1 in 5 recruiters are now loss making

dodgy_Dave · 02-09-2009, 10:07 AM

1 in 5 recruiters are now loss making

Oh no!

All I can say is, ours is OK at the moment....

Beefy198 · 02-09-2009, 12:26 PM

I'm surprised that that figure isn't higher. Teams of consultants, expensive tendering campaigns for the potentially big clients, wining and dining freelancers, paying invoices and then having to wait another month or two to get payment from the client...

CliveP · 02-09-2009, 01:54 PM

Quote:

Originally Posted by Beefy198

I'm surprised that that figure isn't higher. Teams of consultants, expensive tendering campaigns for the potentially big clients, wining and dining freelancers, paying invoices and then having to wait another month or two to get payment from the client...

30% average margin helps, even if they are only placing a few contractors!

bez · 03-09-2009, 08:48 AM

Not all take 30% margin though, especially the office temp sector... surely?

Malvolio · 03-09-2009, 12:44 PM

Quote:

Originally Posted by bez

Not all take 30% margin though, especially the office temp sector... surely?

Quite the reverse. Lower pay doesn't mean the business is any cheaper to operate, hence the margin goes up in inverse proportion yo the rate.

BTW, I worked though a PSLed agency for a major Oil Company. They were on a fixed 5% margin.

BrilloPad · 07-09-2009, 05:40 PM

Quote:

Originally Posted by dodgy_Dave

1 in 5 recruiters are now loss making

Oh no!

All I can say is, ours is OK at the moment....

I am amazed that more pimps have not gone under.

Bully's Special Prize · 08-09-2009, 06:48 AM

I think some were a little too bloated, so might have got rid of some staff to even things up a bit on the books.