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Many recruiters have aspirations to go it alone and start up their own recruitment business. Long working hours, minimal financial reward and the stresses of meeting sometimes unrealistic targets are the main drivers for recruiters wanting to go solo.

But many often talk themselves out of it as they feel they are not ready or are nervous about leaving the safety of working for someone else. If you are unsure if you are ready to go solo, we’ve identified five key signs that now is the right time for you. Let’s explore each of them in more detail.

1. Margins are on your mind

There’s no denying there is money to be made in recruitment, but while you are working for someone else your personal earnings will only be a fraction of your billings. On average, a recruiter’s salary and commissions are usually around 20-40% of the total net income they generate from personal sales.

While this can depend on the payment structure of your employer, even at the most generous end of the scale it’s still only a fraction of what you could be earning if you went solo. Thinking about margins and knowing what you could be earning versus what you are earning is often an early indicator that you are ready to make the jump.

2. You’re thinking about the future

Recruitment is fast-paced, and you are often living in the here and now, but those who are ready to launch their own recruitment business often think about the future more and more. You may be asking yourself questions such as:

  • Will this job set me up for retirement?
  • Could I be earning more?
  • Would I be better putting this hard work into building my own business?

If your mindset is switching from short-term commission cycles to long-term plans it’s a good sign that your desire of launching your own business is more than just a pipe dream.

3. You’re confident you have the right skills

Working for a recruitment agency can help you build an excellent foundation for launching your own business. From sales and marketing to negotiating and people management, they all stand you in good stead to go solo.

As a successful recruiter you already know that you have the right skills to win clients, get job orders and find and place candidates, so when you combine this with the other skills you have picked up along the way you are in a great position to start your own recruitment business.

4. Daydreaming about your brand

If you already know what your business would be called and what your branding will look like, these are signs that you are ready to go solo. Before any business planning takes place, recruiters often have a clear vision of the name and look and feel of their company, and while it may feel like you are a long way from that part, working toward a vision can help you plan other aspects of your business.

So if you are daydreaming about your brand or maybe you’ve even sketched out some ideas, it could be a great time to start business planning and drill down the finer details of how your own entity will come to life.

5. Growing your network

As a recruiter you are in the business of people, so your network is constantly expanding but if you are making strategic connections with people that you think will be useful to know if you were to set up your own business, this is a sign that you are ready to take the next step towards launching your own business.

Expanding your network with people that have expertise in business development, finances or those who are successful recruitment business owners can provide you with a wealth of advice from people who have already done what you want to do.

How SSG can support you

At SSG we have helped more than 500 recruitment businesses over the past 20 years, making our team well placed to assist you in launching your recruitment business. We have successfully traversed the industry’s changes over the last decade and can provide solutions that make it possible for our clients to outperform their competitors.

Allowing our clients to focus on recruiting and billing takes the stressful elements out of running a business. There is no need to worry about accounting, marketing or legal process – leave all that to us, it’s what we do.

Our number one goal is to make it as easy as possible for you to achieve your dream of launching and running a successful recruitment business.

Are you ready to go solo?

If you are ready to elevate your income, enhance your work/life balance and make a difference in the current labour shortage crisis by starting your own recruitment business, download The Ultimate Recruitment Business Startup Guide 2023 Edition to get you started.

It takes courage and resilience to start your own recruitment business. There is more responsibility with being a business owner than with just being a rockstar recruiter. However, you don’t have to take the journey alone, SSG is here to provide the support you need.

Next Steps

Ready to talk to us? Schedule a call today with a member of our team to see how we can help you launch your own successful recruitment business.

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