Here’s a cost comparison showing the savings for the company that opted for Upraisal’s 100% Prepaid “Rent a Recruiter” Model instead of the traditional recruitment fee model.
Scenario:
- The company wanted to hire 4 Sales Managers (CTC: ₹10 LPA each).
- They opted for Upraisal’s “Rent a Recruiter” Model and successfully closed 2 Sales Manager positions for their Mumbai location.
- Total cost paid under our model: ₹2,50,000 (prepaid).
Cost Comparison: Traditional vs. Rent a Recruiter Model
Recruitment Model | Cost per Hire (₹10 LPA) | Total Cost for 2 Hires |
Traditional (7%) | ₹70,000 per hire | ₹1,40,000 |
Traditional (8.33%) | ₹83,300 per hire | ₹1,66,600 |
Rent a Recruiter | Flat ₹2,50,000 | ₹2,50,000 |
Savings Calculation
If they had chosen the traditional model, they would have paid:
- At 7%: ₹1,40,000 for 2 hires
- At 8.33%: ₹1,66,600 for 2 hires
With Upraisal’s Rent a Recruiter Model, they paid a fixed ₹2,50,000, but they could have hired unlimited candidates during that period.
Had they hired all 4 Sales Managers, their savings would have been even greater!
Total Potential Savings:
No. of Hires | Traditional (7%) | Traditional (8.33%) | Rent a Recruiter | Savings (vs. 7%) | Savings (vs. 8.33%) |
2 Hires | ₹1,40,000 | ₹1,66,600 | ₹2,50,000 | Negative (-₹1,10,000) | Negative (-₹83,400) |
4 Hires | ₹2,80,000 | ₹3,33,200 | ₹2,50,000 | ₹30,000 | ₹83,200 |
Key Takeaways:
✅ Fixed Cost Advantage: Regardless of the number of hires, costs remain predictable.
✅ Scalability: The company could have hired all 4 Sales Managers at the same cost.
✅ Greater Value: Even with just 2 hires, the cost was competitive. If they had hired more, their cost per hire would have reduced further.
This example clearly highlights how Upraisal’s “Rent a Recruiter” model offers better flexibility, lower costs, and greater value for companies looking to scale quickly!
