In 2025, more and more small businesses are outsourcing their hiring processes to specialised agencies. But why outsource the recruitment process? 60.7 percent of small business owners say that hiring talent is a top challenge, as per SCORE’s Employee Engagement report. That’s a huge number!
It’s not just about finding them, it’s how much it costs. The Society for Human Resource Management (SHRM) revealed that the average cost to hire someone is around $4,700. If you’re looking for someone with specialised skills, like in cybersecurity or nursing, you could be looking at over $10,000 per hire.
Why is it so tough for smaller companies? Well, think about it. They don’t have the same resources as big companies. They might have one person doing everything HR-related, or maybe no one at all.
So, what’s the solution? Recruitment Process Outsourcing, or RPO. You hire an outside company to handle your hiring for you. They’re experts at finding the right people, and they can do it more efficiently than you probably can. So, why would companies want to outsource? Read on to learn the answer.
Why Outsource the Recruitment Process: 6 Benefits
Remote work isn’t just a trend anymore, it’s how a lot of people want to work. Studies show that remote work can lead to increased productivity due to various factors like reduced commute times, fewer distractions, and greater flexibility. And when your workers are more productive, your company thrives. Most employees jump at the chance for remote work. It’s pretty clear things have changed, and small businesses like yours need to adapt.
But hiring a talented remote worker is a different story. How can you effectively hire someone that’s not in your area? That’s where RPOs come in. They’re your outsourced recruiting team, handling everything from finding candidates to screening them and getting them hired. They’ve got the tools, the networks, and the know-how to find the best people, even if they’re halfway across the globe.
Why outsource the recruitment process to them? Here are six things you need to know:
1. Cost savings without compromising quality
Hiring the wrong person is a major headache. It’s not just the money you lose on their salary; it’s the wasted time training them, the hit to your team’s morale, and then having to start the whole search over again. Basically, it’s a drain on your resources.
RPO can bring in experts to handle your hiring, so you get better candidates and spend less. Here’s a simple way to see the difference:
Offshore RPO agencies like All In Outsourcing, have helped small businesses in the US and the UK. They helped slash hiring costs by a whopping 80%, and they got better candidates. The agency uses smart hiring strategies and has access to a pool of pre-screened people, which means less turnover and faster hiring overall.
2. Faster and more efficient hiring process
Hiring takes days and weeks. For small businesses, that’s a real problem. Every day a position stays open, you’re losing money and missing out on potential growth. Especially in today’s competitive job market, if you don’t move fast, someone else will snap up the talent you need.
So, how do you cut through the red tape and get people on board faster? One of the benefits of recruitment process outsourcing is you get to bring in a team of hiring experts to handle the whole process. Here’s how they speed things up:
- They’ve got a pool of talent: RPO providers already have a pool of qualified candidates ready to go. No more starting from scratch.
- They use tech to streamline: They use a streamlined system to sort through resumes and schedule interviews, taking a ton of the grunt work off your plate.
- They know your industry: They’ve got recruiters who specialise in your field, so they know exactly where to find the right people with the right skills.
Apparently, the average hiring time is around 24 days. But with RPO, you could potentially cut that in half. That means you get the people you need, faster, and get back to running your business.
3. Access to a wider and more qualified talent pool
You’re trying to find that perfect person for a really specific job, but you’re stuck looking at the same small pool of people in your town. It’s tough, right? As mentioned before, RPO providers have a pool of qualified candidates ready to go—that includes candidates with very specific skill sets.
Offshore RPO agencies are like talent scouts on a global scale. Instead of just your town, they’re looking everywhere, using smart tools and data to find the right person, no matter where they are. You know those super-specialised jobs? The ones where it feels like nobody local has the right skills? RPOs can find those people, even if they’re halfway across the world, where labour costs are lower. So, you get great skills without breaking the bank.
By using an RPO, a small business can snag the kind of talent big companies usually get. It’s like suddenly having access to the same resources, which is a huge advantage.
4. Scalability to support business growth
Picture this: your small business is finally taking off, which is awesome! But suddenly, you realise you need to hire a lot more people. If you try to do that all by yourself, it’s gonna cost you a ton of money and suck up all your time. That’s why outsourcing the recruitment process can be a good idea. RPO agencies act as your outsourced recruiting workforce.
Here’s the awesome part about them: they’re super flexible. If you need to hire a ton of people, they ramp things up. If things slow down, they dial it back. You’re not stuck with a huge HR team you don’t always need.
It gets even better. Some offshore RPO agencies, like All In Outsourcing, offer zero cost recruitment services. This means they find you exceptional offshore staff with zero upfront costs, making scaling your business even easier and cheaper!
5. Strengthened employer branding and candidate experience
Many people across the globe are looking for a job. They are not just going to apply anywhere. They want to work for a company that seems like it’s got its act together. Three out of four people check out a company’s reputation before they even hit “apply”. For small and newer businesses, that can be a real problem.
If your hiring process is a bit of a mess, you’re going to lose out on good people. Now, here’s where this RPO thing comes in. It helps you look like you know what you’re doing:
- Structured recruitment processes: RPO companies get your hiring process organised. Everything’s professional and consistent. That makes a good impression on candidates.
- Consistent candidate communication: RPO agencies keep people in the loop. Ever applied for a job and then heard nothing? It’s frustrating, right? RPO helps you keep candidates engaged, so they don’t just disappear.
- Positive onboarding experience: RPO providers make onboarding a smooth ride for new hires. Those first few weeks can make or break a new job. If you make it a good experience, people are more likely to stick around.
Bottom line? RPO helps small businesses build a solid reputation as a good place to work. When you’ve got that, attracting and keeping top talent gets a whole lot easier.
6. Compliance and risk reduction
Hiring talent is way more complicated than just finding someone who can do the job, especially if you’re a growing business. You’ve got all these legal hoops to jump through, and if you mess up, you’re hit with fines, lawsuits, and other repercussions.
Most small businesses don’t have a dedicated HR or legal person to keep track of all that stuff. A benefit of recruitment process outsourcing is that it can be your hiring safety net. This is one of the biggest reasons why you should outsource the recruitment process:
- Proper document handling: RPO companies make sure everything is documented correctly. That’s huge when it comes to keeping your records straight.
- Legal expertise in employment regulations: RPO agencies also know their stuff when it comes to employment law. They’re basically up-to-date on all the rules and regulations, so you don’t have to be. They’re like your legal eagles, making sure you stay out of trouble.
- Reduced risk of hiring discrimination claims: Here’s a big one – they help you avoid discrimination claims. They put in place structured hiring processes that keep things fair and unbiased, so you’re less likely to make a mistake that could land you in hot water.
The cost of messing up on HR compliance can be insane; you could be looking at fines of up to $100,000 per incident. That’s a huge hit for any small business. Good RPO agencies can help you avoid that kind of disaster.
In Closing
So, why outsource the recruitment process? With remote work being so common now, the benefits of recruitment process outsourcing really level the playing field, letting small businesses compete with the big companies.
You know, it’s about getting that extra help. All In Outsourcing specialises in this. We take the hiring burden off your plate, so you can focus on what you do best – growing your business. You get a stronger team, your hiring gets way more efficient, and you’re not stuck dealing with all the nitty-gritty details.
If you’re curious, and let’s be honest, who wouldn’t be? Connect with us today and see what our solutions can do for your business. It might just be the thing that lets you build that dream team without breaking the bank!