You finally did it! You took the plunge, and now you’re the owner of your own start-up recruitment agency!
Here at New Millennia, despite working in the industry for over 20 years, we still get a buzz of excitement when we hear from another recruiter who has been bold enough to go it alone.
To help in your new endeavour we wanted to share our advice for your start-up recruitment agency. Here are 8 top tips from our experts, who’ve worked with successful start-ups in the field for decades.
1) Do your research
As you start out it’s essential that you do your research, particularly into the industry you’re looking to recruit within.
If you’ve been successfully working in the sector, then you’ll likely know a thing or two, however operating on your own is a different ballgame.
Clients will expect your knowledge about the industry to be next level, so keep abreast of the latest news. It’s also a good idea to develop your understanding around any talent shortages the industry might be facing.
Additionally, keep a close eye on your competition, specifically looking at how they’re taking their message to market.
2) Create a clear business plan
Before you launch into your own start-up recruitment agency, it’s important to create a business plan.
Setting short, medium and long term goals will help you understand exactly what you’re hoping to achieve. Every goal should be linked to a tangible result, so you can quickly see whether you’re on track.
If this is the first time you’ve worked for yourself, it can also be a good way to hold yourself accountable. Plus it’ll keep you motivated during the first few months.
Taking the time to do this might seem frustrating when you’re just itching to get going. However it’ll allow you to make the most informed decisions and ultimately succeed.
3) Keep your overheads low
Our Operations Director Paul O’Rourke always has one top piece of advice for start-up recruitment agencies – keep your overheads low.
Starting a new agency does come with challenges; starting with low costs means it has the best possible chance of success.
Think about where you can save money; do you need to rent office space from the start, or could you begin by working from home? Do you need to commit to all the big job boards, or could you just use a small number while you’re starting out?
Shop around for quotes and don’t be afraid to negotiate when it comes to securing the tools your business needs.
4) Invest in marketing & develop a strong brand
Though we recommend keeping costs low for your start-up recruitment agency, you will need to invest in marketing. Of course you don’t need to spend a fortune, but take some time to think about your brand and what it stands for.
What is your mission? What are the values that are going to define your business? Setting that clear vision upfront will make developing your brand a lot easier.
As a recruitment agency, you’re under a lot of pressure to set yourself apart from the crowd. The competitive nature of the industry means that it’s more important than ever to have original, strong, branding to distinguish yourself. See our ‘ways to find clients as a startup’ guide here.
Additionally, once you have a wide clientele, you’re going to want to make it easy for them to recognise you from other agencies. Consistent and professional branding that reflects your brand’s values will attract the top talent, making your job easier.
Launching a website is of course essential, with SEO at the forefront of development so you can appear in the searches that count. Adding a blog or news section will help your site rank and show clients that you really know what you’re talking about.
Marketing is ongoing too. Start establishing yourself as an expert on LinkedIn by sharing content and joining the conversation in relevant groups.
5) Don’t ignore your back office functions
Offering the best level of service to clients and candidates is what’s going to make your start-up agency succeed – but you know that already.
One place new recruitment agencies can often fall down is getting overwhelmed with the sheer amount of back office work required. This is particularly the case for the start-ups who are supplying temporary professionals and therefore have the responsibility for processing all their timesheets and payroll.
Here at New Millennia we provide a back office solution that has been designed specifically for businesses like yours. We offer both the software and the skilled team to handle your back office functions, keeping your clients and candidates happy!
6) Don’t undervalue yourself
Deciding on the fees you’re going to charge has to be one of the trickiest parts of starting a new recruitment agency. You don’t want to go in too high and risk losing a new client, but you don’t want to sell yourself short either.
It can be tempting when you’re first starting out to undercut the bigger players in the industry, or agree to super-low rates just to get your first few clients. However, it’s important to remember your value and experience. Remember that moving up from a low rate is very difficult once it’s agreed upon with a client, so begin with a fee that’s fair to you both.
7) Consider Recruitment Finance
As a start up business, you will have a lot on your plate. From dealing with clients to searching for the high-calibre candidates, you and your team will become very busy very quickly. This is where New Millennia can help; we’re dedicated to taking care of the funding for your company whilst you handle the core business activities. It’s our job to make sure you’re not worried about the financial aspects, so you can focus on the day-to-day running of your business. Have a look through our recruitment factoring and accountancy services today to see if we can be of assistance to you.
8) Create trust with your clients
As a start-up recruitment agency, establishing trust with your clients is essential for long-term success. When clients choose to work with a new agency, they are taking a risk, so it’s your responsibility to prove that you are reliable, professional, and capable of meeting their needs.
Start by setting realistic expectations – never overpromise or oversell your services. It’s better to under promise and overdeliver than to fall short of your commitments. Being honest about timelines and your capacity will demonstrate integrity and help build confidence.
Transparency is equally important. Keep your clients informed at every stage of the recruitment process, from sourcing candidates to providing updates on progress. Open, proactive communication, whether through regular calls, emails, or reports, will reassure clients that their needs are a top priority.
Additionally, take time to understand your clients’ business goals, and specific hiring needs. By tailoring your approach, you demonstrate that you’re not just any service provider and are more likely to form a relationship that gets your agency recommended to others.
How can New Millennia help you
We hope these tips and advice have helped you know where to start. Launching a successful recruitment business undoubtedly takes a lot of hard work but by following the steps outlined in this guide, you’ll be in good stead. Remember to begin with a strong plan, cultivate strong client relationships, and consider getting professionals on board to streamline your operations.
Managing back-office tasks while launching a start-up recruitment agency can quickly eat into your time and resources. At New Millennia, we specialise in providing comprehensive back office solutions and funding specifically designed for these growing staffing agencies.
Our back-office solution takes care of everything from payroll and invoicing to credit control and credit insurance. Most importantly, New Millennia provides genuine 100% funding, regardless of your number of clients or current business volume. This ensures you have the financial resources to cover payroll and operating expenses while you scale your agency.
If you need any help with recruitment back-office, funding your start-up agency, or have any other enquiries about our services, then don’t hesitate to get in touch.
