No statewide business license is required in Florida. However, depending on industry, city or county, specific licenses and certifications may be required. For example, a staffing agency may need a state recruiting agent license. Staffing can be a profitable industry. However, it requires hard work and effort.
Is it hard to start a staffing agency? No, it is not hard to start a staffing agency, but there are some key steps you need to take in order to make your business successful. Currently, 24 states issue employment agency licenses, and agencies operating in multiple states may need to apply for several licenses.
Contact a local Florida medical staffing or placement agency and inquire about hiring or contracting health care service providers. In this article, we discuss the basic steps to start and grow a successful staffing agency.
But starting a staffing agency requires much more than just the basics of forming a business entity and obtaining insurance. Below are some of the essential legal and business documents you need to operate a staffing agency legally.
The cost to start a staffing agency will depend on many factors and can range from $5,000 up to $250,000. Location is one of the biggest factors, along with how many employees you plan to hire, whether or not you want to lease office space, and how much profit you take for placing workers in jobs.
How to Launch a Successful Staffing Agency
Starting a staffing agency can be very profitable. With proper planning, execution and hard work, you can enjoy great success.
Key Steps to Start a Staffing Agency
- Choose a niche
- Review initial costs
- Obtain necessary licenses
Staffing agencies can be quite lucrative with the right business skills and location. In short, they are seeing a lot of business from both companies and people looking for work. The US staffing agency industry accounted for a staggering $248.7 billion in revenue in 2023.
When managed effectively, staffing agencies can be highly profitable ventures. The revenue model is based on charging a fee for their services, typically a percentage of the employee’s salary paid by the hiring company.
The profitability of a staffing agency depends on various factors:
- Type of Staffing Agency
- Size of the Staffing Agency
To determine profitability, you should earn more than your expenses within 9 months. Selling your recruitment agency can also be lucrative. The industry has a steady growth rate of around 3-4% per year. Permanent placement markups are typically 10 – 20% of the employee’s gross annual salary.