Main Steps to Start a Recruitment Agency in the UK
Recruitment agencies in the UK are divided into two types: contingency and retained. Contingency recruitment agencies charge a fee only when they find a suitable job for their clients, while retained agencies charge a fee upfront.
Getting Started with a Recruitment Agency in the UK
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Thorough Research and Planning:
Conduct research on the industry, understand the local job market, and legal requirements. Create a solid business plan outlining goals, target market, services, and financial projections. -
Membership and Compliance:
Join a recruitment membership organisation like the Recruitment and Employment Confederation (REC) to show understanding of employment law and ethical standards. -
Industry Insights and Compliance:
Explore how to start a recruitment agency on a budget, make informed investment decisions, and ensure compliance with legal requirements and licensing.
How to Start an Agency in the UK
To start a business in the UK, company directors and shareholders must sign a memorandum of association and articles of association. Employment agencies source jobs for job seekers and provide permanent or temporary employee placements.
Tips for Starting Different Types of Agencies
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Travel Agency: Gain industry understanding, analyze trends, competition, and customer preferences. Find a niche, tailor services, and comply with legal obligations.
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Real Estate Agency: Get certified and licensed, register with Companies House, and seek professional guidance.
Starting a recruitment agency in the UK is a lucrative venture given the rising demand and market opportunities. The industry significantly contributes to the UK economy and continues to grow despite challenges and disruptions.