How to Start a Job Recruiting Business

Third-party recruiting, also known as head hunting, involves a lot of work and risk. Of course, in the right industries commissions or finder's fees can be substantial. To succeed, you have to be a great relationship builder because not only do you build relationships with your recruits, but you are also working constantly to solicit and work with reputable clients.

Step 1

Develop a business plan. Consider who your client base will be, which industry you can succeed in, and what goes into recruiting professionals for that line of work. Also consider whether you will work on contingency or if you will try your hand at doing retained searches.

Step 2

Create a business entity for your new endeavor. Depending on your situation, the scope of what you hope to achieve and if you are involving anyone else in your business, you can consider incorporating, forming a partnership and choosing other options that include limited liability companies and limited liability partnerships. Check with your city or county to see if you also need to register your business or apply for a business license. You may want to consult an attorney or accountant for advice on these matters.

Step 3

Secure financing. Unless you can take off immediately with retained searches for which clients pay you upfront, your business will work solely off contingency placement fees. It can take some time to get up and running, so you will need to figure out how to support yourself while working on your first placement. You will also need resources for recruiting and marketing, and need to consider the associated costs.

Step 4

Launch a website that gives your new business legitimacy. It should inform recruits and clients about what you do and what you have to offer them than perhaps other third-party recruiters don't. Emphasize your experience, talent and track record in your previous work.

Step 5

Purchase recruiting resources, such as mailing lists and directories of professionals, to get you started on mailers, calls and email campaigns.

Step 6

Establish your business on social networking sites--particularly ones that have a business bent. Social networking sites find hard-to-reach contacts or to make people aware of your business.

Step 7

Research your industry and develop a marketing strategy to get clients. Make calls and appointments with hiring managers and decision makers who have difficult-to-fill job openings. Often if a job is critical and the company hasn't succeeded with a hiring in awhile, it will be open to contingency recruiting as it pays nothing unless you get results.

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Tuesday, April 30, 2013