A comparison of our firm to a headhunter and a temp agency
shows a dramatic savings of over 60% with our approach to
recruiting candidates for our clients.
Take for example a search to hire a $30,000 per year
1. $6,000 Search Firm Fee – A typical search firm charges
a finder’s fee of 20% or more of a candidate’s 1st year
2. $5,000 Temp Agency Fee – A typical temp agency offers a
13-week contract (520 hours) and allows a company to “buy
out” the contract at any time by paying the balance of the
13 weeks not worked, which is referred to as “temp to
perm.” Because of the mark-up utilized by a temp agency,
these 520 hours represent about $5,000 for this $30,000
position. The result is that agency fee greatly exceeds
the direct cost of hiring an employee.
3. $1,250 to $1,875 Investment – If our firm conducted the
search and spent our typical 10 to 15 hours on the search
at an hourly rate of $125 per hour, a client would have a
60%+ savings compared to the fees of a search firm and a
We recently hired a $100,000 executive for a client and
the search took 13 hours (i.e., $1,625) to complete. A
headhunter would have charged $20,000+ for the search.
The savings to our client in this case was over 80%.
HR POINTER: What most companies don’t realize is that
search firms and temp agencies have EEO constraints that
seriously limit their ability to sift out candidates who
don’t meet specific job needs. As such, they are often
obligated to submit candidates to a company who clearly
don’t meet the company’s needs.
In comparison, our firm acts as a consultant to management
in the search process. As such, our interviewing service
does all the behind the scenes work of reviewing dozens of
resumes and conducting phone interviews. Then, we deliver
to the hiring manager the top 3 to 5 candidates for
The result of our service is that the Time-to-Fill Ratio
is a matter of a few weeks, compared to a few months if
the company conducts the search on its own.
For a complete overview of our interviewing service,
please view our webpage below: