How to Choose a Permanent Placement Firm: Questions to Ask Before You Sign

Choosing a recruiting partner for a permanent hire is a business decision with real costs on both sides. A good partner shortens the search, improves the candidate pool, and reduces the risk of an early departure. A poor fit can cost months of momentum. Whether you lead a growing for-profit company or a mission-minded organization, a few clear questions will help you compare firms on the things that actually matter.

Start with the role, not the firm

Before you call any recruiter, write down what success looks like. A short role scorecard should cover:

  • Outcomes: What should this person accomplish in the first 30, 60, and 90 days, and in the first year?

  • Essential skills: Which capabilities are required on day one, and which can be learned?

  • Work behaviors: How should this person communicate, follow through, and handle pressure?

  • Practical details: Location, schedule, travel, reporting line, and compensation range.

A firm that asks for this information up front, and pushes back when something is unclear, is usually a firm that will run a focused search.

Understand the fee model

Permanent placement firms typically charge in one of a few ways:

  • Contingency: The employer pays only when it hires a candidate the firm presented. The fee is usually a percentage of the new hire's first-year base salary.

  • Retained: The employer pays part of the fee up front and the rest at milestones, regardless of the outcome. This model is common for senior executive searches.

  • Flat fee: A fixed amount per hire, sometimes used for high-volume or well-defined roles.

Percentages vary widely across the industry, so ask every firm to put its fee in writing and explain exactly what it is calculated on. Base salary only and total compensation, including bonuses and commissions, can produce very different invoices for the same hire.

Kingdom Staffing works on contingency at 10% of the new hire's first-year base salary, which makes it simple to budget for a search before it begins.

Compare guarantees line by line

A replacement guarantee protects the employer if a new hire leaves early. The length matters, but so do the terms. Ask each firm:

  • How long does the guarantee last, and when does it start?

  • Does it cover both resignations and terminations?

  • Is it a replacement search, a partial refund, or a credit?

  • What conditions apply, such as on-time payment or prompt notice?

  • What is excluded, such as a role that changes significantly after the hire?

Kingdom Staffing includes a 90-day replacement guarantee with permanent placements.

Ask how candidates are found and evaluated

The quality of a search depends on the process behind it. Useful questions include:

  • Where does the firm source candidates beyond public job boards?

  • How does it screen for skills and job-related work behaviors before presenting someone?

  • Does it use structured interviews or assessments, and can it share how results are used?

  • How many candidates should you expect to see, and on what timeline?

  • How does the firm communicate with candidates who are not selected?

Look for a firm that evaluates every candidate against the same job-related criteria. Consistency leads to better decisions and a better experience for candidates.

Check for fit with how you work

Industry experience helps, but responsiveness and clarity often matter more day to day. Ask who your point of contact will be, how often you will get updates, and how the firm handles feedback when early candidates miss the mark. If you hire across locations, confirm the firm can support remote, hybrid, and on-site roles in the markets you need.

Keep the process fair and job-related

Many organizations care deeply about their mission, values, and culture, and it is appropriate to describe them clearly to candidates. Hiring decisions, however, should rest on qualifications and observable, job-related behaviors such as integrity, reliability, accountability, and respect for customers and teammates. A good recruiting partner will help you avoid questions or criteria tied to protected characteristics, including religion, race, color, national origin, sex, age, disability, or genetic information. A fair, consistent process protects everyone and produces stronger long-term hires.

A simple checklist before you sign

  1. The fee, its basis, and when it is owed are in writing.

  2. The guarantee length, start date, and conditions are clear.

  3. You know how candidates are sourced, screened, and presented.

  4. You have a named point of contact and an update schedule.

  5. The firm's evaluation process is consistent and job-related.

Talk with Kingdom Staffing

Kingdom Staffing helps for-profit companies and mission-minded organizations fill permanent roles with a clear process, a straightforward 10% fee, and a 90-day replacement guarantee. Our hub is in Louisville, and we support searches nationwide.

To start a search, call 502-965-0053 or email matt@dokingdomwork.com.

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What a 90-Day Replacement Guarantee Should Cover in a Permanent Placement