We were never in doubt about the potential scope and opportunity for us to bring our investment model and platform to the Australian recruitment market. However, we never anticipated just how much. The reaction and welcome we’ve received from experienced recruiters and early stage recruitment business owners confirms there was a clear and compelling need for a specialist investment business like ours.
The entrepreneurial spirit is strong within the Australian recruitment sector and our model is resonating loudly with our target market. Our research has revealed that the last 10 years have seen a proliferation of boutique recruitment businesses setting up to service the needs of specialist sectors and industries in Australia. Many of these businesses can and have successfully grown to up to 10 employees – 73% of recruitment businesses in Australia are at this size – but the question “what next?” is now being asked by the founders.
Scaling a boutique business is very different to starting up. This is where we offer an answer:
We have the experience of helping support and guide our current 15 UK portfolio businesses to scale beyond this common ceiling of 10 employees. Our UK founders have either already achieved this or are in the process of doing so, secure in the knowledge that their efforts will be rewarded by achieving a meaningful and lucrative future sale and exit of their businesses as part of a large, diversified, global portfolio of like-minded recruitment entrepreneurs.
The challenges of successfully building a profitable recruitment business have never been greater but the rewards for those who successfully navigate this journey are high, if that journey is planned and underpinned with the requisite resources and know-how. Which is where we come in, providing: financial investment for growth alongside strategy development; back office operational support to ensure delivery; finance, accounts and payroll to ensure profitability; training to ensure professional development; marketing to create brand awareness; business reporting to track performance and mentoring to keep the business moving forward in the right direction.
I’ve been impressed by the calibre, commercial awareness and competency of the recruiters and small recruitment business owners I’ve already met with in Australia. In fact, so impressed that I’ve arranged for Recruitment Entrepreneur’s Group CEO to fly over from London to Sydney this week to explore the joint venture opportunities and hopefully progress with them further. Not even our advanced levels of ambition would have predicted us being at this stage of development in a mere two months after establishing our presence in Australia. We expect to be opening offices and new Recruitment Entrepreneur hubs in Melbourne, Perth and Brisbane by the end of next year.
In the meantime, our primary goal is to replicate our UK success within Sydney, by identifying and partnering with recruiters to launch and grow new businesses and working with existing recruitment businesses to support and fuel their growth plans. Our role is to help them achieve their goals. It’s this symbiotic relationship that is the bedrock of our investment model and we’re excited that it’s being so well received down under and we’re able to make a real difference to many businesses and increase the personal wealth of the founding CEOs.
Written by Gareth Chambers, Managing Director – APAC Region.
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