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How do I launch a recruitment business?

by Max Jones/ Tuesday 21st november 2017

How do I launch a recruitment business?

"Houston, we DO NOT have a problem. We are good to go!..."

It’s funny isn’t it; because getting “ready” to start your own recruitment business is a slow burn affair, often taking months, in most cases years before your ambition, drive & focus comes to the forefront of your mind & turns that idea into an absolute MUST.

But let’s say, hypothetically speaking, you are reading this today because you are ready. Houston, stand down – this recruiter is ready, heck if they could have launched their own recruitment business yesterday then they would have. Let’s say you’ve toyed with the idea for years, you’ve weighed up the pros & tried to talk yourself out of the notion as many times you have tried (& failed) to talk yourself out of just one more episode of Peaky Blinders before bed…

You’re ready to launch your own recruitment business, you just need to understand the best way to get you from where you are now, to where you want to be. & where is that? Well, that’s having the infrastructure & support around you to run your recruitment business in the way you want. To allow you to drive your business in the direction you want & be able to fit your recruitment business within the wider goals you have for you & your family. 

But how does a recruiter launch a recruitment business? What areas do recruiters need to focus on to get their business off the ground?
In our experience over the last 15 years or so, when it comes to launching recruitment businesses there needs to be a focus around 4 key areas. I, alongside the team here at SSG, like to call them “Pillars”, 4 Pillars of launching a recruitment business.
So for you, the Recruitment Entrepreneur in all of this, perhaps the latter part of this blog might be a useful starting point when considering what goes into launching your recruitment business.

The Legal & Compliance Pillar of your Recruitment Business

In our experience this has, without argument, been the most important aspect of every business SSG has been fortunate enough to support over the years. Why? Because this is the very backbone of your agency, the very foundation of any business is it’s legal standing & your agency should be no different (what fun hey).

It’s useful here to consider all things like securing the name you have chosen for your new business is “safe” to use, to registration for your business bank account & all the relevant tax facilities you will need from Day 1 & going forward. Equally important aspects to consider here are the compliance processes of your business, everything from Data Protection to the slightly more sector specific elements like DBS checks, List 99 checks, Gangmasters Licenses etc.

The Creative & Branding of your Recruitment Business

Branding is always such a personal & exciting aspect of launching a business, whether that be in recruitment or marketing, branding is always an exciting element of the launch process. But enough of the fun & games – what do you need to consider?
Well, you need to think about logos, the provision of your stationary, your email addresses, your email templates. You need to also think about your website, the creation of marketing material, flyers, pens, stress balls, whatever!...

The Resources of your Recruitment Business

So you’ve got the legal foundations, you’re agency “looks” great – what next? What about the tools & resources to do the job you want to do? In this Pillar it is useful to explore all avenues when it comes to the tools of your business; everything from key provisions such as Job board access, LinkedIn access, to the slightly less focussed upon areas such as recruitment software, training, credit checking facilities & vacancy spider reports.

The Accounting Infrastructure of your Recruitment Business

Over the years, SSG have always had an internal debate about what area is more important to a recruitment business – is it the legal infrastructure or the accounting templates? (Not quite Question Time, but it’s important stuff!).
To be honest, the answer is & has always been – BOTH. The accounting side of your business is usually the most challenging area when it comes to the launch of your business. From the slightly generic aspects (i.e not sector specific) such as making sure you have the invoicing & credit control processes in place, to making sure you have a team to cover everything that goes with the monthly creation of your accounts & of course your Company Year End accounts.

Towards to slightly more sector-specific elements of your business, such as the payroll provisions & factoring facilities that, if you are looking to run a temp’ heavy business form Day 1, you will need to think about.

Closing thoughts

Launching your own business is one of the most exciting things you will ever do in your career; it’s a culmination of all your hard work, all your risk & all your passion & therefore you deserve to make sure that you approach & create the foundation of your business is the most effective & secure way possible. With the aim to then create a fantastic foundation to then grow your business in whatever direction you want in the coming years.


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