Business advice and work rant

ok, so I give my all to this client (I’m an executive recruiter and am self employeed). found him 6-7 very highly qualified candidates (which means I had to select from at least 150 people), and he gets to a very last step with one. All in all this candidate interviews 3 different times, meets more than 20 people, and spends 15 hours in interviews, and another 5 in preparation. It’s decision time, and the client says no. “We’ve decided to go a different direction”.

At this point, I feel like walking away. He says, “let’s touch base later on where to go from here”. Well, clearly I’ve done all I can and this is like the 3rd or 4th time he’s changed course! My feeling is that if I continue working with him, 1. I’ll be working for free (I don’t get paid until I place someone), 2. I really have given it my best and I just don’t think I can find what he’s looking for, 3. he’s seeking perfection and isn’t serious about hirirng anyone, 4. since I’m a one person operation I cannot afford to squander my time on someone who is just going to waste it, and 5. instictively it seems like a loose for me and any candidate I put in front of him.

Now I have to break the news to this candidate. He’s going to just be sick over it, especially after spending about 20 hours total!

So, my question is this–do you think I’m taking the right stance on essentially “firing” this client?

thanks for listening and any advice. it’s a tough gig and a tough market.

kittycat

do you think I’m taking the right stance on essentially “firing” this client?

Unquestionably.

For a time I was a Realtor. I had to be selective about who I was dealing with. Some people think you are there just to entertain them and drive them around. Sometimes they were just trying to get new decorating tips or nosy about what others homes looked like. You can’t make money that way. This guy sounds similar. Maybe he is just trying to see what the market has to offer–maybe even just to judge his own value. Ditch this client and focus on finding others who are not just window shopping.

thank you all for the vote. I just got off the phone with this candidate, and the situation is sickening. He feels led on, extremely disappointed, has a bruised ego, and feels like he’s in deep shit with his wife.

The client is definitely fired.

Thanks again–kittycat

The customer is rarely right and even more rarely smart. When I was doing contract work I always told my clients I will fix the problem you ask me to fix not the one you want me to fix (very often they are different in the IT world).

It sounds like the guy is either not in the position to hire someone or is too cheap or stupid to pick the right person for the job. Not only should you fire him you should knock all the stuff off his desk and light fire to his garbage can! (by reading this you agree that Shad will in no way be held liable for the above statements)

I would be careful… as much as you would like to give it to him Trump style it might be best to approach it from a different position. Reaffirm with your client that you have been working in good faith to deliver qualified candidates, which you have done. Going forward in a different direction is fine but you will require an hourly fee that can then be deducted from the final commission. If he is serious about hiring somebody than it shouldn’t be an issue. If he has a problem with this arrangement then recommend your business rival and them waste their time. I have always found the most frustrating situation can provide the greatest opportunities.

Ron

Fire the client, or, what the small startup I work for has started doing with “select” clients, charge them for what everyone else gets for free. As part of our business we provide a certain amount of help for free. Some clients want to take advantage of that and we have to eliminate all free work for those few clients.

i’d disassociate from this client, as it seems that the client is taking advantage of your hard work, but don’t burn any bridges and avoid having any negative goodwill attached to your reputation.

side note, i don’t know if this practice is in use in recruiting, but possibly a retainer fee could help alleviate this situation. if a client doesn’t have X number of candidates meeting the qualifications, and Y number that they are willing to interview personally, then they receive a refund. otherwise you would at least keep a nominal fee for your work if they hire someone else behind your back, or do something else similar to your situation. and if they do hire your candidate, the retainer is applied towards the finder fee.

just an outside the box suggestion. it may not be an industry practice, or you might not have the leverage to be able to negotiate such terms with a prospective client, but might be worth a thought

I’m an attorney. Sometimes you get a prospective new client that comes in and details how much trouble he is in because his last three attorneys have messed things up. In six months, he will probably be in another attorney’s office describing how his last four attorneys have blown it.

Now, you have a choice, do you want to be the fourth attorney he is describing in six months. It’s easy to say no and not take the client on. On the other hand, people without a lot of gripes tend not to be in litigation and you do need clients to have a law office. It can be a difficult choice, however, even though I would usually lean toward not taking the client on.

I agree it is probably a good idea to fire the client, sounds like you won’t be able to help them and if so it’s wise to move on.

Before that, though, I’d have a straight talk with them, review what they asked for and what you did, emphasizing that you followed their requests or directions and that you had their agreement for each stage of the process (presumably that’s the case!).

Finally I would explain that you want their business, but only under circumstances that make sense for both of you, and that either you have to agree on what’s reasonable or else part ways.

Might you be able to convince them to do a retained search? Or agree that for a “stage one” contingent search you will submit a certain number of candidates and spend a certain number of hours, but that a “stage two” search could include more candidates and hours and at least some minimum compensation?

I have been on both sides of this situation - I have been recruited, flown around the country like a traveling freak show and spent hundreds of $$ on new shoes, haircuts and white shirts on the assurance that “they are very interested- they just need more time…” or “a new CEO came in, wait a few weeks and he will approve new position blah blah blah…”. At the end I’m left with a haircut I don’t like and shoes I don’t need.

I have also been on the other end, as an executive searching for manager- sometimes circumstances do change with company politics or the latest earnings report.

Sometimes companies just change their minds halfway through a process and don’t want to talk about it. I do think they owe you an explanation- a good one. Maybe circumstances were beyond the control of the person you dealt with, but if they like your work and the candidates you provide they should be willing to meet you halfway.

SP

Hey I am jumping into this thread kind of late, but have you considered taking clients on retainer? I know we paid out some hefty retainers at co.s I have worked at in the past for exec searches.

From the candidate perspective, I have been through 4 rounds of interviews and got aced out, so I can sympathize with your candidate.

Can’t really comment on firing the client as I do not know what your agreement was, but it sounds like it totally sucks. I do know that being self employed or running any business for that matter, you sometimes need to fire clients and that is alright to do so. I may need to fire one of mine here soon as well… Good luck.

yes, it’s a tough call. he would call and pester me to produce candidates–and I did. top notch ones at that, only to have him ditch one, and not even respond to another (please keep in mind these are highly paid people–so, it makes me look bad when things like this happen)

also, I’m beginning to learn that the guy is nuts. it took him 3 years to buy a car. also, he seriously considered changing the entire direction of the company last year to a peanut butter manufacturer (trust me that is a lightyear away from what the business is). in short, I’ve got an informant that tells me he’s nuts, and is likely to come back to my candidate.

if he does, fine. but this client is too risky. I cannot afford to look like a duff in front of candidates making 150K. It’s just bad for business. and, the retainer idea is a good one…it doesn’t apply to this guy, as I could see myself ending up in a lawsuit, but is something I’m going to think about for my 2005 or 2006 business model.

thanks for all of your advice. at this point, it’s 3:45 pm, est and I’m having a glass of wine. hell, with the week I’ve had, I need to decompress!

Happy weekend,

kittycat

If its not the first time this has happened, then I believe that this guy is playing you. Most likely he’s gone with one of the prescreened applicants you may have run by him already.

He hasn’t got the best there is, but, he’s got someone at a lower salary, saving money, and he’s not paying you a commission, thus, saving money.

Time to get rid of him and look for any contractual breach. I suspect he’d settle quickly as he’s established a reputation for this behavior.

Best of success!

Rocketboy

Incidentally, I had a recruiter call me today. I was (and still am) on the road. She left a message to call her between 2 and 6. I call back at 2:15 talk to her assistant, and get the “oh, I’m sorry, she’t not back from lucnh yet message.” I’m impressed.

Perhaps you need to ask the client who the decision maker might really be? Furthermore, explain that you’ve invested a great deal of time and energy and require results yourself in order to continue. Then, hang up and go for a really good tempo ride and forget about the poser.

-jeff