How to price your staffing services

Setting the prices for your staffing firm’s services can be tricky. Some of the costs that you need to cover are obvious — the pay rate of the worker, employer taxes (FICA, Medicare, SUTA, and FUTA), workers compensation, any benefits that are paid, plus overhead. But determining the remainder of the markup is difficult, especially […]

How to shop for a new payroll funding partner

Your staffing firm has outgrown its payroll funding partner, and it’s time to canvass the market for a better option. But where do you start? First, you need to determine what type of funding you need. Explore traditional banking partners, which will offer loans or a line of credit, and see if those terms, including […]

How to get the working capital you need for growth

When a strong economy creates a demand for labor, and new clients are in need of temporary assignments, funding needs for your staffing agency can increase dramatically. Payroll costs increase at a faster pace than the rate you are being paid by new clients, meaning you are quickly burning through cash and credit. Capitalizing on […]

Creating a business plan for your staffing agency

A business plan is the blueprint you follow to build your company. It outlines all of the major aspects of the business and keeps its architects — you and your business associates — focused and aligned. But a business plan is also a document you’ll use as you work with other critical stakeholders, including funders, vendors and […]

5 characteristics of a professional payroll funding company

Your payroll funding company is a critical partner to your staffing firm. It’s responsible for the essential function of paying your temporary employees when they ought to be paid as well as filing and paying your payroll taxes. If it went out of business, it’s your company’s reputation that would suffer. That’s why it’s important […]

How to reduce the burden of workers’ comp insurance

Having workers’ compensation coverage is necessary for staffing agencies, both to protect temporary employees in the event of an on-the-job injury or disability and to comply with regulatory requirements. Compliance in this area, however, comes with significant costs. In addition to penalties for failure to provide coverage, the cost of workers’ comp can be driven […]

How to ensure profitability as you take on new clients

Current market conditions, marked by low unemployment, favor staffing agencies. Last year, the staffing industry saw sales increase 4.4 percent, according to figures from the American Staffing Association. However, sales alone aren’t enough to guarantee success. To stay profitable, staffing firms need to keep their markup in mind as they pursue new business. Your agency’s […]