Start A Staffing Agency: The Owner As A Recruiter

Lost Coverage as a PercentageEmployees you send to assignments at any given time will call to either cancel a shift, calls due to illness, car trouble etc. The loss of coverage over a 6-month period of time can be calculated as a percentage.Say you have 300 hours you regularly book on a weekly basis, calculating a loss of revenue at 10% due to your employees not showing up to the assignments for any of the above reasons. 10% per week times six months equals 720 missed billable hours. If you are billing at a rate of $60 per hour, you have a gross loss of $43,200. Hence, you must continually have a quota to hire 1 Full Time Employee per month. You need to make adjustments depending what position your company is in at this point. The larger your medical staffing agency, the higher the loss due to hours missed.The Recruiter's Daily TasksYou will find that if you are wearing two hats both running your medical staffing agency and recruiting, your daily tasks will be tremendously overloaded with interviews.Prioritizing is essential given all the issues you will be dealing with on a daily basis. The convenience you offer your potential candidates generally places the burden on you to be available at their schedule.


I have found that the task that will provide "Value Added" need to be the first priority in any decision making process. It is important to focus your energy on those tasks first, then be able to delegate smaller tasks that require less effort.The Owner as the RecruiterTruth be told if you are starting a medical staffing agency you are the owner and recruiter, the marketer and secretary, the operations manager and business developer as well as the hr representative and scheduler as well as payroll representative.If you are planning on hiring a recruiter, you will need to provide a salary plus commission. You can pay a recruiter between $30,000 to $45,000 with commissions based on FTE and PTE. Make sure the commission is given after the employee's work at least two weeks.Commissions work to motivate and excel the growth process for your company. Motivation can come in different ways, but the true motivator many times in the potential money reward that will be realized a the end of this journey. The biggest challenge for you will be to followup on what is expected of both your employees and your business.