As the economy recovers after the shutdown period caused by Covid, businesses need more than ever to invest in their human resources, meaning they need to hire talent. In fact, the job market in 2021 was characterized by the creation of more than half a million new jobs. This is certainly great news and we all hope that this positive trend can continue in 2022. But this increase in hiring is accompanied by a difficulty for companies to find the candidate with the right profile for their project, as in many cases the demand for talent is greater than the supply. And this is where Head Hunting companies come in. If you don’t know what they are yet, read our explanation here. If, on the other hand, you are already familiar with the services of these companies and have decided to take advantage of their services, your main question will probably be: how much does Head Hunting cost?
So, how much does headhunting cost?
Everyone’s method: Fee
Most headhunting companies will offer you the following formula: the compensation is equal to a percentage of the RAL of the worker found during recruiting. Usually this percentage is between 12 and 20%. So, let’s take the example that you hire a profile that asks for a gross annual salary of 50,000 €. The commission due to the Head Hunter will be between €6,000 and €10,000. In some cases, the payment is made only when the candidate is placed in the company. In others, the Head Hunting company requires one or two tranches of advance payment, calculated on the hypothetical RAL of the profile.
Our method: the hourly package
We at Ricercamy have decided to set ourselves apart from other Head Hunting companies. Instead of offering you a commission-based payment, our offer is the sale of an hourly package. Below you can clearly see our price list.
What does hourly package mean? It means that for all the hours you have purchased we are available for any service you may require (hunting, publishing articles, interviews, CV screening, etc…). You decide what you need! We like to think of our offer in this way: normally, companies like yours are able to manage their HR needs independently, but, at certain times, they would need their own dedicated team to achieve their goals. We at Ricercamy are that dedicated team. In fact, unlike the others, when you hire us you will simply feel like you have expanded your HR staff with in-depth knowledge and skills in Head Hunting. In fact, we are absolutely crystal clear in our work process. We will account for every single hour we devote to your project and, at any time, you will have the opportunity to give us new directions and preferences depending on all the feedback we provide.
Pros and cons
Pay at the end, pay now
Of course, each proposal has its pros and cons. Probably, one aspect of our offer that you are not used to is the fact that payment is made upon signing the consulting contract. You might think that other companies are safer, while Ricercamy is a gamble. But let me tell you something about our competitors’ method: when headhunting for a profile is difficult, they don’t worry too much about completing the contract.
And why should they? Think with me about this scenario: a hypothetical traditional headhunting firm accepts two search and selection contracts for two different profiles. For the first one, it knows it will have to devote 20 hours to hunting; for the second, at least 50. The average salary for the two profiles is similar, so the commission will be too. In your opinion, which of the two contracts will our hypothetical Head Hunting company prioritize?
Of course, you might think, they won’t find my profile, but at least I won’t have to pay full price. To this I reply that, with our method, you can actually ascertain the work being done. In this way, you will be able to realize the difficulties that may be encountered and we will be able to work to solve these difficulties together. Also, in many cases the cost of our complete hourly package is less than a tranche of advances from other companies.
Need more than one profile?
An additional pro of our method becomes apparent if you are hiring more than one profile. In fact, let’s say you need to hire 3 profiles for the same job, with a RAL of €50,000. A traditional headhunting firm will charge you three identical commissions, even though finding the second and third profiles is much easier due to the basic work already done to find the first profile. With Ricercamy, you have no limits to your hiring because your only cost will be the purchase of the hourly package.
Our goal is for you to come back to us.
Finally, remember that our main goal is to create a lasting relationship with you. Ideally, we would like to be “activated” by you whenever you need us. That’s why the hours you buy have a long shelf life. If, as is almost always the case, we manage to find the profile you need before your hours run out, then within 6 to 12 months (depending on the offer) you will be able to use our services again until the hour package has been used up.
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