Blog Section

Retained Search Fee Agreement

Securing high-level talent for leadership positions requires a competitive salary package, enticing benefits, and an attractive risk return contract. Many companies outsource this task and turn the job over to executive research companies that specialize in finding the ideal match. External recruitment agents have an in-depth understanding of the client`s sector. With an extensive network and an in-house online database, the research company designs a tailor-made recruitment plan. Payments for this service vary; But for ambitious recruiters, it`s a lucrative business. If a candidate leaves their new position following an involuntary termination within ninety days, Joseph Associates will restart and perform a replacement search, calculating only the costs incurred. Research companies should guarantee their work. Most of them guarantee that they carry out a replacement search when a recruited candidate no longer cooperates with the client company within a set period of time. WHAT IS COMMON? In most cases, the warranty period is 6 months, but can be up to 1 year. Warranty periods of less than 6 months should be a concern. Clause 4: The RETAINER FEE for this research is equal to 1/3 of the total estimated fee. A planned salary is agreed, the retainer tax is set and the derby is paid to me to start the search.

The withholding tax is non-refundable. The balance of the tax would be due 15 calendar days after the start date of the hired candidates (the first business day for your company) to start the warranty period. The do-it-yourself executive search model is very popular with large companies. That`s because large employers, with at least a dozen and a half job vacancies a year, bring executive research into their own companies. In doing so, they often turn to research firms and providers that provide unbundled executive research services in order to intensify their efforts. Sometimes all they want is a list of potential candidates who can call their own recruiters. In other cases, they want interested qualified candidates who guide them through the interview process to hire them. And sometimes they want a company that bends over as an extension of their own team.