Since the Lehman Brothers debacle in 2008 and the resulting recession that hit the world’s economy, it has been difficult to contemplate doing anything but sit tight. If you have had a safe monthly salary coming into your bank account each month, there has been little reason to think about any change, particularly branching out on your own, no matter how much experience you may have.
Contacts are all well and good, but no one has had totally secure employment in recent years. Hence, relying on those contacts has still been a risk.
The signs in the UK are now much better. It certainly seems to be recovering better than mainland Europe, and that is definitely the case in the South East of England. As demand increases, so do job opportunities. The tendency today is to move more frequently between jobs than in previous generations; perhaps this is because of the feeling that there is always a better opportunity, one that is more interesting and rewarding, around the corner. Most people have repressed this instinct in recent years, but things are improving.
It may spur you into a move – why not use your expertise to open your own business in recruitment? Suddenly, you may see there is a niche in the market that you can fill. After all, you will have been doing the job on behalf of someone else for years, so you already know the way the sector operates.
There is more to setting up a business than experience. You will need to have a business plan that includes a realistic budget, sales forecast and cash flow analysis. When it comes to recruitment, you may have to pay your staff weekly yet give credit to your clients. That is an ongoing feature of running a recruitment agency.
You will need to already have the finances in place in order to set up an office and fund yourself until you can take out a salary; that monthly salary cheque no longer exists, and you must spend your day productively, with little distraction.
The answer, if you decide to proceed, is to talk to an expert in recruitment that can provide support services. This means that you can concentrate your time on development and expansion rather than the administrative necessities that every business faces.
The payroll is an obvious necessity, and it involves you being able to pay your staff on time but also handle the statutory requirements. HMRC wants timely PAYE and NI. If you look online, you can find service companies that will not only handle all of your payroll issues but also resolve your cash flow problems by advancing your invoice revenue immediately when otherwise you might be waiting for weeks. This may just be the thing that finally convinces you to take the plunge. If you want to know how to set up a recruitment agency, there is plenty of support out there. Such a service will guide you through the process, and, before you know it, you will be well on your way to success.
Image attributed to Freedigitalphotos.net Victor Habbick