How to Calculate Broker Recruitment Fees
Now that you have introduced the broker recruiting app to a few of your clients, how much additional revenue can you generate from your existing client base?
Let’s start with three assumptions:
- The first assumption is that at least 100 applicants will apply to each of your clients’ job vacancies
- The second assumption is that a number of the short-list candidates will exit their interview process, prior to an offer being accepted for each job vacancy
- If number 2 should occur, then the third assumption is – your clients will acquire qualified candidate leads via the app
In practice, the broker recruiting app will identify the 10 best applicants for your clients to invite into their interview process. And your clients will determine which candidate is the best fit for that particular job vacancy – based on the performance of each candidate, during the interview.
Since the finalist candidates are actively in the market for a new job, they most likely will have applied to other employers’ job vacancies as well.
If your client does not extend a job offer; or if they extended an offer, and it was declined for any reasons, then your client will acquire additional qualified candidates leads through the candidate introduction feature of the app.
The price of each qualified lead is $199/lead – of that, you (Broker) will receive 20% or $39.80
What I want you to focus on - is the app’s proprietary method for converting rejected applicants from one employer’s job vacancy into qualified candidate leads for other employer’s job vacancies. And those qualified candidate leads will be sold to those employers, via the qualified lead introduction feature.
For example, if 100 applicants applied to one job vacancy, then each of your clients’ job vacancies can generate a potentially $3,960.00 in recruitment fees for the Broker.
How did we calculate the $3,960.00?
A (X) B (-) C (X) D = Broker Recruitment Fees
- A = Total number of clients’ Job vacancies
- B = Job applicants/vacancy
- C = job offers accepted
- D = Broker commission rate
CALCULATE YOUR YOUR FEES
- Go to the websites of your clients
- Add the total number of job vacancies listed on their career pages.
- Repeat the calculations, using your own numbers
Another way of looking at Broker Recruitment fees, is that the Broker is assisting more job seekers successfully land more meaningful job interviews - for the right job with the right employer.
Or the Broker is paid $40 for every job interview his/her recruiting app generates for the applicants who were not a good fit for his/her clients’ job vacancies.