By Judy Collins  |    Monday January 30, 2018

Category: Contracting, Expert Advice


Make the most of your placements by negotiating intelligently with your client companies to achieve the most attractive agreement for both parties. Your profitability can be greatly enhanced by following a few simple guidelines. Some basic points to consider with your client companies include:  bill rate, the type of placement, insurance required, payment terms, and conversion fees. Types of placement can include direct hire, contract-to-hire, or purely a contract placement. In your negotiations it is important to offer solutions, not present problems. 

Your best assets are your placements, that is, your people. Don’t give them away at a lower rate just to get a quick placement. Demonstrate to your client the worth of your applicant and negotiate the best rate, consistent with the marketplace. To do this you should be aware of what the going rate is for a comparable position. Have different options available to achieve the best results for all parties. If a direct hire is not possible, ask if a contract assignment, or a temp-to-hire scenario would be better. A temp-to-hire placement can be offered as an interim solution which will solve the client’s immediate pressing need.

Have a hiring agreement in place. You should always consider consulting with an employment attorney to review the details of your agreement to make sure you comply with all state and federal regulations.  A good negotiator always knows the rules that must be complied with. You should always have a signed agreement before the job begins, even if the initial job offer is small. The opportunity may easily grow into a significant volume of business and having a contract based on good negotiations will protect your interests.


Don’t work with a one-sided agreement. It is better to turn down business than work with a bad contract. Read over all the terms before agreeing to a contract presented to you by your client. Don’t lock yourself in to unfavorable terms. Weigh all options before you agree and identify terms which you cannot comply with. An example could be insurance requirements, payment terms or conversion fees. Time limits should be applied to agreements as market conditions will undoubtedly change, for the better or for the worse!

In negotiations, be clear about what you need and want. Communicate all points of interest clearly and don’t be afraid to ask questions. Make all parties feel like they have successfully achieved their goals and you will more likely have a satisfied client. 

People respect a strong negotiator and your position will be enhanced by your attention to details and by considering these TIPS ON CONTRACT NEGOTIATION…FOR TEMP AND CONTRACT PLACEMENTS!



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