I agree with Pam, based on your experience level the structure seems fair. The area I question, if you find the client and the candidate, have no draw, then it appears you are giving them 50% of your fee?
Scenario 1 seems good, if they fill your job or you fill their job, you get 25% (although 50/50 seems better).
There are a lot of factors in play here;
1. If you are new to the business, this is a great starting point.
2. If your end goal it to get your own business off the ground, then this is a good way to supplement your income.
3. Do you have current clients you are working with?
Best of luck, I may have went a tad off subject, but hopefully this was helpful.
Are you working their job orders, or yours? Do they also let you have access to their database of candidates - do they have one? If the resources and job orders are theirs, then 35% seems like it would be o.k.
If you bring in the job order and fill it, then I would try for a higher percentage.
Does anyone know what market value is in the NYC market for commission on temporary billing for a 1099 recruiter working both client and candidate?
If I may throw in my 2cents; if you're currently working from home 100 percent, why don't you just branch out entirely on your own, forget getting clients just focus on sourcing candidates for direct vendors or other recruiters/firms who have the job order then you take fifty percent of the entire fee, one deal can easily yield anywhere from six to twenty thousand depending on the job order. lets say ten grand average, do one a month and you're already at hundred and twenty thousand take home-well after miscellaneous expenses.
Michael Madrid said:
I do not go into their office every day. I work from home exclusively. I am new to recruiting, but I am only getting 50% when I source both the client and the candidate - otherwise I am getting 25%.
Legally, you are right - I am in no way an employee based on my agreement with the recruiting firm, but they mention a "non-compete" clause that does not seem to allow me to compete with the recruiting firm - allowing me to source and find candidates on my own if I ever wanted to circumvent the recruiting firm.
Pam - can I send you a copy of the agreement to take a look at (of course the names will be changed to protect the innocent) - but you will get the idea.
So it seems like you think "half of everything" with the recruiting firm is equitable - a 50/50 split with them all the way around. Seems like the recruiting company really makes out when I source both candidate and client. And it also seems like they make a killing when they get 75% of what they bill when I source the candidate.
But I'm still learning though.........I just want to make sure this is fair for me because I do not know this business yet...
Thanks again so much for your help!!!!