekers until you have built a sustainable business.
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Tips & Warnings
Don't allow unqualified job seekers to apply for open positions through your firm, as this can damage your business image and future opportunities.
References
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