How To Start a Temporary Service

Many companies looking to save money turn to temporary service staffing agencies to supply them with employees on a short-term, temporary basis. Many employees looking for just the right job, turn to a temporary service to keep them employed for the short-term until the right permanent job opportunity develops.  The temporary service acts as a broker who brings company and temporary employee together for the benefit of both, with the temporary service earning a commission for doing so.

It's helpful to have a background in personnel, human resources, marketing and business management to start a temporary service and to have a good network of contacts in the local business community to help market your temporary personnel services.

Because there are quite a few established names in the temporary service business, it's helpful for newcomers to establish a niche to specialize in, such as office and clerical workers, health care employees, industrial and warehouse employees or professional and technical personnel.  If your background is in food services, for instance, you may want to start a temporary service supplying bartenders, waiters and caterers to restaurant chains and hotels in need of extra help for a specified amount of time. If you are lawyer, you could start a temporary service supply attorneys or legal secretaries to businesses for temporary employment projects.

A temporary service makes its money by billing the client an hourly rate for each employee who takes an assignment that has a built in commission, ranging between 5% and 50% of what the employee is paid for their efforts.

To make a temporary service successful requires two things: obtaining a steady flow of orders from business clients for short-term assignments and having a pool of reliable, professional employees who will impress the clients with their skill sets and abilities and match what the client is looking for. A professional office must be maintained where prospective temporary employees can be interviewed and tested for their office skills as needed.  It's often wise to hire a commission-only salesperson who is constantly beating the bushes, signing on new companies to use the agency's temporary services while you as owner of the business can devote yourself to assembling a pool of talented temporary workers.

It's important to be well-financed prior to starting a temporary service, with start up costs averaging well into six figures. In addition to expenditures for office equipment, office rental and marketing, payroll needs for temporary workers must usually be met on a weekly basis, although fees paid by clients hiring your services usually lag somewhat behind.

Starting a temporary service, however, offers unlimited growth opportunities as more and more businesses in today's economic climate opt to hire temporary personnel.


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