Ask James Caan – 4th July 2012 – Issue 27 Manager's Choice
I’m pleased to announce that Webrecruit Ireland has won ‘Recruitment Innovator of the Year’ at the recent ‘Irish News Workplace and Employment Awards 2012’.
Having revolutionised the hiring process for companies across Ireland, it’s fantastic to have won this prestigious reward and be recognised for our ability to leverage the web and technology to reduce hiring costs.
Since launching in 2010, Webrecruit Ireland has enjoyed many successes and it’s great to receive an award that really cements that fact. Congratulations to the team.
Back to the column, and this week I’m discussing the issues facing entrepreneurs in the current market, thanks to an email from Ron.
Recently made redundant from his job as a traditional recruiter, he is now keen to embark on his life ambition of setting up his own recruitment business.
‘I’ve always wanted my own recruitment business, combining my degree in science and filling roles solely within this sector. Do you have any tips on setting up, particularly in this economic downturn’
Ron, I appreciate your concern – redundancy is a terrible thing for those affected, and even more so when organisations are forced to shut up shop. Yet some of the best businesses have been born out of the recession.
The good news for you is the recruitment industry remains a hub of activity. But it's also a very competitive industry. So in order to succeed, you must demonstrate your business value that will ultimately set you apart from your competition.
Take Webrecruit Ireland for example. They have achieved great success since setting up in 2010. Why? Because, like yourself, they have identified a need in the market and filled it.
To establish a good SME in the current climate, there are several things you must address and consider. It will be a time intensive task requiring your commitment, perseverance and passion, but one that will be well worth investing the correct effort.
Have you considered what business structure you will trade under? Sole trader, limited company, or perhaps partnership? This will help determine what responsibilities you have.
Make sure you don’t start your company without putting in place a business plan. Without one, you do not have a road map helping you with what direction you are going in. In addition you should provide a plan for funding.
Even with the best idea in the world, you are unlikely to reap the rewards instantly. So make sure you have enough money before committing yourself to self-employment.
During the early stages, particularly in a recession, you can keep costs down by doing more yourself. Obviously it would be better to have the support, but if you can do the basics yourself, you will save money.
Whilst you have a great idea, you want to ensure it is niche. You will need to prepare thoroughly and research the market and your competitors to ensure there is demand for your service.
Go to recruitment tradeshows and subscribe to publications to figure out how your service will be different. Identify weaknesses other companies have to ensure your service is better.
Think about how you are going to reach your target market. Are you going to specialise in one area of science? Will you remain within traditional recruitment or will you leverage social media and the internet to market your services? Consider your ideal customer, what they do, where they go and what they read to help identify the best way to advertise your service.
Starting up a business in a recession can be very hard work, but if you’re doing a job you love and are genuinely interested in, it will help to maintain your enthusiasm – even through the most difficult of times.
For more information on setting up a Small Medium Enterprise, I recommend checking out www.enterprise-ireland.com.
Want to pose a question directly to me? Email me firstname.lastname@example.org