Congratulations! You decided to start a staffing company. Staffing is an exciting industry that generates billions of dollars in revenue every year. To begin, you need to create a business plan. This will help your startup begin on solid footing with a foundation for success. To help with this undertaking, we created an overview of the essentials for planning your staffing startup. Be sure to talk with us for more in-depth information about your specific needs.
Here are some tips to create a successful business plan for your staffing startup.
Ingredients for a Staffing Startup Plan
When the time comes to secure investors or a business loan, you need a strategic business plan to show where the funding will go and how you intend to make a profit. Your plan lays out the path for developing your idea into a thriving company. Be sure your business plan includes the following:
- Executive summary
- Company description
- Service description
- Market analysis that includes competitors, likely customers, potential candidates
- Company purpose
- Potential customers
- Mission and values
- Desired direction
- Plans for achievement
- Methods for effective marketing and finding the right people
- Competitor activity
- Success measurements
- Sales and marketing plan
- Recruiting plans
- Technology strategy
- In-house hiring strategy
- Funding strategy
- Financial projections
As you create your staffing business plan, be sure to maintain realistic expectations. Also, back your claims and projections with real data. For instance, along with a projected amount of billing that is attainable, include the action you will take when customers do not pay on time. Since you have to pay your employees even if a customer does not pay their bills, your working capital must be able to cover employee payroll for months with no revenue coming in. The good news is that you can partner with us for access to funds when you need them. Payroll and other expenses will be covered.
Licensing, Regulations, and Insurances
Because a staffing startup requires a lot of red tape, be sure to secure the necessary business licenses and insurances before you begin operating your company. For instance, register your startup with the federal government and obtain an employer identification number (EIN) from the IRS. Be sure to register with the appropriate state and local agencies as well. Verify whether you need additional licenses, especially if you work in a heavily regulated industry. Also, check with state staffing associations to research all guidelines and tax requirements for the state(s) your staffing startup will operate in. Additionally, secure more workers’ compensation insurance and liability insurance than you need to avoid paying higher expenses when you make a claim. When shopping around, consider premium plans based on the industries you serve. Remember that construction workers, vehicle drivers, and healthcare workers usually require a higher tier of coverage.
Gain More Startup Support from Us
Gain more support for your staffing startup from Madison Resources. We provide you with payroll funding, technology, back-office support, business intelligence tools, and expert advice. Download our free guide today.