The Crazy Simple Way To Start A Recruitment Agency & Make $900k Per Year!

It was so plug and play for me again. I'm really system, you know, oriented that I was. I feel like I can go in and I could do any niche at this point. I could add any level, any layer, any niche if I wanted to, which is such a comfort because now I'm not worried.

How are you?

I am great, thank you. How are you?

I'm very well, thanks very well. So thank you very much for coming on today's session, Jen. So I think just taking it back to the starter season main introduction for those listeners. Do you want to just explain in a little bit about where you're based, your background, what your agency does and your niche?

Sure. So I am in Northern California and I opened my firm in 2021, June of 2021. So officially this summer was two years. We initially started as a technology recruiting firm and I've been a technology recruiter for gosh, close to 20 plus years. Won't talk about how long for reals because we don't want to give age away but have been in the recruiting industry for a very long time, technology recruiting for about 20 years. And so yeah, and I found you guys, I believe in February of this year have a team of about seven.

So for those of them learning about your experience, I want to take things back to the start really Jennifer, and how you started the agency. So before like your recruitment world, like did you probably work in a recruitment agency? What was your background before you started your own business?

I sold Kirby vacuums door to door for seven years. And so hardcore sales, school of hard knocks type sales. But part of my selling Kirby vacuums, I actually ended up owning a distributorship when I was in my early 20s. And part of that was recruiting for salespeople to knock on doors, which I think is the hardest recruiting you could ever possibly do. Trying to talk, you know, some 25 year old, 20 year old kid into, you know, knocking on doors full time and talking to strangers. So that's how my recruiting started. Eventually decided I want to sell vacuums anymore. So but I loved recruiting so I was hired into an agency as just a junior recruiter and account manager. So I did some junior recruiting, almost 360 desk. So I did sales recruiting and from there it kind of just snowballed into 20 years of recruiting. And I started with one agency, then I was hired by another agency after I'd been with that first one for many years. I was hired in as a VP of sales and recruitment and sales for another smaller boutique firm. And that was all Technical recruiting. And that's really where I jumped off the technical. Jumped into the technical pool, did that for many, many years. And then in 2021, decided to open my own firm.

Awesome. And what was the big turning point for you to actually going in and starting your own business?

Well, the company that I was with, it was. I mean, he was an amazing owner. We're still dear friends to this day, but there was no equity opportunity for me within that firm. And he would go on three, four, or five week vacations, which is exactly how I want to live. So he basically was living the life that I wanted to live, and I was running his firm for him. So I was like, I think it's about time for some changes to happen. And he was getting close to deciding to do some other things. So the timing was just kismet and it was time for me to go. And he was actually looking at transitioning his firm to another state, so out of California. Didn't want that California overhead. And so the timing was just amazing. And we parted ways, really great friends. And I went into my own firm.

Brilliant. So walk us through the first few days and because it must have been quite daunting when you're working for someone else and all of a sudden you've got all of these thoughts going on in your head. Like, I remember when I started my first time in the agency, it was, like, very overwhelming in terms of, like, what do I do now? Like, how do I get some clients? Like, where the process is.

Yeah, it was. I will never forget. So, you know, starting In April of 2021, I started working on getting my business license. And, you know, we had. We had already. He and I had started having these conversations. So it was. It was like, shock that I, you know, decided to move. And kind of in the interim between moving, I was doing some consulting, a little bit of consulting with some local boutique firms. Helping. Just doing some recruiter coaching with some of the boutique firms in the area. So I had some time to kind of build out my business plan. But I will Never forget, man, June 1, 2021, I sat at my desk and I was like, okay, now what? What do I do? You know? So it was literally like, all right, we're going to start with LinkedIn. We're going to see who on LinkedIn wants to be my friend. And so I literally reached out to my personal network. And I know this is going to sound totally crazy, but when you're selling vacuums, that's how you start. Like, you beg your mom and dad to buy a vacuum from you. So, like, we're going to reach way back into the toolbox. And I literally reached out to all my first connections on LinkedIn and I was like, hey, I've started my own firm. You guys know me. I've recruited for you. Let's, you know, let's talk. And that was really, like, the first. I didn't have. I didn't get a search for probably June, July. I didn't get my first search until probably mid July. So it was a good 45 or 50 days of literally just sending LinkedIn messages, like, manually because I didn't have a system. I was living out of Google. So, you know, Google and spreadsheets and was trying to figure out what system I wanted. And so everything was just, you know, super, super, super manual. And, you know, got that first search and then got that second search and then got that third search and had a little bit of cash in the bank. And, you know, so my first year, June, so 2021, I actually ended up, starting June 1, I actually ended up doing 250,000 in revenue. So I was so, like, I was blown away. And, you know, considering that I was making 150 prior, you know, 151 75. So to do, you know, to do that in such a short period of time, but I didn't know how to go any further, right? So I was like, okay, cool. Now we've, you know, I've got some revenue happening and I've got, you know, one person working for me. But. And that's. But, yeah, sitting at my desk. I will never forget just like sitting at my desk that first day going, all right, it's 8 o'. Clock. Have my coffee. I did my meditation. Now what do I do? It was terrifying.

Yeah, it is. I. And I remember the same for me, when it was like, almost 10 years ago now, it was like I was starting capi neva. I think I was like, where do I go from here? What market am I going to do? How do I map out my niche? Okay, now we need to ring some clients. Like, there's just a lot. So that was awesome. So the first year you did, like, 250k in revenue. What would you. What was the split between different clients? So did you have, like, one big great client or did you have a mixture?

Yeah, so I had a really. I had one great client that I've worked with for probably 12 years. And because my old firm was, you know, transitioning and making some changes, they. They transitioned over to me, which I mean, honest to God, I was so grateful for, um. But even without them, I still would have done probably 1:20, 1:30 without them. So that was kind of. That. That was really good for me to see that. Like, okay, just that, like, going out there and saying hi to my friends on LinkedIn really helped. But. But yeah, it was. It was a. It was a split of. I would say it was a 60. What, 60, 40 of just one big client. And then the rest of it was just little things here and there that kind of came through.

And what was your, like, working environment? Like, how many hours per week on average when you first started?

Oh, I mean, you know, you're a business owner, so what is it? Like, how many hours can you work and also sleep? I would say probably 80. I mean, like, it was crazy. I was working. Yeah, like, 80. I don't even know. I mean, James, you do the math. I'm terrible at it. I have a bookkeeper and an accountant and a CFO now, so I can't do math. Like, I was working 12 to 15 hours a day, so five to six days a week. I mean, I was trying to take Sundays, but, you know, and some of that time was sitting in, like, loop line. That's what we call it here, you know, when you're waiting to pick up your kid from school. Like, I literally had a hotspot, and I would sit in loop the line to pick up my kid with my laptop open, like, working on a hotspot while I'm waiting for the, you know, the school to open. Because it was just. It was insane. Yeah.

So you managed to do this and obviously still raise your kids as well. So what was it like? Stressful?

Yeah, it was awful. I'll be. I'll be really honest with you. And, you know, this is just me being super, like, vulnerable and transparent. I had more panic attacks in 2021 and into 2022 than I've ever had in my life. So it was tough. It was hard. But, I mean, you can see a light, right? Like, you can see the money's coming in, the clients are starting to be responsive. Like, a little bit here and there, you could see a light, but it doesn't. It's still like a paycheck to paycheck. That's how I feel. I mean, even. Even now, like, with as. As. As amazing as it is, I'm always going to be, like, a little, like, financially screwy. I feel like I'm a little. When it comes to worrying about the money in the bank, but it's nothing like it was. I mean, now it's just my own personality that I have to, you know, work through. But at that point in time, it was really, really stressful because it is, it's a month to month thing. You're like, okay, I have a search, but I also have to do business development. How the hell am I going to fill this search and do business development and get my kid to school and my husband's working out of town for the next two weeks? Like, what do I, how do I, how do I manage it all? So it was tough.

Yeah, for sure. And I think that's where most people fail. Right. Is like the first year is very tough because you have a lot of thoughts going on in your mind, overwhelm you live and breathe your business. Yeah. So like gonna like working for an employer and you can forget about it on the weekend. You've got all sorts of things about and you're doing everything. So. Yeah, yeah. Like that's why I respect entrepreneurs that actually go alone and manage to, to set up the business because it's not easy. And, and that's why like it's, it's important to have peers and accountability partners or community and mentors. All these things like just help you along the way to ease you into, look, you're on the right track. Maybe try this instead of that and it sort of calms your mind as it weren't because there's so much uncertainty in your mind all of the time and trying to come to all that mindset side of the uncertainty is, is tough. And yeah, like, I remember when I started mine, I had the same experience. I think I've shared that on a few podcasts. But meditation helped for sure. And then once you start making more money, it does help because it gives you that buffer.

I was lonely. That was the thing that was a part two, because I didn't, I wasn't part of any, I wasn't a part of a community and I didn't have anybody working for me. So really. And I'm, I'm a brainstormer. I love to, as you well know, I love to interact, I love to get feedback, I love to chat, I love to talk with, you know, different people and get really cool ideas. And so it was hard. I was really, I didn't realize how lonely it would be without a community. That was, that was a big eye opener for me. 2021 and 2022.

Cool. So let's say like after the first year, what happened in the second year then Jennifer, like what, what was, what were the key changes from year one to year two and what were like the main challenges or bottlenecks that you were sort of facing before you started working with us?

So 2022, I did 700,000. So I drastically jumped from 2:50 to 700. Granted, if I'd been in business all of 2021, I probably would have been, I probably would've done 500. So I mean it was the right, you know, I've, I'm, I've, I'm moving in the right direction. Um, but, and I, and 700,000 might seem like a ton to some people, you know, that are listening and it may seem like nothing to other people, but for me it was, you know, it was just proof that, okay, this is working and this is real. I had hired, my first hire was a va. Um, and she, she was a game changer for me. I'd never experienced anything like that before. And she literally would send me messages in the middle of the day like, don't forget that you've got 15 minutes till you need to go get your daughter. Like, oh my God. Like, that was so that was crazy. Game changer. Like, oh, okay, cool. You know, I can, I actually have somebody that can. Like, I don't have to, my brain doesn't have to stay so clogged up. And you know, I think that just continuing to work that, that one to one. So I've, I know one to one, one to one sales, that's all I've ever known is one to one. So knocking on doors, going into B2B, going into businesses, dropping off the little, you know, the little presents and hoping that they call you back. Just, that's all I've ever done. So that's what I did on LinkedIn. So. But now I had a virtual assistant that did it for me. So she started doing the one to one outreach and you know, on my behalf, which changed things. And that's really where I think that the, that I was able to really propel my revenue was, you know, I was able to hire a sourcer, you know, somebody to help me look for, you know, build me lists to look for candidates. And so then I have a VA that's, you know, out there doing kind of the one to one outreach for me. So now I can really focus on closing the clients and you know, filling the positions with new candidates. So that's what got me, I think, to that 700. And at the end of 2022, I hired my first recruiter. Which was really cool. So I think I did probably 580 to 600 on my own. And then I added a recruiter, you know, at the last quarter, and she did about 100,000 with my support and help. But even at that point I felt like. And this is what led me to agency blueprint. So first and foremost, I'm very system focused and organized, so systems make sense to me. So the agency blueprint was like, it was literally like a no brainer. I think I watched one video, I talked to one of your people and I was like, oh yeah, this is totally like the right thing for me because it really aligns with my, how I do business anyway. And one of the things that I realized in 2022, even though I did an amazing amount of revenue, I was still so stressed out. I was still having panic attacks. I was still spinning. I felt like, I mean, I had like 50 pieces of paper on my desk trying to remind me of what I needed to do next and where. And I had sticky notes everywhere. And I just couldn't even with a virtual assistant, I just never felt like it was dialed. I was constantly changing things and constantly trying new things, which is what I think what you're supposed to do as a business owner. But I wasn't. I didn't know how to make things smart stick and I didn't know how to. I didn't know how to see them through from like a cradle to grave perspective. And then January hit in 2023 and then Silicon Valley bank shut down. And then technology went like this because I am right outside of San Francisco and we had a tech recruiting crash that was equivalent to 2008 in my opinion. Because you had so many layoffs from the fang companies, right? The big Facebook, Amazon, you know, Google, Netflix, all those big Silicon Valley companies just laid off so many people. And all of a sudden, January 2023, I didn't bill one penny.

What?

Like, are you kidding me? Nothing. I couldn't even wrap my head around that because I don't think I've ever done that in my entire like, career except for when I was super new. So that was horrible. It was the most horrible feeling. And I was still spinning and I was working 10 hours a day still. And I was, you know, working from my car, trying to pick my kid up from school. And I had a tiny team, good systems, but not anything that was. But I was still doing one to one, like one to one outreach. So it was still so heavy. It was such a lot of work. And so February that's when I found agency blueprint. And I like, it literally was like a breath of fresh air for me.

Yeah, you know what's really interesting about your mindset there, Jennifer, was you done really well and you did amazing to get to 700k with really like no help. You just figured it out and got along the path. And then for you to be in a market where it just crashed all of a sudden overnight and you lost all of the jobs. Normally most people are in scarcity mode where they don't reach out for help, Think I need to save money I can't spend to invest in myself to figure out the right path. Whereas you went against the tide. What, what would change in your mind to do that? Because most people wouldn't have done that. Most people normally end up thinking I need to save, I need to just try and figure it out myself. And when it gets good again and I do a few more deals and all of a sudden I'll invest in myself. Like, what made that change for you?

Well, I had, I don't know, I mean, I feel like some of it's just instinctual. Like you just know that you have to do something different again. Growing up my in the door to door sales place, I mean I've seen Brian Tracy in person, I've seen Zig Ziglar in person. I've seen these big, you know, these, these motivational old school people. So I understand the importance of investing in oneself to be able to, to do better. Like you have to spend money to make money. And I know that's like the old cliche, but I didn't know what to do. I didn't know what to do and that's it. And I wasn't ever going back to working for somebody else ever again in my entire life. Like that is a hard no for me. That is literally like a hard stop. If I get to the point where I, you know, God strikes down and my recruiting firm is gone and I have to work for somebody else, I will literally travel the world and live in hostels. I'm not going to ever work for anybody else ever again. So, so, you know, end of January, I'm like, I don't know what to do. And then I realized that I'm going to have to switch niches and that was a huge scary thing, was like I, I'm not going to be able to stay in technology. I've got to, I've got to diversify my, my recruitment portfolio and I have no idea how to quickly pivot and switch niches to be able to get new business to come in and still be a, you know, employer of choice and a recruiting firm of choice and still, still stay, you know, true to my, true to who we are and who to. And true to who Parker Beth is. But that's what ended up leading me to you. Because I was like, I, I've got to spend the money, I have to switch niches. I don't know how to do this on my own. And I think that, I think I reached out to you originally. I'm like, you know, and you would ask me what's your biggest challenge? Like what is it that you And I said, I made 700, I want to do a million. I don't know how to close that gap and I have to switch niche niches. I'm not going to give up. So what do we do next?

So that's, that's interesting. So like now then you come into agency Blueprint Pro. What were the first things that you changed and what were the first like aha moments for you, Jennifer? You Jennifer.

Oh my God. Loom videos. What? Like making videos and actually putting my face in front of people. So that was the biggest change for me out of the gate like that. That literally changed my mindset, it changed my business. So that was the biggest thing was learning how to, you know, do the omnipresence, creating that, you know, what, what was it that, what is it that you call it? The flywheel effect. Like, you know, I've always been taught like, be careful when you reach out to somebody. Don't overdo it. If you're gonna go visit them in person, don't over send them emails. Don't you know what I mean? And, and you're like, program was so different. Send them an email, send them a, you know, LinkedIn connection request, send them a video. Like don't stop that. Let them know that you're here and you're, you know, in post and get that stuff out there. And I'll be honest, I always thought like post every day was so cliche. But when you're, when you have a network that's seeing your post, that's a totally different thing. And I didn't realize the difference in that. So first and the first thing was just building out my, building out my automation for Dripify, LinkedIn, you know, my, my LinkedIn automation, building out my outreach, my on, you know, my, my many to one outreach and then starting to communicate differently to clients, to pro, you know, to prospects. I think that was the biggest thing is I started communicating differently, and they ate it up. Oh, and I had to build out new niches. So that was another. That was, you know, was reaching out to researchers and, you know, figuring out, all right, what do I want to do? What am I passionate about? I think that was what was really cool, too, is that I got to, like, figure out what I really love. I'll be honest. And, you know, I'm just going to whisper this so only you can hear it. I don't like technology recruiting. It's not my favorite thing. I'm very good at it, but it's not my favorite thing. There's other stuff that I'm more passionate about, and I think that's what's so cool about being an entrepreneur. Entrepreneurs that you get to follow what you're passionate about. But I think what's so cool about what I learned so quickly is that I can literally scale towards my passion, like, on a dime. So we turned. My company turned around on a dime, like 45 days. It was a different company.

It's awesome. So, like, you came in, you used the niche map builder. So we mapped on a new niche. You went into the market with a different client outreach strategy and then pretty much up and running within 45 days in a new niche and getting clients.

Yeah, Yeah. I was pretty much. I barely billed. January, February, and we're on track for 900 this year. Yeah. And totally new niche, Brand new company.

Yeah. Like, it's crazy. What is the niche again?

So I jumped into. Well, actually jumped into two because I've got two things that I kind of love. So I jumped into accounting and finance. However, I jumped into accounting and finance within the construction space because it's just such a big, big, big boom right now in California, especially commercial construction. So we're doing project managers for construction and then accounting and finance positions. Obviously, I'll still do it if somebody has an IT department and they need help. So that. That never went away. And I think that was what was cool, too, is that I was able to parallel my company. Right. Like, I was able to keep. Keep my technology recruiting firm and do it the way that I've always done it, but on the. At the same time, because the systems were in place, I was also able to add two new niches. Construction, PMs, and accounting and finance. I was able to add them in such a hot second that now I literally have three niches that are rocking and rolling. I have. I have almost 500,000 in open. In fees, open positions, right now that my team's working, I would say 50% of them are retainers and they're literally, you know, a third, a third, a third, a third technology, a third accounting and finance and a third PM's beautiful.

So you're spreading risk as well. Like especially when recessions come or markets changes, some go up, some go down. So you've got to spread it, like knowing like no matter what happens in the industries, you're always going to have one of them being a hot market.

And I will say too that I didn't do it all at once, right? Like created the flywheel, created, you know, created all that stuff for niche number one. Got that set, got that established. Then I went back to my technology side and I took everything that I was doing for accounting and finance and I implemented on the technology side. So now I've got that omnipresence and that outgoing for the technology. And then, you know, a month or two later, once these two were just, were, were working, they were moving, they were working. We've got, you know, candidates coming in, we've got clients coming in. Then I was able to add the construction PM piece. So it literally was like, it's so it was so plug and play for me again. I'm really system, you know, oriented that I was. I, I feel like I can go in and I could do any niche at this point. I could add any level, any layer, any niche if I wanted to, which is such a comfort because now I'm not worried.

So what was the next step from there, Jennifer, in terms of building out the team? So you started the new niche, you got some live jobs on, you built the client acquisition system which we helped you with, you mentioned some retainers. So I'd imagine, obviously when you went through the signature sales system, you got the pitch deck and now you close a more retained business. Then what was next for you?

So then it was just really getting, you know, making sure I had the right players in place. So I call them a little bit differently than what the agency blueprint calls them. But I have, I now have a team of sourcers outsourced. So those are individuals that actually build me my lists, right? They build me my, my candidate lists that then my delivery consultants, my recruiters would are then.