Recruiter Training By Barb Bruno, CPC

THE BENEFIT OF SPLIT FEES

The Job Market has changed, the economy has changed, your portfolio has obviously changed, but one thing has not changed i.e. we are not filling all of the job orders that we write.

This can be the result of any of the following scenarios:
1. The salary level is not commensurate with experience required
2. The JO is out of your area of specialization
3. Top talent is very difficult to attract
4. There is no sense of urgency to fill the position
5. Rapport has not been established with this client
6. You don’t have anyone helping you to fill your job orders

We are going to focus on number 6, although the other five areas need to be reviewed by you as well.

Staffing and Recruiting Firm owners throughout the world have started to hire individuals who are only working the “candidate side” of the placement process. Two of the most common titles are Recruiter or Candidate Specialist.

Before we discuss the benefits of split fees, I want you to fill in the following blanks.

Since January 1, 2008, we have written ______ job orders
Since January 1, 2008, we have filled ______ job orders

The Placements closed resulted in cash in of $___________

Our average fee is $__________
If we had filled 100% of the orders written, the cash in figure would
Have resulted in $_____________

Subtract your actual cash in from the potential income

Potential Cash In $
Minus Actual Cash In -_____________

Money left on the table $

Now that I have your attention, I would like to discuss the benefits of splitting deals. It’s obvious that 50% of zero is zero! 50% of any fee amount is better than zero!

The challenge is have do you identify and establish split partners to maximize your efforts and just as important – satisfy more of your clients’ needs.

Everyone on this call has the advantage of utilizing SendOut Software and the possibility of attending the Users Conference. You have other clients of SendOuts who can become your split fee partners.

1. Identify what other SendOut Uers are in your niche
These partners understand your niche and have clients and candidates within your area of specialization

2. Identify other niche areas represented by SendOut Users
These partners can fill job orders you should not be working, because you can’t multi-use the candidates or the job order

3. Plan to meet these possible partners at the User Conference
One of the greatest benefits of a conference is meeting individuals to help establish rapport and trust.

Before you contact anyone within the SendOuts Community or individuals outside the community, write down a list of expectations. One list should outline what your split partner can expect from you. The next list should outline what you expect from your split partner. Too often, these details are NOT agreed upon up front, which cause misunderstanding and frustrations later in the working relationship. It is smarter to be very clear up front. If they disagree with your expectations you have two choices:
1. Walk away and identify another split partner
2. Agree on changing some of your expectations

You don’t have to love your split partners, but you have to be able to establish trust and rapport that ends up in closing placements. You will rate your split partners using the same criteria you use to rate your clients i.e. on “results.”

Let’s review a famous John D. Rockefeller quote:
“I would rather earn 1% of the efforts of 100 people, than 100% of my own efforts.”

It is important that you surround yourself with other individuals who help you elevate your level of success. When I studied “wealth building” these people were referred to, as your Wealth Team. A split partner is definitely a member of your Wealth Team. If you ARE your business, just imagine what would happen if you were not able to work for 6 months? What happens to your family, finances or business?

HELP YOU TO ENTER A NEW NICHE:
Split partners can also help you enter a new niche. That is one of the greatest features of our Profession. If your niche gets slammed, you can easily change your niche. One of the easiest way to change your niche is to provide candidates to individuals who have established relationships in that niche. You learn while you are making placements – definitely a WIN/WIN.

IF YOU NEED CANDIDATES TO FILL YOUR ORDERS:
Another split partner possibility are contract recruiters. They obviously charge by the hour vs. earning 50% of the fee, but if you identify an effective contractor, they will more than pay for themselves.

Barb Bruno, CPC, CTS