We include developments from the Staffing Industry Daily News and The Staffing Stream to help you focus on emerging movements that could shape your business for the better.
Protect That Rep
American women less likely than men to join a company with a bad rep.
Far more American females than men would not join a company with a bad reputation, according to research from Corporate Responsibility Magazine and RPO provider Cielo. The survey found 85% of American women would not join a company with a bad reputation compared to only 65% of American men.
Test Drive
Bringing workers in as temps best way to gauge fit.
A “working interview” may be the key to successful hires, according to a recent Accountemps survey. More than one-third of CFOs (34%) said having a candidate work on a temporary basis initially provides the greatest insight into whether he or she will be a good fit with the company culture.
Talk to Me
Prospective employees want more details and interactions.
Prospective employees want organizations to provide more information about specific jobs and have more frequent interactions during the hiring process, according to the insights paper, “Making the Connection: Best Practices in Candidate Experience,” from ManpowerGroup Solutions Recruitment Process Outsourcing.
Get Savvy
Avoid the costly pitfalls when selling your staffing business.
When selling a staffing business, there are many potential pitfalls that turn costly. Fortunately, any staffing company owner can be savvy with the proper preparation and guidance through the process.
Prepare, Prepare, Prepare. Always consider the possible future exit implications when making business decisions, such as how the business is structured (S Corp, C Corp, LLC, etc.), designing succession plans, choosing compensation plans, and managing the diversification of the customer base, etc.
Build Your Deal Team. Enlist early on an experienced deal team that includes an investment banker, a transaction attorney and a tax advisor.
Be a Student of the Market. Understanding how a staffing company is valued and viewed by potential buyers is critical to achieving the best possible valuation.
Confidentially Engage With Multiple Buyers. The best way to maximize the valuation of a staffing business, as well as optimize deal terms, is to confidentially solicit bids from multiple potential buyers.
Set Attainable Forecast Goals. Strong financial performance throughout the sale process is vital to actually closing the transaction with the same price and terms previously agreed upon in the letter of intent.
Source: “Be a Savvy First-Time Seller of Your Staffing Business,” The Staffing Stream, by John Niehaus, managing director, Duff & Phelps Securities.
