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Top five reasons your recruitment firm should outsource

Running a recruitment agency in today’s climate is not easy. A recent industry poll showed that getting to grips with accounting and HMRC compliance was one of the biggest headaches for recruitment firms – and that’s before you consider all the other pressures, such as generating leads and marketing.

Sometimes, when you are spinning several plates at the same time, it can be difficult to adhere to your business plan and make strategic decisions. Therefore, as the compliance maze becomes more difficult to navigate, it’s hardly surprising that we have seen a general trend over the past decade towards outsourcing. It’s fair to say that the recruitment sector is still playing catch-up on some other industries, but the direction of travel is clear.

So why are recruitment agencies transferring in-house functions to trusted service providers?

  1. Time saving

When starting a recruitment agency, it may be easy to juggle administrative work with other tasks such as lead generation. But it’s a fine balancing act. Once businesses hit a certain size, the administrative burden can become overwhelming. Outsourcing gives agencies the time to focus on what they do best – recruiting & matching employees and employers.

  1. Skills shortage

Recruitment firms are not short of talent, but like any business, there may be gaps in expertise. Many firms find outsourcing to a specialist who is dedicated solely to back-office functions is the most sensible long-term strategy to ensure the business runs smoothly.

  1. Cost efficiencies

Employing additional staff to take on administrative duties can be costly. By outsourcing, agencies can avoid the costs of holiday pay, sick pay, paternity/maternity leave, pension contributions and national insurance.

  1. Peace of mind

Having back-office functions running like clockwork can reduce the stress of being at the helm of a thriving agency – giving owners more time to concentrate on business growth and profitability.

  1. Innovation

Delegating tasks to a specialist – who works across the industry and is able to take a broader, more strategic view – is very desirable for many businesses. Many firms find that outsourcing providers offer solutions they had not even thought of. Outsourcing providers are also the first to take advantage of technological advances that will save your recruitment agency time and money.

Having worked with some of the leading recruitment firms in Hampshire, HWB has built extensive specialist expertise in the sector. We are proud to provide bespoke outsourcing solutions for transaction processing and bookkeeping, management accounting, payroll, VAT return processing, and company secretarial services.

If you would like to find out more about how we can help your recruitment agency go from strength to strength, contact me on 023 8046 1256 or email

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