{"id":465,"date":"2021-09-21T00:00:00","date_gmt":"2021-09-20T23:00:00","guid":{"rendered":"https:\/\/newmillennia.creativespark.co.uk\/how-to-start-a-recruitment-agency\/"},"modified":"2025-03-11T16:24:59","modified_gmt":"2025-03-11T16:24:59","slug":"how-to-start-a-recruitment-agency","status":"publish","type":"post","link":"https:\/\/www.newmillennia.co.uk\/blog\/how-to-start-a-recruitment-agency\/","title":{"rendered":"How To Start A Recruitment Agency"},"content":{"rendered":"

Deciding to start a recruitment agency is an exciting move, but there are quite a lot of different factors to consider to ensure you have everything in place to make your business a success.<\/p>\n

Here at New Millennia we\u2019ve worked with startup recruitment agencies for nearly 20 years. We understand both the opportunities and the challenges.<\/p>\n

Below we\u2019ve summarised what you need to consider. Feel free to explore the rest of our blog<\/a> which has lots of useful advice for startup recruitment agencies:<\/p>\n

Choose a Specialism<\/b><\/h3>\n

If you\u2019re looking for advice about starting your own recruitment agency, then we always recommend choosing a specialism. Being a recruiter that will handle any role might work for larger agencies, but it won\u2019t if you\u2019re a recruitment startup trying to find your place in the market.<\/p>\n

We always find it\u2019s best to stick to what you know! If you\u2019ve worked in marketing recruitment previously, then chances are you\u2019re thinking of starting your own marketing recruitment agency<\/a>. Starting a business is hard enough. You don\u2019t want to be learning a completely new sector, as well as how to run your own business!<\/p>\n

Choosing a specialism or niche allows you to really carve out a place for your recruitment agency. It also gives you a way to get in the door with new clients and develop your brand.<\/p>\n

Research the Market<\/b><\/h3>\n

Before you start setting up your own recruitment agency, you really need to do your research to ensure you fully understand not only the market, but also the recruitment industry itself.<\/p>\n

It\u2019s essential that you assess the competition.<\/p>\n

This means thoroughly researching recruitment agencies both big and small that specialise in your industry. Not only will you learn more about the kind of roles and clients they represent, but also about the way they use their brand to connect with industry professionals.<\/p>\n

Comply with Recruitment Rules and Regulations<\/b><\/h3>\n

There\u2019s a lot that you need to know when it comes to recruitment rules and regulations.<\/p>\n

You need to think about your responsibility as an employment agency by complying with the Employment Agencies Act 1973<\/a> and the Conduct of Employment Agencies and Employment Business Regulations 2003<\/a>.<\/p>\n

Then there\u2019s the National Minimum Wage and National Living Wage Rates<\/a>, and Agency Worker Regulations 2010<\/a>.<\/p>\n

Then there\u2019s tax and GDPR regulations to think about, before you\u2019ve even considered the rules you need to comply with when setting up any new business.<\/p>\n

It might all seem a little overwhelming, so to help we\u2019ve summarised recruitment agency rules and regulations in more detail here<\/a>.<\/p>\n

Set Your Pricing<\/b><\/h3>\n

Before you embark on your new business, you need to decide on your fees. Take into account not only your own time, but also other investments you\u2019ll have to make, such as job boards.<\/p>\n

When starting out it can be tempting to simply undercut the larger recruitment agency you may have previously been employed by. However consider the message this sends to the client.<\/p>\n

Plus you need to remember that starting low then trying to get a better fee on the next placement can be challenging!<\/p>\n

Consider the Costs<\/b><\/h3>\n

There are of course a number of different costs that you need to consider when you\u2019re starting your own recruitment agency:<\/p>\n