The Christmas and New Year break often gives people the chance to relax, reflect, and make decisions about the year ahead.
For some recruiters, returning to work after the break can feel different, particularly if internal changes such as increased targets, reduced commissions, or removed bonus schemes have taken effect. When the role no longer feels the same, motivation can drop, and it’s natural to start questioning whether your current agency is still the right place for you.
These reflections often build up in January and contribute to what has become known as “Blue Monday,” the third Monday of the month, when post-holiday pressures and failed New Year resolutions sink in.
It’s no surprise, then, that 31st January is consistently reported as one of the busiest days of the year for employee resignations.
For recruiters considering their next move, the options typically include:
- finding another role within an agency,
- moving into an internal recruitment position, or
- taking the leap and starting their own recruitment company.
The third option is undoubtedly the boldest but also the one with the greatest potential rewards. Becoming your own boss means owning and controlling something entirely yours. However, it also carries the most risk, requiring both capital and time investment, along with a willingness to navigate uncertainty.
Below are some key considerations for any recruiter thinking about launching their own agency:
BE A 360 RECRUITER
Recruiters who have worked solely as Resourcers or have been handed clients may struggle to run their own agency. Operating independently requires managing the full recruitment cycle, from business development to placement.
GENERATE YOUR OWN CLIENTS, CANDIDATES & PLACEMENTS
When leaving an agency, recruiters are typically bound by restrictive covenants that prevent them from working with previous clients or candidates for a set period.
This means the new business must be capable of generating fresh clients and candidates that are not tied to the previous employer until restrictions expire.
HAVE 3–6 MONTHS OF SAVINGS
Every new business has a ramp-up period:
- time to make the first deal,
- time for payment to be received, and
- time before the business is profitable enough to support the owner.
Personal savings can significantly reduce pressure during the early months and give the business space to grow.
Many recruiters considering starting their own company come from environments where their sole focus has been recruiting. As business owners, they will need to take on additional responsibilities: contracts, funding, cash flow management, back-office operations, accounting, marketing, IT, and more.
Anyone planning to start a recruitment agency should research thoroughly: speak with industry experts, existing agency owners, specialist suppliers, and recruitment associations to gather insights and give themselves the strongest possible start.
New directors should also partner with industry-specific suppliers who can manage many non-recruitment tasks. Outsourcing these areas allows the new owner to stay focused on winning business, making placements, and scaling the agency.
MAYACHI has supported many new directors in launching their recruitment agencies by offering guidance on setup and financial management. We can also advise on the best suppliers for insurance, contractor funding, legal services, and accounting, ensuring every new agency starts with the strongest foundations.
