REC Blog

Thinking of opening your own recruitment agency?
Thinking of opening your own recruitment agency?
Business Advice 13th Nov 2019

The one big piece of advice we give individuals who are serious about setting up their own recruitment business is to invest a lot of time into research. To identify your niche, you need to know what the industry is made of and what it’s lacking.

If you’re someone with limited recruitment experience, your research should focus on the following areas:

  • Types of placement (permanent, temporary, fixed-term contract, etc.)
  • Sector or industry (where is the most demand for skills now?)
  • Job seniority and functions (executives, managers, office professionals, etc.)
  • Location and region (local staff demand and supply etc.)
  • And more importantly, legislation for recruitment business and the specific regulations affecting your sector (e.g., Food Industry and GLAA license, IR35 and drivers/constructions/technology, etc.)

We have a range of recruitment industry reports to give you insights in order to aid better business planning. Exclusive to our December Start-up course, attendees will receive a free copy of our popular Recruitment Industry Trends report (worth £500) when you sign up before 29th November. Find out more here.

How to set up your own recruitment agency

Recruitment law could be your biggest nemesis

Recruitment is a well-regulated industry, and the repercussions of not complying with the applicable legislation could land you with penalties, complaints and affect your brand reputation (before you even scale up). Your “commodity” is people, so it is paramount that you comply with the statutory rules including:

  • The Employment Agencies Act 1973
  • Conduct of Employment Agencies and Employment Businesses Regulations 2003 (Conduct Regulations) which will be amended on 6th April 2020
  • Employment (Miscellaneous Provisions) (Northern Ireland) Order 1981
  • Conduct of Employment Agencies and Employment Businesses Regulations (Northern Ireland) 2005

And that is why one of the three days of our recruitment start-up course is dedicated to recruitment legislation, covering all the above but also terms of business and contract law, recruitment checks, data protection, health & safety, unfair dismissal, insurances, the Agency Workers Directive and more. Sign up to our December course here

How to set up your own recruitment agency

Get started with the REC

Read the story of Angela Middleton, MBE, Founder and Owner of Middleton Murray, a recruitment business, multi-award-winning apprenticeship training provider, whose first footsteps in recruitment were assisted by REC’s Start-up programme.

How to set up your own recruitment agency

Click on the banner below to register your interest to our Start-up course, and a member of our team will call you shortly to book you onto our course.

How to set up your own recruitment agency

The Recruitment & Employment Confederation

The REC is all about brilliant recruitment, which drives our economy and delivers opportunity to millions. As the voice of the recruitment industry, we champion high standards, speak up for great recruiters, and help them grow. Recruitment is a powerful tool for companies and candidates to build better futures for themselves and a strong economy for the UK.


View More articles by The Recruitment & Employment Confederation >

Post a comment

Recruitment Industry Trends 2017/2018
Back to top
Award winning services AEA award logo