Tips for Starting a Staffing Agency or Resume Service

3 Women at staffing agencyStaffing services and recruiters are in high demand because they are really efficient at connecting workers with employers.

Not only do they save people time, but they often are able to locate better and higher-paying jobs for employees – and better skilled workers for the companies that need them.

Staffing agencies can focus on a particular field, such as accounting or marketing, or they can cover the entire spectrum of jobs, including temporary or contract work.

Only a small number of personnel is required to handle recruiting and clientele. Even the largest international firms tend to function with small, mostly-independent branch offices serving specific regions. This modular structure means it is quite possible for a one-office temporary staffing agency to compete effectively with established firms.

Overall, the triple-benefit to clients, associates, and entrepreneurs has contributed to the phenomenal growth of the temporary staffing industry. Because of these advantages, it will remain an integral part of the employment process through good times and bad.

Start-up Costs

$5,000 to $25,000

The startup and operating costs of a temporary staffing agency are much lower than many other businesses. The basic requirements are a small office with the typical supplies, a computer system with general accounting software and database software for organizing contracts, and the people skills to work with clientele and associates. It would not be impossible to start a temporary staffing agency on a shoestring budget of a few thousand dollars.

The largest business expense is payroll. It is common for associates to be paid by the agency before the agency is paid by the client. An account must be maintained with sufficient funds to cover payroll costs until bills are paid by the clients.

It is difficult – but not impossible – to get help from venture capitalists in covering part of the costs of setting up a temporary staffing agency. A well-researched, forward-looking business plan is essential.

Pricing Guidelines for Service

Associates are paid by the hour, and the agency covers its costs by charging a premium to the amount billed to the client. The exact amount of the premium differs from case to case and can vary from 5% to 50% or more. Some associates are willing to work for less and some clients are willing to pay more, which when properly matched can result in very decent profits for the temporary staffing agency. The contract usually spells out a flat fee to be paid to the agency in the event that a client decides to permanently hire an associate.

Advertising and Marketing

A competitive hurdle for small startups is that larger agencies already have established reputations and brand recognition. This is actually a minor obstacle because of the localized nature of the business. It is not necessary to wage a national marketing war to gain exposure for a new agency. An inexpensive and well-directed marketing campaign can quickly build a valuable reputation within the local operating region of the startup.

Essential Equipment

A home office should be equipped with a computer system with an accounting program and management software. A printer is necessary for printing invoices and job listings, and a high-speed Internet connection is required for doing job searches.

Many temporary staffing services have computers with tutorial software available to help associates to train their keyboarding and basic office software skills. These computers are also used to test the skills of applicants.

Target Market

A temporary staffing agency is the middleman between two distinct markets: clients and associates. It is usually not a difficult matter to reach hundreds of applicants with simple help wanted advertisements. More focus will probably be placed on connecting with client companies and convincing them that your services will help their businesses.

Certain industries seem more receptive to temporary staffing. Financial institutions and other office-centric companies are constantly seeking qualified office support staff. Factories frequently need labor for light industrial work, product assembly, and shipping and receiving tasks.

Hospitals and clinics use temporary medical staffing to hire transcriptionists, certified nursing professionals, and other support staff. Increasingly, high-technology companies hire computer programmers, database specialists, and systems engineers on a temporary basis through agencies specializing in technical placements.


How to Start a Staffing Agency

Recruiters are at an advantage with a background in human resources, business management, and marketing. A degree is not essential for starting the business, but the knowledge gained through a business management program is immensely helpful.

People skills are important, and can be learned through experience and self study. Numerous books have been published, specifically addressing temporary staffing as a business opportunity.

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Start a Resume Writing Business from Home

Professional woman typing resume on laptopThere are always people looking for jobs, and along with that comes a constant need for products and services to help people find work. This means that workers are looking for job placement assistance and help writing a resume.

If you want to start a resume writing business, there are clients who need your help. Interestingly, this field has an advantage in a down market: when more people are out of work, there is even a greater need for this service.

Resume Writing Training

Certification is not required to become a professional resume writer. However, if you can show that you have achieved a higher level of training and are better qualified than your competition, you are likely to win more resume writing jobs.

You can take a Resume Writing Workshop
that is designed for people who want to learn how to write resumes and cover letters for profit. The Resume Writing Academy offers an online course with ACRW Certification that can help you gain that qualified status and also give you the skills to complete better work and therefore get paid more.

You can also get expert resume writing tips from a simple book for under $10. The Resume Writing Handbook can help you write outstanding resumes and also cover letters for multiple clients having different needs.

Also worth picking up is Jay Conrad Levinson’s and David Perry’s Guerrilla Marketing for Job Hunters. When you can give your clients tips on how to stand out to potential employers using free social media tools, they will love you. This book shows you how, and it’s a cheap resource that can help you make lots of money.

Resume Writing Software

As an owner of a resume writing business, there are multiple tasks to manage. To maximize your efforts and complete jobs faster, you can take advantage of time-saving tools like resume writing software. What’s nice about software programs is that you only need to buy them once, and you can use them over and over again to make you money.

In the resume business, the more jobs you can successfully complete, the more income you can generate, so time-saving tools are worth their weight in gold. However, you don’t want to churn out standard work.

In order to get tons of customers, you need to hand your clients top-notch resumes that land them jobs. When you do this, they will automatically refer all of their friends and associates to you, and you will never have to go looking for clients. So how do you do this?

The bottom line is that a great resume needs to be a great sales letter. Many people don’t treat their resumes like a sales letter. You can solve their problems by doing this for them. Even if you don’t know how to write a sales letter or a top-notch resume that sells – you can do it with the Amazing Resume Creator. Check out the website, get the free tips and see what people are saying about it.

Marketing Your Resume Writing Business:

In a situation where you are competing against large, well-known companies, if can often work in your favor to network in your local community and get to know people face-to-face. People want to do business with people they like. If people get to know you through community activities and events and they see that you are a friendly, reliable person who is knowledgeable in your trade, you can build your business on word of mouth referrals alone.

Conduct a Free Workshop for Job Seekers
By conducting a workshop on a topic like “Tips on Finding Your Perfect Job”, you can demonstrate your knowledge and skills and advertise your resume writing service without spending a lot of money.

Advertise on Facebook
Facebook is growing fast in popularity, and they’ve made it really easy to advertise on the site. Similar to search engine advertising, you can pay-per-click or you can pay-per-impression. Either way, you have the ability to target your ads to a very specific market, using their ad filters. For example, you can filter by location, age, gender, education, interests and more. This way, you’re not wasting your ad dollars advertising who aren’t looking for jobs.

Start Your Own Staffing Agency
How to Plan, Start, Manage and Operate your own staffing agency business
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