Employment Contractor Services

Don’t Turn Away Contract.

Ed — Tue, 10 Apr 2012 14:21:39 +0000

We at ECS are hearing a lot of positive feedback from our recruiter partners on how the direct placement side of their desk is going in 2012; everything from “we have more direct placement orders than we can possibly fill” to simply, “its freakin’ awesome”.

When things are hot in direct placement it can be difficult to find enough time to work on contract job orders. This year I have heard a recurring theme; we want to build our contract billings up but we are very busy with the direct placement side of the desk.

Don’t turn away contract job orders. Over 80% of staffing industry revenue comes from temporary and contract staffing, not direct placement. Contract and temporary staffing are the core of the industry and they are growing. ECS will help.

ECS exists to address this market for recruiters. Our unique back-office assitance is specifically tailored for recruiters who are not set up to handle contract staffing, and/or mid-sized firms who do not operate in all 50 States. Our advantages are:

• Weekly profit payment
• 100% payroll financing
• 100% invoicing and collections
• Employer of Record services
• Employee onboarding and offboarding
• Customizable background checks
• Web-based time collection
• Client services contract

Our goal is to help you fill contract job orders as easily and seemlessly as your direct placement. Contact us to get your contract business in motion.

ECS provides 100% funding, employer of record services, staffing insurance, employee benefits and corp-to-corp management for recruiters throughout the US.

Ed Kelly, President, ECS
(866) 233-8851
edkelly@ecshome.com

Why We’re Good: ECS Pays Weekly Profits.

Ed — Fri, 23 Mar 2012 19:42:38 +0000

ECS pays its recruiters every week. Without regard to collection from the client. Every week. We are the only company that pays its recruiters in the same week that its contract personnel are paid.

So, when does your Employer of Record pay you?
It is very likely that you are waiting until the invoice is paid from the client before you see a dime. That can take weeks, even months.

Why do they delay you for so long?
Because you are guaranteeing the debt. Not just your gross margin in the invoice. The entire debt. If a client does not pay them, you have to pay them back. And it is the same deal with factoring companies. They profit when its going well, you pay them when it’s not. What kind of deal is that?

Why ECS is the Best in the Business.
It it not just because we advance profits weekly. It is because we seek out recruiters who want a real partner for contract staffing support, not just a commoditized plug-in. We value long term relationships with recruiters and staffing companies of all sizes, working with many individual recruiters. So if you are a solo shop recruiting out of your basement, or a twenty recruiter company looking for a full service contract partner, contact ECS.

Ed Kelly, President

3 Month Contract Assignment, No Conversion Fee.

Ed — Wed, 11 Jan 2012 20:16:39 +0000

Recruiters should be aware of correctly pricing their contract assignments when the client does not permit conversion fees.

Profitability on a contract assignment should be no different than when providing direct placement personnel to the client. Many clients seek to undercut recruiting fees by shortening the contract period while simultaneously prohibiting conversion fees. In addition, some even control the markup during the contract period, limiting the billing rate to a specific markup. All these restrictions lead to losing value on talent, and ultimately cause financial instability for the recruiting firm.

What to avoid: clients who combine the prohibition of conversion fees, shortened contract period, and simultaneous maximum markup requirement. This three way combination invariably costs recruiters a lot of money, effectively lowering the direct placement fee to less than 7% in many cases. When direct placement fees are effectively forced this low, to maintain a successful business an independent recruiter must make nearly one successful placement every week throughout the entire year. Doing this alone would be a monumental feat, and there would be little ability to hire internal staff for recruiting help because profit margins are too low.

What to do: if the standard direct placement fee is 20% of annual salary, on a $50,000 salary placement the fee is $10,000. If the client prohibits conversion fees, the fee must be priced into the billing rate of the contract assignment.

The best option for a client who does not pay conversion fees is to negotiate extending the contract period. In most cases, three months is not a long enough period to earn the entire fee without raising the billing rate too high and breaking the client’s budget.

Also, if the client wants to control your maximum markup, if at all possible, walk away from the deal. There is usually no money or long term success in high volume, low markup business.

For help on pricing contract assignments, contact ECS today.

Ed Kelly, ECS President

Recruiter to do list 2012

Ed — Wed, 04 Jan 2012 15:31:21 +0000

Contract staffing capability is key to your success in 2012 and beyond. The contingent labor market continues to grow and will be a permanent fixture in American labor markets in the coming years.

Your recruiting firm needs contract staffing support so that you can service this booming market.

ECS is the leader in employer of record, professional payrolling and recruiter service in the staffing industry.

Get 2012 started off right. Contact ECS!

1099 Scrutiny to Increase in 2012

Ed — Wed, 28 Dec 2011 21:11:58 +0000

The IRS recently unveiled an opportunity for eligible employers to voluntarily reclassify workers as employees in exchange for partial tax relief from past federal employment taxes. Late this year, the U.S. Department of Labor agreed to work with the IRS, as well as several states, to share information and coordinate enforcement. Legislation in several states to increase fines for worker misclassification may also impact employers in 2012.

http://www.staffingindustry.com/site/Research-Publications/Daily-News/Paychex-Lists-Possible-Regulatory-Changes

Buyers to Increase Contingents by 26%

Ed — Fri, 23 Dec 2011 19:12:37 +0000

Buyers of contingent labor plan to increase their use of such workers by 26 percent over the next two years, according to a survey by Staffing Industry Analysts.

Buyers in the restaurant/hospitality and finance/insurance industries are among those planning the biggest increases in their use of continent workers, according to the study.

http://www.staffingindustry.com/site/Research-Publications/Daily-News/Buyers-to-Increase-Use-of-Contingents-by-26

No Recession at ECS

Ed — Fri, 09 Dec 2011 19:42:24 +0000

As of week ending December 10th, ECS sales have exceeded 2010 by 23%. We have high expectations for 2012 and look forward to continued growth with new recruiting partners and professional payroll clients.

In 2011, ECS expanded its advertising campaign, added internal staff and grew our Georgia office operations. For our contract personnel, we have enhanced our benefits package to include medical, dental and vision, and are now offering a simplified and new tax deferral program for contract employees.

Contingent staffing continues to grow even in this difficult labor market. See you in 2012!

ECS Q2 2011: 34% Increase In Sales

Ed — Mon, 01 Aug 2011 19:42:04 +0000

In the second quarter of 2011, ECS posted a 34% increase in overall sales relative to the second quarter of 2010. W-2 contract employment sales increased by a solid 22.5% while corp-to-corp information technology related sales surged 68% on a comparative basis.

The dynamic in the current labor market is the increasing use of contingent staffing arrangements by companies still lacking clarity about the market’s broader health. Many companies are implementing mandatory temporary-to-direct hire models, and lengthening the term of the temporary period, as both a vetting process for personnel and a mid-term financial management tool as the marketplace evolves.

Recruiters can offer temporary-to-direct hire options to their customers by working with ECS. Contact ECS for help in putting those plans in place.

In other positive news, ECS recruiter clients have reported significantly increased job order activity on the direct placement side. A northeast-based recruiting client has reported “more direct placement job orders than we can handle”.

Though the gloomy national employment picture continues to be the status quo, proper positioning in the marketplace is still working for ECS and its recruiter clients in the second quarter, and we hope that continues.

-Ed Kelly, President

ECS Opens Georgia Office

Ed — Fri, 20 May 2011 20:20:51 +0000

ECS has recently opened an office in Cumming, Georgia, north of Atlanta. The southeast office is managed by ECS Business Development Executive, Mr. Bob Brown.

ECS has always enjoyed working with the recruiters in the Atlanta market, and Bob Brown’s presence in the region will be a long term asset for business development.

Contact Bob Brown at our new Georgia location at (678) 648-7375.

ECS: First Quarter Sales Beat by 86%

admin — Thu, 07 Apr 2011 16:42:05 +0000

Record Quarter for ECS.
ECS experienced a record quarter in Q1 2011, exceeding Q1 2010 sales by 86%. The demand for ECS services has grown rapidly in the days following the recession.

Recruiter Partners.
ECS recruiter partners have reported positive experiences in the last two quarters, citing increased demand on the direct placement side of the desk as well as increased client-demand for contract workers. Particularly active regions of the country are the Northeast, possibly a result of pent up demand after some poor numbers coming out of 2010 and the following quarters.