How to Start a Staffing Agency from Home

Being an entrepreneur from home has never been easier. With the internet, you can do just about anything you want without ever leaving your house! When I first decided to start my own staffing agency, I had no idea where to begin.

After a lot of research and trial and error, I found that starting a staffing agency didn’t need to be difficult or expensive. If you’re looking for some tips on how to get started with this business model, keep reading!

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Consulting industry today is a multi-billion dollar market. And while it’s been hard for new entrepreneurs to break in, the internet has revolutionized how businesses can be launched from home.

With this guide, I will share everything you need to know about starting your own staffing agency—from finding clients and landing jobs to setting up your business.

What’s the duty of staffing agencies?

Staffing agencies help businesses find qualified candidates for job openings. In exchange, staffing agencies typically charge a fee from the employer of between 15% and 25%.

For example: If an employee is earning $20 per hour on a 40-hour workweek, then their weekly gross pay would be approximately $800 (not including any overtime pay, bonus pay or benefits).

If the staffing agency’s cut is 20% of that amount ($160), then the employee would be earning about $640 per week.

What’s a staffing agent?

Staffing agents are recruiters who work for a company by finding employees to fill job openings on behalf of businesses.

These agencies range in size from large firms with hundreds of employees to small, one-person operations.

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What is a staffing agent’s responsibility?

A recruiter’s duties vary depending on the type of agency they work for and where they are located within that company, but typically include finding qualified applicants by contacting schools or previous employers, reviewing resumes, and interviewing qualified applicants.

What is a staffing agent’s salary?

Staffing agents can make anywhere from $20,000 to over $100,000 per year depending on their responsibilities within the company they work for and how many years of experience they have under their belt.

How much an individual earns will also depend on geographic location ( in more expensive areas, like New York City or Los Angeles).

How do staffing agencies make money?

Staffing agencies make money by taking a commission on the salary that an employer pays to the employee.

So, for example, let’s say you find someone who wants to work at your company as a developer and they’re making $100 per hour. The staffing agency would take about 20% of his or her paycheck ($20) every time they get paid.

The first step in starting your own staffing company is to research other agencies that are already established and see what it takes them to start up their business (how much money they need, where can you recruit employees from, etc.). The next thing that you’ll want to do for yourself

Decide on the type of agency you would like to work for (whether it be in-house at an organization with many employees, large firms, franchise business owners). Next, research which companies are best suited for the type of position you want to fill.

How do staffing agents find jobs?

While there are many different ways that a human resources professional can find employment, they may go through job boards or use social media sites like LinkedIn.

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They will also likely attend networking events and conferences where they network with people in person, making contacts and leads for future jobs.

When should staffing agents start their own business?

The decision to create a private agency or professional services firm is one that takes careful consideration and there are various factors to take into account, such as the type of industry you plan on servicing (i.e., healthcare vs. manufacturing) and your desired level of independence.

If you want to start an agency, there are a few things that your business needs in order for success:

  • An office space or other physical location
  • A website with contact information and portfolio of current employees available on the site
  • Marketing materials such as brochures, business cards, flyers, etc.

10 Step to Start a Staffing Agency from Home

Know the industry you want to work in.

Know what type of staffing agency you want to start: temporary, permanent placement, or both.

Determine your business structure and whether it’s a sole proprietorship, partnership, LLC (limited liability company), etc.

Narrow down the location for your office space or other physical location. Consider how long you want to lease for and the type of building (i.e., warehouse, retail).

Create a website with contact information and a portfolio of current employees available on the site. Consider how many people will work at your staffing agency so that you can create an employee page or section on your site(s) as well.

Do research on all major competitors in your industry for the resources you’ll need. For example, if you’re starting a staffing agency for IT professionals try searching keywords like “IT staffing,” “temporary recruitment agencies” and other terms related to your industry on Google Adwords Keyword Tool or similar tools.

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Consider what type of branding will work best with your company’s values and target market. For example, if you’re a staffing agency that places people in retail jobs, consider using colors and designs associated with the industry.

Come up with an innovative business name that reflects your company’s mission, values, and branding.

Make a list of at least five business names you think will work well with the direction/branding for your staffing agency as well as some that are more generic so that if you don’t like anything on this initial brainstorming list of ideas, there is something else to choose from.

Get a suitable insurance policy. Consider who can help you with your staffing agency. Do not do everything on your own! Enlist the help of friends, family members, and so forth to get started.

If they live far away or don’t have any interest in being involved in this venture at all, consider hiring people for specific tasks like social media management and marketing campaigns.

Conclusion

Continue to research your potential competitors. Identify the staffing needs of different clients and how you can address these concerns with your agency.

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