Never used a search firm? Here are some tips on why and how to best choose one to fit your needs:

WHY:

• With consolidation or client ties, you may be limited who you can go after. Search companies can go after candidates that you may not be able to!

• Resumes tell you lots and little; sometimes the resume doesn’t reflect the person. We have all seen great resumes and then been disappointed in the person, as well as seen weak resumes, yet they are perfect in person. Services should screen the resumes AND the candidates so you see only the qualified candidates, saving you time.

• Search firms will cost you, but will save you time; allowing your managers to concentrate on training, supervising & keeping current staff while allowing them to spend more time hitting budgets: time is money!

• Specialized, niche search firms may have already identified key candidates with skills you need; this saves time in the search by not having to totally research the industry before starting to search.

HOW TO BEST CHOOSE A SEARCH FIRM TO FIT YOUR NEEDS:

• When looking at search firms, check them out thoroughly, check references of past clients and placements!

• Ask questions about how they work:

• What is their specialty? 

• How long have they been in business? 

• How many employees and what is their background?

• Do they understand your business?

• Where do they recruit?

• Do they actively cold call or do they strictly have applicants come to them on their own or through referrals?

• Do they handle testing or profiling?

• What all is included in their fee, what hidden charges are billed to you?

• How and how many references are checked on applicants?

• What makes them different from other services?

• Why should you hire them?

• What is their knowledge of your industry?

• Do they “search” or “match candidates”?

• How many searches do they work on at one time?

Find out how they charge:

• Retained -100% of the fee is due within a designated time period (usually 60 days of start) Recruiter focuses on your position and works it diligently until a successful fill is completed

• Contained – A portion of the fee is paid as a retainer, a portion due upon completion of the search, added incentive to fill the job correctly and timely.

• Contingency – Payable only if and when firm secures a candidate that gets hired; companies often assign orders to multiple firms at one time; recruiters tend to focus on the easy fills and may not focus on YOUR job; candidates often don’t take recruiter seriously

For more details on the differences of search, click here.

What is the fee based on? Base; base plus commission; total earnings including bonus?

Do they offer guarantees?

• If the new hire does not work out, what is the policy? Some will give a full or partial refund or will offer a replacement within a limited amount of time. Many services will nullify the guarantee if the fee is not paid in a timely manner.

Do they offer customized pricing to fit your needs? What if you have multiple hires?


Do they work on an “exclusive” or “non-exclusive” basis?

• Exclusive: You guarantee to pay the fee at time of hire; no other recruiters will work on this and if their internal team finds a candidate, that candidate is referred to the recruiter for screening. This can usually be negotiated for a better rate.

• Non-exclusive: You look for candidates at the same time the service does. Some will only charge you only the retainer should you hire without them, depending on the contract.

Does their service include working YOUR information or do they work with you to make sure your hiring qualifications are realistic?

If you work with a service, make a commitment to them and work as partners:

• Give them the details they will need to better match candidates; return their calls as they may have questions, concerns or candidates that need immediate attention to fill the position.
• Keep in mind that a search firm’s goal should be to save you time and money by assisting you in hiring top quality employees.
  

The cheapest is not always the best!

As Warren Buffett is known for saying:
“Price is what you pay, value is what you get!”