How to Start and Run Your Own Recruitment Business Successfully

Starting your own business is the best alternative to doing services. Doing service has one greatest benefit that you get the salary on time and in return you need to dedicate everything for the job. You need to sacrifice your personal life, your hobbies etc. For that reason, we all once in our life give a thought of starting something of our own. In this post, we will discuss the detailed procedure of how to start your own recruiting firm, its pros and cons and few important tips to run it successfully. Starting a recruitment business is a very attractive way to earn from home.

What is the Role of a Recruitment Business and How It Works?

A recruitment firm helps to search for jobs. They have the required linkups and system to send the candidates with the appropriate expertise to the most suitable company for an interview. The recruitment firm helps the candidates by training them with the basic knowledge required for the interview and train them accordingly about the interview process in details.

So the question is how you can earn the profit by starting a recruitment business. The recruitment firm can earn by three ways:-

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  1. Take a portion from the salary of first few months from the selected candidates.
  2. Take commission from the hiring company for the referral. This system has some rules like the hired candidate must work for a fixed period of time.
  3. Both of the above.

The biggest advantage of starting a recruitment business is that you don’t need to do the work on your own. Just train the candidates with the basic and if hired you can enjoy the sweet.

Just assume that ten of your referred candidates get selected for a job with take-home salary of average 10,000 and you charge them 20 % of their salary. That mean for the next three months you can just enjoy 25000 Rs getting credited in your account for the work which is been done by someone else. Over that, you can enjoy the referral commission from the company also. Can you now calculate the figure of profit that you can earn if you start your own recruiting firm?

Market Potentiality of Recruitment Business

In every state, there are millions of young graduates who are looking for jobs but don’t have the proper source or knowledge about the same and with the rapidly developing private firms, the job opportunity is also very high, especially in urban areas.

The companies also prefer hiring from the recruitment agencies as their candidates are trained and have basic information about the job and most importantly the recruitment firms can send bulk candidates whenever a company is in need of large-scale hiring.

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Steps to Start your Own Recruitment Firm

Starting a recruitment business doesn’t require much trouble. The procedures are very simple like: –

Trade License and Other Legal Formalities:

Getting a trade license is the basic for starting any kind of business. To start your own recruiting firm you also need to get a trade license from the nearest municipally office or concerned department. You will also need to open a current account for the same.


You can start your own recruiting firm at your residence only. It will be better if it is near to any main market, but at the beginning to avoid much investment you can start from your home only and late move the business to some busy place.

These are the two formalities that you need to do to start your own recruitment firm but to get success in the business you need to follow two more steps:-

Create Relationship with Companies:

You need to have a good relationship with all the companies you want to work with. At first start from small companies and gradually develop your area of work and have your firm enlisted with the bigger giants. Having a widespread area of work will give you a great boost to your business as you can send your candidates in different places for the interview. If they fail in one, there will be another substitute for trying.


This one is the most important aspect for the success of your business. You need to do the promotion in a smarter way like a poster of your consultancy firm near any high school will not give you the desired result as it will if placed near colleges or universities. Few important and effective way of promoting your business are: –

  • Create your company’s website.
  • Publish as in local newspapers.
  • Posters near colleges and universities.
  • Distribution of handbill near colleges and institutes.
  • Campaign near colleges and institutes or in rural places.

Important Tips to Getting Success by Starting a Recruitment Business

Every business needs some basic mantras for the success, so here are few of them which you can try: –

  • Never stop the promotion.
  • Increase the promotion during session endings.
  • Do not leave the rural areas. Arrange campaigns in regular interval.
  • Do not try to start big, begin like a plant and grow to a big tree.
  • Offer other services like basic computer training, spoken English, typing etc. It will fetch regular income.

So what are you waiting for? You can even start your own recruiting firm as a part-time business while working and if you find that you can earn great by devoting a bit more time, you can leave the job and concentrate on the business.

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How to Start and Run Your Own Recruitment Business Successfully
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How to Start and Run Your Own Recruitment Business Successfully
Starting a recruitment business is a very attractive way to earn from home. Check its pros and cons and few important tips to run it successfully.
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Home Business Ideas Center
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