How To Start Your Own Recruitment Company

Starting a recruitment company, just like any other, requires a decision, a bit of vision and a lot of dedication. The good news is that this is a process that has been repeated in the creation of successful companies for decades or even centuries. The bad news is that it is never easy. Each new beginning is just that – a beginning. Let us take a look at some of the options that can help you or affect you negatively on your way to creating a business from scratch.

Impact of experience

The best position to be in when starting a recruitment agency is probably if you’re coming directly from a recruitment management, training or HR position in a larger company. This gives you an overview of the market and, hopefully, means you are bringing a lot of important connections with you. Luckily, previous experience, although helpful, is not obligatory. As with any other company, if you put in strategic planning, hard work, a commercial mind and long hours, you are good to go. As the Entrepreneur says, evaluate yourself and see whether your skills and passions lie here and work accordingly.

The power of Internet

It goes without saying that you need to have your own website and logo, so you can start building your brand as soon as you can. As far as the paperwork is concerned, there are many online options for this. For example, if you aim to register a company in Australia, this is perfectly doable without leaving your house, just like in most countries of the world. Add a bank account to the mix, find an accountant and start some insurance going – and all of this can be done online. What a time to be alive!

Size and location

This depends on your initial capital and business plan, of course, but most recruitment companies remain in the boutique phase with less than 10 workers. This also means you can utilize your own space, such as a shed or basement for work purposes. Alternatively, you can share office space with someone, or go co-working which is a popular option nowadays. If you are planning to go back, that will most certainly involve rather large expenses on office space, whether you purchase or rent it. The good news is that your job is mostly done via internet and phone, so the actual location of your office is not that important.

Who do you recruit for others?

Just like in any other profession, you can choose to specialize or to take the general route. The problem with generalization is that you might be spending too much time and resources on keeping track of everyone and everything. The problem with specialization or niche recruitment is that your focused strategy is good for a smaller number of clients, which leaves you at a disadvantage. If you have the skill and connections, you might aim for recruitment of executives, such as CEOs or CFOs. A good option for pretty much all recruitment companies is graduate recruitment, because those who are starting a business are usually aiming at lower salaries, while the companies are always on the lookout for young, inspired workers.

Who do you recruit for yourself?

Some would say that this should be the easiest thing in the world, to do for yourself what your company is doing for others. Ask any marketing agency about the time they did marketing for themselves and you’ll probably hear some interesting stories. Regardless, this needs to be done and you want to pay attention to experience, but more so to personal traits, as they are very important in recruitment as a business. People skills are quite necessary as your employees will be meeting, talking to and judging a huge number of people. Sales and negation skills go hand in hand, because you want your company to make good deals. And finally, top it off with a nice layer of self-confidence – a genuine, engaging confidence that will appeal to both ends of the recruitment rope.

Software makes your life easier

As you are providing other business with potential workers, you are bound to keep on top of databases and software that can help you. Some software packages will have features such as: absence management, expenses, timesheets, asset management and more. HR software can also help you train and manage people who work for you, while also helping you set goals towards which you can work together. The software is necessary but can be expensive for a startup. Remember that sometimes even simple things that you have just not heard about before, like Boolean search, can help you utilize resources you already have, without the added cost. It is up to you to decide what really is vital for the future of your recruitment company and spend the money accordingly.

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How Would You Choose the Best Quality Shop Signage?

The one thing that every customer notice before entering any kind of shop is the signage of the shop. It is very important for us to ensure that the customer is impressed by the signs. The signs are also important as they help in guiding potential customers to the shops. Hence, we can already see the numerous reasons why having a proper sign is important. Now we know that there are different types of signage available in the market and choose the best signage for a shop is quite difficult.

Different Types of Signage Available in The Market:

So it is imperative for shop owners to know about the different types of signage which are available and then they can choose the best quality signage for their shops according to their nature of business. Here is a list of the different types of quality shop signage that are available for our usage.

  • Fabric Signs

These fabric signs are mostly used for promoting the logo and trademark of your company, and these signs are designed with heavy duty and fade resistant fabric. These signs are great for shop owners who are looking forward to making their store eco-friendly. These signs can easily put up on food trucks or such outlets and be used in retail stores with light boxes. The lightbox framing of the fabric sign will allow the customers to have a better look at the sign and will guide them efficiently. Fabric signs are quality shop signage that can be used for various purposes.

  • Illuminated Signs and Back Lit Signs

These two types of signs fall in the same category where the signs of the stores are illuminated. First, let us consider the illuminated signs which are typically consisting of LED lights. These signs are run on electricity and you can switch off the lights fixed inside this signage during the night. During the day these signs are pretty much the traditional quality shop signage. Next, let us now consider the backlit signs. These signs are usually in the form of a box rather than a three-dimensional design. The backlit sign is a great way to bring out the best of your signs. You can use any type of shapes for these signs and can also use cut out letters for these signs. However, the backlit signs use the electricity throughout the day, unlike the illuminated signs which use electricity only during the night hours. Despite all the factors, these two are famous types of quality shop signage.

  • Awning Signs

For the shops which are on the sidewalk and are exposed to the elements of nature, the awnings signs are the best. These signs are typically made from fabrics which are used for making traditionally awnings. You can customize these awnings with your logo and company name. This is also a great way to attract customers and provides the customers with shade during the seasons while entering the shop. This is also great for business that has outdoor dining spaces as they can be protected from the rain and sunshine. Hence this is also a popular quality shop signage that we find most businesses using.

Apart from these, there are many other signs which are used by the businesses. The other popular signs include banners, metal letter cuttings and other types of quality shop signage. Even you can also use some quality signage for your outdoor brand promotion, and you can paste such signage on wheels. For example, you can paste some of your banners or signage on car, buses and other public transports.

Is California Still the Best Place for Tech Companies?

Hollywood, red-carpets, sun, and beaches… These are some of the things that come to most people’s minds when you mention California. Despite the recent success of “Silicon Valley,” we’re sure tech startups aren’t really the first thing people think about when talking about California.

If you talk to a California resident, you’ll get something along the lines of, “tech companies should probably relocate somewhere else that’s cheaper.” On the surface level, this makes sense – if you manage to lower operating costs, you’ll be able to raise your bottom line.

There’s no fundamental reason why a tech company needs to be located in Silicon Valley, right?

Operating in California requires money

The biggest downside of starting a business in California is the price of the commercial real estate and housing in some of the biggest markets, such as San Jose and San Francisco. Tech giants like Google and Apple have billions of dollars at their disposal, so they don’t have any problems paying the rent.

Moreover, according to Bloomberg, Facebook will actually pay its employees ten thousand dollars to relocate and live near their headquarters.

The cost of an entire industry working in this place is simply enormous. A recent study conducted by Zumper revealed that for every billion in venture capital that comes into California’s economy, rents are raised up to $99 on a monthly basis.  

However, there has to be a good reason why so many aspiring entrepreneurs from Baltimore, Detroit, and other cities are traveling to California, trying to start a company.

What makes California so good for startups?

The reality is this – if you’re starting a tech company outside California or New York, your chances of success are much, much slimmer. Here are a couple of factors that make California so appealing to young tech entrepreneurs:

  • It takes less to raise venture capital

In the United States, venture-backed companies account for around 11% of all employment. Venture capital is pretty important for small businesses and the US economy as a whole. And it just happens that some of best performing funds are located in California.

  • It increases the odds of being bought

If you’re located in a tech hub, you have much higher chances of networking with notable executives and engineers in your industry. Simply put, being a part of the tech community considerably increases your chances of being bought in a shorter period of time.

  • It increases your chances of success

The last thing on our list is fairly simple – starting a company outside of big tech hubs in the country significantly decreases your chances of success. The percentage of companies established between 2007 and 2010 in either New York or California who’ve received a second round of funding is roughly 15% higher.

Pros and cons of starting a business in California

Everything has its pros and cons, including the question whether to launch a startup in California. In addition to things we discussed earlier, here are a few pros and cons of starting a tech company – or any business for that matter – in the state of California.

  • Pro: Access to large markets

From Southern California to San Francisco, California is home to a few million consumers. Starting a business in California will give you access to a huge market, which is crucial for a small tech company.

And that’s not all. Unlike other states, California’s market tends to purchase services and goods no matter the economic climate. While there’s no new recession in sight, it’s better to be safe than sorry.

  • Con: Complicated regulations

California’s laws and tax codes are at times too complicated for growing businesses. For instance, in order to get a license for your business in California surety bond is a must-have.

These bonds work as a protection for the public and guarantee that you’ll comply with the state regulations. The smartest thing would be to ask a local professional to help you with legal issues.

  • Pro: High earnings

The state has more than 3.6 small business owners. Although starting a business has its challenges, there are simply too many opportunities when you’re operating your business in California.

For example, the state’s disposable income on average is almost $2,000 higher than the US’s average, according to BND data. Moreover, an average small business owner earns at least $60, 000 annually.

  • Con: High minimum wages

Minimum wage hikes could possibly hinder your growth. At the moment, according to data from the Department of Industrial Relations, the minimum wage in California is approximately $10, 50 per hour.

If you’re trying to watch your expenses – just like many other new tech companies do – this can be more than limiting. But with a proper budget plan, you can actually determine your best course of action.

The bottom line

Every company is unique in its own way. And while we’re not claiming you should pack your bags right this moment and head off to California, you have to realize that the state will simply increase your chances of success.

It’s not like tech entrepreneurs outside California are any less talented or hard-working, not at all. But the environments outside tech hubs like Bay Area are fundamentally different.

Until entrepreneurs in secondary markets acknowledge some of the shortcomings of their markets and find a way to address them properly, things are going to stay the same. The matter of the fact is – if you want to build a tech business where you live, you have to be prepared to pay a heavy toll.

Increase Your Response Rate to Job Candidates

Be Relevant

The days of sending generic recruiting emails (We’re Hiring!) to potential candidates, hoping that someone actually responds, are coming to an end… and it cannot come soon enough.

Candidates, especially the best ones, are increasingly exhausted and frustrated by the deluge of generic emails they get from recruiters. Generic emails go where they should – in the trash, with the sender either blocked or relegated to SPAM limbo.

It does not need to be this way though. Today is the day you get relevant, right up front, and with relevancy comes response.

Consider: In our research at Paysa, as well as our years of hiring thousands of people across many companies, we have found that people take jobs based on five factors:

  1. Salary: Will I make a competitive salary?
  2. Team: Will I be working with people that I can learn from, that I can respect and trust, and reversely, will I have the ability to contribute and teach?
  3. Impact: Will my skills and experience be leveraged in a way to make an impact?
  4. Future growth: Will this position help me grow my career?
  5. Company: Am I excited about the prospects of the hiring company?

If you want to drastically increase your response rates with candidates as well as your hiring success rate, anchor your communication in these areas from the outset.

Too many recruiters and/or hiring managers hide much of this information until the end (often bitter) which can result in no response, or even worse, a disconnect in the position match.

Relevancy = Response. Start early.

In our experience, the perfect job candidate email contains a mix of the following information:

Money: What can the candidate expect to make? By creating a ‘fake’ profile (skills, experience, education) for your candidate on Paysa, you can determine what they are making at their current company. Using this information, you can better position the salary of the new job: “Opportunity to make more than you are making today”…

Skills: Highlight the candidate’s core skills and experiences that make them a such a good match. Give the candidate a sense for how those skills and experiences are needed by the hiring company, and subsequently their ability to make an impact. What new skills will they be acquiring and what is the market value of those skills?

People: Let the candidate know the background of people they will be working with at the company. How good is the team? Paysa’s CompanyRank is a great tool for this – it measures and tracks the density of technical talent of companies over time.

Company: Tell the candidate what is special about the hiring company – it could be size of the company, customer or data access, market opportunity, the people, etc.

While it takes more time to create targeted emails, the results will be worth it. Happy hunting!

About the Author

Chris Bolte, CEO & Co-Founder at Paysa

Chris Bolte, CEO and Co-Founder of Paysa.

Chris is passionate about helping employees maximize their value across the arc of their career.

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