High-end executive search firms get a retainer (up-front fee) to perform a specific search for a corporate officer or other senior executive position. Typically, retained searches tend to be for positions that pay upwards of US$100,000 and often far more. Search fees are typically 25% - 35% of the annual compensation of the recruited executive. Fee payments may be made in thirds, 1/3 of fee paid on initiation of the search, 1/3 paid thirty days later, and the final 1/3 paid thirty days later or upon placement of the candidate. Alternatively the fee may be paid upon the new employee starting work with a clawback if they leave within a defined period, sometimes with a clause in the contract which states that the search firm will find an alternative if the first employee fails to remain with the employer for the initial period. In a retained search the fee is for the time and expertise of the search firm. The firm is employed to conduct the entire recruitment effort from startup until the candidate has started working. Retained recruiters work for the organizations who are their clients, not for job candidates seeking employment, in some countries, such the UK, recruiters are not legally permitted to charge candidates. In the U.S. job candidates may pay an up front retainer to consulting or counselling firms to assist them in their job search. Such firms are not typically known as retained recruiters but may provide recruiting services to organizations and therefore share the descriptive nature of the title. Compared to Contingency Search, a client using retained search can benefit from the following aspects:

● Priority
Usually a consultant has several positions on process simutaneously. But the top priority on time, attention and talent selection is given to a client who paid upfront fee in a retained search.
● Proactive Approach
We undertake extensive research to provide an array of highly qualified candidates. Moreover, we access a universe of talent that is not actively seeking new positions-which is not accessible via conventional recruiting methods.
● Objectivity
Since our fee is not contingent upon the hiring of a specific individual, we provide objective, unbiased advice on both internal and external candidates
● Value
By providing only the most qualified candidates, and by offering informed assessments of those candidates, we ensure that your time and attention are not diverted from other responsibilities.
 

As stated, contingent search firms are remunerated only upon the successful completion of the search -- typically when the candidate accepts the position. These recruiters may earn 25% to 35% of the candidate's first-year base salary or total remuneration as a hiring fee; the fee may also be calculated to include the candidate's (that is, the successful hire's) median or expected first-year bonus payout. In any case, the fee is (as always) paid by the hiring company, not the candidate/hire.

 

Clients (companies seeking to hire) often tend to work with contingent search firms when filling mid-level positions. As contingent search firms generally rely heavily on their contacts, and seldom work on an exclusive basis, it is not rare for a client to work with a large number of contingent recruiters on the same search at the same time, in order to maximize the volume of candidate (job seeker) resumes they receive. Beyond the increased volume of candidates that such an approach allows, contingent firms do not get paid until the placement is made (a candidate is successfully hired), and thus the search risk is shifted almost entirely to the search firms. Moreover, contingent search firms often work with clients on Higher percentage fee basis, relative to retained and delimited search firms as they shoulder more risk.

 

For senior level roles, clients often prefer to work with Recruiters who have performed in the past for them and usually will end up in the hands of a retained or delimited recruiter. By working exclusively with one firm on such searches, the client generally develops a much deeper relationship with the recruiter, and receives a much higher level of service. With all methods, retained, delimited, and contingency, clients rely on search professionals to provide not just resumes, but also insightful, consultative information about the market in general.
 

If the responsibility comes from our side, the upfront fee may be counted into the service fee in other positions we are going to coop later some time. So you have NO RISK of loosing money. If the client decides not to place the position any more for some reason, then the upfront payment is not refundable.

 

Collaborating with HAPPYLIFES,  you can expect one to one dedicated & high quality service. We do NOT trade quality with price. We charge middle level price, but provide premium service.  If large volume trades off lower quality, we choose high quality in stead of lower price.  We do not do mass production, but one to one delicate service. This is the way we build our brands lasting and stand firm in the market. Thank you for our understanding.