How to start private Employment Agency?

Michel Mccaulley: your very best bet is to not say a word about your interest....then go and apply for work with a few of the temp or temp to perm agencies in town and see how they are run, see how many employees, what information they hand out, square footage of the agency, what the application consists of, what kind of tests they give their clients, how many phones or phone lines they have, how they conduct business (observe all you can), then take a job and see (not being nosey though) how the businesses act. I've been thru a lot of employment agencies over the years and had my own for a few years. It's difficult to juggle, and there are several kinds of employment agencies out there (temp, temp-to-perm, perm, secretarial only, technology only, mixture which includes law offices, some also deal with the large companies in the area, some for restaurants only). It used to be that an agency would help the worker, promote the worker, fight for a good wage for them, test! them, etc. and find them a job for a fee...but in the early 1980's things turned and in the places I've lived since then it's illegal to charge a person a fee for a job. Now it's all in the hands of the company, the company is your client so if the company wants this or that you'd give them this or that, you'd be like interviewing for the company so the company would pay you and not the applicant. Today applicants think you are on their side when in fact you're on the side of the company so you have to know what you can and can't say legally or you'll get sued. For instance, sure it's against the law but the company might say I don't want this or that race or I don't want anyone over 50 for that job and you have to comply but keep your mouth shut. Yes you would need a state business license. I suggest you do your 5-year business plan so that you know how much money you need to start with. Contact the SBA (sba.gov) and take some classes because you'll be paying the bi! lls but also paying the salaries....Show more