Business owners discussing the sale of a recruitment business with professional advisers

KEY CONSIDERATIONS WHEN SELLING A RECRUITMENT COMPANY

If you’re planning to sell a recruitment business, ask yourself one simple question: is your company operating at its full potential?

Recruitment is a growing industry, evolving with market trends on an international scale. When looking to acquire, potential buyers will be eager to see your company’s:

• Specialist capabilities
• Client and candidate portfolio
• Candidate database and technology
• Strong second-tier management and workforce

A smooth company sale starts with good preparation. Presenting clear operational and financial information can help build buyer confidence and keep the transaction moving.

Furthermore, obtaining a professional recruitment business valuation can help you manage your expectations and identify the factors within your business that will appeal most to buyers.

RECRUITMENT BUSINESS VALUATION

A professional recruitment business valuation considers several factors, such as the following:

• Permanent or temporary recruitment capabilities
• Sector focus and specialisms
• National and international client reach
• Candidate and client portfolio
• Management structure and culture
• Location and premises
• Technology and processes
• Certifications, approvals and compliance

In terms of the transaction fee you hope to achieve for the sale, your recruitment company’s revenue streams will be analysed. KBS Corporate will look to secure a sales multiple of your company’s earnings before interest, tax, depreciation and amortisation (EBITDA).

EBITDA provides a clearer picture of your business’s underlying profitability by removing factors outside its day-to-day operations.

Shareholders and owners have typically achieved a 4x sales multiple for permanent recruitment companies and 8x for contract specialists; however, KBS Corporate prides itself on exceeding expectations and securing unparalleled sales multiples through our tried-and-tested approach.

Many acquirers are looking for firms with natural synergies with their own operations. Our goal is to find a buyer that not only sees your potential but recognises that your recruitment company can enhance their existing capabilities.

Business owner reviewing documents as part of a recruitment business sale

If you are looking to sell or buy a business we would absolutely recommend them.

Justin Williams

FireUS Ltd

“We employed KBS to sell our business FireUs Ltd last year. We has researched into this and they stood out as the best. We were so glad that we picked them whilst it was a very in depth process selling our business, but they supported us and made the experience much easier. The main people that stood out for us with the professionalism and approach were Guy Haynes and Daniel Greenfield. If you are looking to sell or buy a business we would absolutely recommend them.”

“Would definitely recommend them.”

Katherine Prigmore

Business Development Director of Prigmore Haulage

“We used KBS to help with our partial sale! They helped promote us and worked with us the whole way through. The true value for their work came after the offer and Adam worked smoothly with us and could hear that he had our best interest at heart! Would definitely recommend them.”

“From start too finish their service was first class.”

Rodney Greer

Director of Photostatic Anglia

“We initially approached KBS and three other companies to handle the sale of our company. We choose KBS as they were very professional, knowledgeable and responded to all our queries in a timely manner. From start too finish their service was first class. Thank you KBS”

“I could not have completed this without the professionalism and personal interest that I have been afforded”

Simone Lawless

Director of Ibit Solutions

“My husband engaged with KBS in 2020 for the sale of our business. I completed a successful sale in October 2023. During the process my husband passed away and so the process became more complicated than I could have imagined. Luke Rae has been outstanding in his patience, communication and commitment to the sale of our business. I could not have completed this without the professionalism and personal interest that I have been afforded. Thank you Luke and the team.”

“The range of buyers that KBS introduced us to were of a high quality.”

Eric Luckwell

Technical Director of Datalink Electronics

“The range of buyers that KBS introduced us to were of a high quality. Throughout the sales process the shareholders were very pleased with the advice and help given to reach a good conclusion in the sale. Thank you KBS and the staff we worked with.”

Business owner shaking hands with advisers during a recruitment business sale meeting

MAKE A RECRUITMENT COMPANY MORE ATTRACTIVE TO BUYERS

Recruitment businesses with specialist expertise, long-standing client relationships, and consistent revenue continue to attract strong buyer interest. Demonstrating opportunities for future growth can make your company more attractive to potential buyers.

Additionally, buyers will look for a well-managed business with an experienced leadership team, strong operational processes, and a culture of compliance. A company that can operate successfully without heavy reliance on the owner is often viewed as a lower-risk investment.

Ensure your business complies with relevant legislation, including the Employment Agencies Act 1973 and the Conduct of Employment Agencies and Employment Businesses Regulations 2003. Clear governance and robust compliance procedures can help strengthen buyer confidence throughout the transaction.

EXPERT SUPPORT SELLING YOUR RECRUITMENT COMPANY

As experienced recruitment business brokers, KBS Corporate provides a proactive, tailored approach to business sales for owners selling a recruitment business. Our advisers manage every stage of the process from valuation and confidential marketing through to buyer negotiations and completion, while also introducing you to trusted legal experts and tax advisers.

With a proven history of delivering award-winning results, we use the latest data and technology to maximise buyer reach and help you achieve a successful sale.

Make a confidential enquiry

SALES WE HAVE COMPLETED
IN THE RECRUITMENT SECTOR

On Track Recruitment

On Track Recruitment provides professional, dependable temporary and permanent recruitment solutions for clients within a wide range of…

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acquired by

On Track Recruitment

Sector: Recruitment

Location: Surrey

Buyer: The Sammons Group

I.P. Recruitment

I.P. Recruitment Limited is an independent recruitment agency supplying temporary and permanent staff to a variety of sectors within it…

Read More

acquired by

I.P. Recruitment

Sector: Recruitment

Location: Hertfordshire

Buyer: Kenect Recruitment

Brindley Medical

Brindley Medical specialises in the provision of high-quality, professional temporary recruitment services, working closely with client…

Read More

acquired by

Brindley Medical

Sector: Medical Recruitment

Location: West Midlands

Buyer: Kingdom Security

Completed Sales

INFORM MAGAZINE
ISSUE: AUTUMN 2025
KBS Corporate insights, advice and market trends

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