Before beginning your staffing business, decide on what is it that your niche will be. It doesn’t matter what type of agency you’re starting, what matters is focusing initially on one place and moving ahead in that area to get you started. It is an excellent idea to know about the various areas you can move into inside the business model you decide on. Learning the various niches within the health care staffing industry will permit you to be better informed in selecting your area to focus on.
Many larger healthcare temp agencies eventually begin to diversify once they can capture larger markets within the region of focus. The challenge facing these types of companies is making certain you do not overwhelm yourself when getting started. Diversification is paramount for temp agencies and may be challenging, yet it’s something that should always be at the forefront of your growth goals for your agency.
You must take into considerations several factors before determining what market to enter. If you have experience in nursing: then it is a good idea to start a nursing agency. In case you have expertise in respiratory or physical therapy: this is the perfect platform for you to enter. As soon as you establish credibility, your next step is to branch out to other modalities. Check out Diversified Staffing Services to get a free quote today.
If you are an ultrasound entrepreneur, then selecting to staff is that this area may be your best choice to make initially. Many bigger companies started with only one area of coverage. They eventually grew and became a leading provider of radiology services.
If you are an existing staffing agency that’s been specializing in radiology, your next choice to input may be respiratory. The trick to success is understanding your market and understanding your competitors. The barriers to entry are basically not huge, but this makes your marketing efforts a lot more valuable and the need to be focused.
If you are a staffing company that has been specializing in accounting, your next step may be executive staffing within the medical staffing industry. The decision will depend on your expertise and ability to get insight and formulate a viable plan that could permit you the ease of entrance into a new area.
Here’s a list of the different kinds of options you may have when starting your agency.
1. Short term or long term medical temporary aid
2. Per Diem staffing
3. Local contracts
5. Physician staffing
6. Immediate Hire
7. Permanent placement
8. Executive search
The above is a good example of the many types of placements it is possible to perform once your business is operating.
To subscribe to the highest ethical and professional standards in operating a diversified and profitable staffing source company engaged in providing excellence and quality service to candidates and employers relative to temporary help, permanent placement and contract staffing.
Offer Outstanding customer service. Grow and maintain a referral network of consumers. Quick response to customer problems with a plan or product. Become established as a major temporary staffing agency.
Increase revenue by Increase marketing efforts. Expand market area. Expand marketing reach. Brand recognition. Increase telemarketing efforts.
Keys to Success
Timing is vital in business. Your company should take advantage of an opportunity to become a highly distinguished and recognized temporary staffing agency leader because of certain key advantages:
The management team has a unique combination of business knowledge and experience in this market. Has combined its experience to offer services for every type of client in this sensitive industry. Has established partnering relationships with major banks & financial companies.
Critical success factors include financing, marketing, quality sales professionals, good management, aggressive branding, increasing reach, affiliating with the right partners, being specific to the needs of businesses and the public, competitive intelligence and appropriate use of technology.
These factors are especially true in our present marketplace, customer service is the vital ingredient and easing that customer support with the critical success factors will put you in continued growth and branding for your staffing agency.
Remember that no success will come without real commitment and work focused on finding and securing accounts along with creating relationships.
With the current state of the market, most companies are in survival mode. Where can business owners reduce costs and not impact the survival of their company? If we outsource some functions of our business so that we can concentrate on our core competencies? If we diversify our business and/or identify additional revenue streams to be able to bring additional funds to the company? Can my funding source stick with us through these trying times? Should I look to market my company, or can I survive long enough to weather the storm? These are all valid questions and will be addressed.
As a staffing operator, you understand quickly that cash flow is king. With the economy taking a turn for the worse over the last year or so, most staffing customers are taking longer to pay their invoices, which then affects the cash flow ability of the staffing proprietor. Payroll and other working capital expenses are needing to be”transported” for longer periods of time, which can set a staffing owner out of business. Additionally, it makes it harder for the smaller staffing owner to take on bigger staffing assignments, as more resources (money, in particular) are needed to fund the engagement.
So where do I cut costs? Lay off, recruiters or salespeople? Lay off or cut back internal staff? Cut back on travel expenses? Move to a smaller location/work virtual? A combination of all of these things might help in the short run, but realize that if you cut headcount, ultimately somebody else in the organization might need to take over those duties. You, as the owner might have to take on the sales/recruitment function for the company, which may pull you away from growth opportunities in other areas. It’s a cost – advantage call in the long run, and a very challenging decision.
What about outsourcing? As a staffing proprietor, revenue is brought in when you place a candidate, whether on a permanent or contract basis with a customer. You charge for those services, bringing revenue into the business. If permanently, the only”cost” for you would be the commission paid to a recruiter who placed the candidate.
There are no payrolling costs involved. If a candidate is placed on a contract basis, they now become your worker, and costs like payroll, payroll taxes, and workers compensation are involved. Rather than hiring a full-time accountant or payrolling clerk, maybe you should think about outsourcing your back office billing, payrolling, and payroll taxes to a third party. Some funders that focus on the staffing industry supply these back-office solutions, in addition to funding the business.