10 Tips on Starting a Staffing Agency

Starting a staffing agency can be a difficult and overwhelming task to accomplish, especially if you are starting from scratch. The staffing sector is one of the most challenging industries to break into — but if you’re ambitious and have an innovative concept, there’s never been a better time to try.

Your Focus on Starting a Staffing Agency

Starting a staffing agency should not overwhelm you. However, there are ways to establish a structure to ensure it gets done correctly. Follow these tips to get a staffing agency up and running.

Establish a Clear Fee Structure

One of the best ways to attract clients and build trust is by establishing a transparent policy surrounding your pricing. Likewise, clients want to know whether they’ll have to pay a percentage or a flat fee, and they want to know what to expect

Assess Startup Costs Realistically

Just as your prospective clients need to know what they should expect to pay, you need to know what your staffing agency start-up costs will be. It costs some significant money to start a business, including the expenses associated with hiring staff and securing an office.

Focus on Your Unique Skills

Entering the staffing agency game requires bringing a unique set of services to the table — and a particular skill set. As the agency leader, you’ll need to demonstrate that you can use your talents the same way you expect your staff to.

Learn About the Market’s Needs

There are many unmet needs throughout the staffing industry, and as a newcomer to the game, you can set yourself apart by tackling these needs head-on. The best thing you can do is identify the niche needs that other staffing providers have neglected.

Scope Out the Best Talent

You’re only as good as your employees. Look for the best talent everywhere it may be lurking — online, college campuses, and local job fairs are just a few sources for potential leads.

Find Clients to Build Experience With

The only thing more important than your employees is your clients. Additionally, creating relationships with clients is a challenge for any new staffing agency. You’ll build a reputation that you can leverage to gain more business with time.

Plan for Payroll Expenses

One of the most common mistakes a new staffing agency can make is underestimating payroll expenses. Then,  if you cannot cover the payroll, seek out a loan to ensure you can protect your staff’s paychecks. Failure to pay wages can be a significant liability, and it could even affect your staffing business insurance.

Invest in Social Media Marketing

You need to market your new agency, and social media is the best platform. Additionally, social media offers free, easy, and accessible marketing tools that you can take advantage of.

Use Tech to Your Advantage

Most staffing agencies use an applicant tracking system (ATS) to match staff to clients. Likewise, you need to research what ATS is best for your needs and integrate it into your workflow.

Stay On Top of Trends

Trends come and go, but in the staffing industry, they make big waves. Thus, you need to stay on top of the latest news and keep up with any significant changes in the staffing world.

About World Wide Specialty Programs

For the last 50 years, World Wide Specialty Programs has dedicated itself to providing the optimal products and solutions for the staffing industry. As the only insurance firm to be an ASA commercial liability partner, we are committed to that partnership and committed to using our knowledge of the industry to provide staffing firms with the best possible coverage. For more information about Staffing Professional Liability Insurance or any other coverage, we have available to protect your staffing business, give us a call at (877) 256-0468 to speak with one of our representatives.