TRUE COSTS OF STARTING A RECRUITMENT AGENCY

True Cost Of Starting a Recruitment Agency

Starting a recruitment agency is not as expensive as it often appears and can be done on a “shoestring” budget initially until the business generates placements and receives funds. Understanding what the true costs of starting a recruitment agency are and where to go to get it is important to avoid the start of your…

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ARE YOU PROTECTING YOUR AGENCY PROFIT FROM CURRENCY LOSSES?

ARE YOU PROTECTING YOUR AGENCY PROFIT FROM CURRENCY LOSSES?

International placements have always yielded a greater profit margin for agencies that have the capability of filling these for clients. The process of making the placement overseas can be similar to making a UK placement with much larger rewards. However, there are several considerations when making international placements, with one of the main ones being how…

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HOW TO SECURE AN INVOICE FINANCE ARRANGEMENT FOR A NEW RECRUITMENT AGENCY

Two hands shaking reflecting an arrangement has been made

When a new recruitment agency launches, its directors may initially look at making permanent placements to build up some cashflow as they do not believe they would be eligible for funding on contract placements. They may also look at Pay-And-Bill solutions as a way of funding their contractors without understanding that this can be an expensive…

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5 TIPS TO IMPROVE THE CREDIT CONTROL OF YOUR INVOICES

5 Tips To Improve The Credit Control Of Your Invoices

Placing a candidate on a permanent or contract basis can be the amalgamation of days, weeks or even months’ worth of work for a recruiter and means that the agency is almost in sight of the final reward… the fee! However, until the money is in the bank for the invoice raised, this profit remains…

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6 WAYS TO INCREASE THE VALUE OF YOUR RECRUITMENT AGENCY

6 Ways To Increase The Value Of Your Recruitment Agency

Selling a recruitment agency is a dream for many new recruitment directors, especially if it can be sold for a life changing amount of money. However, due to poor planning, this may not be the case and often, the company will end up undervalued or continue to trade indefinitely. When considering selling a recruitment company, it…

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MAYACHI’S FIRST TEAM CONFERENCE – How Did It Go?

MAYACHI's First TEAM Conference

The annual TEAM Conference was held at Chesford Grange Hotel in Kenilworth on Friday 7th June 2024 for the members and service providers within the TEAM Network. TEAM celebrated its 30th anniversary this year and the event was a celebration of the achievements within the network along with providing the members with valuable insights into…

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HOW DOES CIS AFFECT YOUR RECRUITMENT AGENCY IF YOU ARE A NEW START UP?

Hard hat on a work bench

As a recruitment agency start up, understanding how CIS can affect your new business is paramount. The Construction Industry Scheme (CIS) was set up in 1971 to combat the tax evasion occurring within the construction industry when paying subcontract workers. When we think of CIS Placements for recruitment agencies, the tax system overall has become more…

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INVOICE FINANCE COSTS EXPLAINED

Invoice Finance Costs Explained.

Invoice Finance is often a key requirement for recruitment agencies making contract/temporary placements as it provides the funds to pay the candidates before the clients make payment. Although the facility can appear straightforward, understanding the jargon around the charges and how they are calculated can sometimes be alien to a recruitment director. When I meet with potential…

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PAYE CONTRACTOR RATES – HOW TO CALCULATE THE TRUE CONTRACTOR COST

Black calculator with the words "True Cost" on the display screen

When paying a candidate via an Umbrella (or Limited Company), the pay rate that is agreed and paid over includes all the costs of the candidate. However, if a candidate is paid via the agency PAYE scheme, then the agency has several costs based on the candidate’s pay rate that need to be considered to…

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WHO SHOULD START A RECRUITMENT AGENCY? 

We’re is often asked “Who is the ideal person to start their own recruitment agency?” and there are many different answers to this question. Sometimes the best recruiters do not always make the best directors of their own recruitment agency as they cannot manage their responsibilities when it comes to running a company, managing their cashflow…

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