top | item 1873564

(no title)

KoZeN | 15 years ago

That's so hard to quantify but I'll do my best.

Assume that my example is based on a recruiter working for a specialist agency in London. I'll base my estimate on that:

Salary of £60k would probably give you a fee of about £15k meaning the total charge to the client would be about £75k, probably a bit more but you get the drift.

From that £15k fee, the recruiters cut would vary based on his companies bonus structure which is generally based on overall fee's per quarter as opposed to individual placements.

Assuming an average performance per quarter (slightly ahead of predefined targets) a recruiter would probably take home around a grand for that placement.

A general rule in recruitment is that you aim to take home at least the equivalent of your salary in bonus every year. I've worked with guys who were earning in excess of £120k a year after about 3 to 5 years with the same recruitment company.

As for quantity, this once again varies from agency to agency. I have what I consider to be a busy desk and I have 8 open, fillable vacancies in front of me right now and they will be workable for about a week at a time.

discuss

order

charlesdm|15 years ago

Interesting, why not start your own firm then? Is it that hard to get the actual vacancies?

If you know what you're talking about in comparison to 90% of the other people, wouldn't it be a lot easier to place one candidate and get £15k from him rather than the £1k you're getting now.

You say that the general aim is to earn your salary in bonusses, so that means that an average recruiter has to place around 60 candidates per year. If they earn around £15k per person for the company, that makes +- £900k of which they take home £60k. Rough calculations of course, but seems like pretty good margins for people that know what they're doing.

KoZeN|15 years ago

Part of the reason agencies command such high fee's is because of the influence their brand & network has with candidates. There are thousands of self employed recruiters fighting over the scraps and a lot of highly successful self-employed recruiters earning a mint by utilising the personal network they have cultivated from being in the business for many years. I personally haven't been in the game long enough to be able to rely on my own contacts to build a business.