4 REASONS RECRUITMENT AGENCIES CAN’T AFFORD TO LET THEIR BOOKS FALL BEHIND

A pink computer keyboard button reading 'STAY UP-TO-DATE' used to highlight recruitment agency bookkeeping and financial reporting analysis.

When you’re running a recruitment agency, there’s always something competing for your attention. Winning new clients, finding candidates, making placements and keeping existing relationships strong are naturally going to feel more urgent than updating your accounts. But while bookkeeping might not be the most exciting part of running an agency, falling behind with it can…

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5 SIGNS YOU’RE READY TO START YOUR OWN RECRUITMENT AGENCY

Words 'Good Bye Summer' written in beach sand with a sea wave, used for a recruitment agency startup blog.

Summer often gives us something we don’t get much of during the working year: time to switch off, take stock and think about what comes next. For recruitment consultants, a well-earned break can also create the space to reflect on their career, what they’ve achieved so far and whether they’re ready for their next move.…

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REDUCING RISK WHEN CLIENTS DON’T PASS CREDIT CHECKS

A hand blocking wooden blocks from falling towards stacked coins, illustrating credit risk reduction strategies for a recruitment agency.

Winning a new client is always exciting for a recruitment agency. Before placing a candidate, though, it’s important to ensure that the client is financially stable. Carrying out a credit check is one of the simplest and most effective ways to reduce financial risk and protect your agency from bad debt. This is especially important…

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WHAT NON-RECRUITERS SHOULD UNDERSTAND BEFORE STARTING A RECRUITMENT AGENCY

A purple chair with a rocket ship illustration standing out from white office chairs, representing non-recruiters launching a recruitment agency.

Over the years, while providing back-office and accounting services to recruitment businesses, we have regularly spoken with individuals from outside the recruitment industry who are considering launching their own recruitment agency. These conversations have included professionals from a wide range of sectors, including healthcare, logistics, construction, manufacturing, and traffic management. Many have identified recruitment challenges…

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CASH FLOW STRATEGIES EVERY RECRUITMENT AGENCY SHOULD KNOW

A glowing brain and light bulb graphic over a hand, representing strategic financial planning and cash flow strategies for recruitment agencies.

Recruitment agencies are often highly skilled at generating new business, sourcing candidates, and making placements. However, managing cash flow is an area that many agency directors find significantly more challenging. Understanding when clients will pay invoices, when contractors and suppliers need to be paid, and how much is owed to HMRC can quickly become complex,…

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DON’T RUSH TO GIVE AWAY SHARES IN YOUR RECRUITMENT AGENCY

An abstract pie chart illustration showing hands dividing equity shares, used to discuss recruitment agency share allocation and business planning.

When a director starts their first business, share ownership is often the clearest indication that they own a stake in the company. Shares not only represent ownership but also determine voting rights, influence over business decisions, entitlement to dividends, and ultimately the proportion of any future sale proceeds the shareholder may receive. One common trend…

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REDUCING COSTS AND IMPROVING COMPLIANCE WITH AN INTERNAL PAYE SCHEME

A business professional holding a glowing digital overlay showing 'COMPLIANCE COST' text with percentage signs, bar charts, and directional arrows.

For recruitment agencies operating in the temporary and contract market, ensuring workers are paid compliantly has become increasingly important in recent years. Between the ongoing impact of IR35 and recent Joint and Several Liability (JSL) legislation, agencies and end clients are under greater pressure to demonstrate transparency, compliance, and due diligence throughout the labour supply…

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THE DANGERS OF PAYING RECRUITMENT CONSULTANTS VIA LIMITED COMPANIES

Risks of paying recruitment consultants via limited companies showing UK pound notes wrapped in caution tape

Over the years, MAYACHI has frequently been asked by recruitment agency directors whether they can engage internal recruitment consultants through their own limited companies instead of paying them through the company PAYE scheme. While this arrangement can sometimes appear attractive as a way to reduce payroll costs and increase flexibility, it can also create significant…

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6 QUESTIONS TO ASK WHEN CONSIDERING STARTING A CONTRACT DESK

Office workspace with laptop and question notes representing key considerations for starting a contract desk and managing contractor funding solutions

Running a contract desk can be a highly profitable way of growing a recruitment agency. However, the administration, compliance, and funding requirements involved in running a contract desk are considerably greater than those associated with permanent recruitment alone. There are many questions agencies should ask before launching a contract desk but the below six are…

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AVOID THESE INTERNATIONAL CONTRACT PLACEMENT HAZARDS

Business warning symbol highlighting international contract placement risks and compliance challenges in global trade and invoice finance

Many recruitment agencies see international contract placements as an attractive growth strategy. Overseas placements can often deliver higher margins while also opening the door to new markets and opportunities. On the surface, the recruitment process may appear very similar to domestic hiring: sourcing the candidate, securing the contract, and managing the placement. However, international contracting…

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