The per-hire cost of using a traditional recruiting vendor: | |||
20% Fee | 25% Fee | 30% Fee | 35% Fee |
- 100K Salary (20K) | - 100K Salary (25K) | - 100K Salary (30K) | - 100K Salary (35K) |
- 150K Salary (30K) | - 150K Salary (37.5K) | - 150K Salary (45K) | - 150K Salary (52.5K) |
- 200K Salary (40K) | - 200K Salary (50K) | - 200K Salary (60K) | - 200K Salary (70K) |
- 250K Salary (50K) | - 250K Salary (62.5K) | - 250K Salary (75K) | - 250K Salary (87.5K) |
- 300K Salary (60K) | - 300K Salary (75K) | - 300K Salary (90K) | - 300K Salary (105K) |
The higher the percentage the higher the fee. When partnering with a traditional recruiting firm who has a contingent or retained recruiting model each percentage point adds up. This is what it costs to hire one person and it's really expensive. Negotiate the percentage point or look at other recruiting services that might be more cost-effective. To grow a team and pay this fee for each hire adds up quickly.