By Anastasiia Kuzmenko, head of talent & people at F1V
Many founders tell me the same thing about hiring a recruiter: “We should have done it earlier.” Wait too long, and growth stalls. Yes. But hire too soon, and you burn cash.
That’s a dilemma.
I’ve been recruiting for startups for years, and here’s my opinion on that. If your team is under 20 people and hiring is occasional, you don’t need an in-house recruiter.
You do need an in-house recruiter only when your company grows past 20-30 people, and when you plan to hire at least 12 people a year. At this point, you need recruiting to be an engine to sustain your growth.
But this also means that most young startups don’t need a dedicated specialist in their teams to hire people. Seed-stage companies typically have 5-6 employees, while Series A startups have 15-16, according to Carta’s global stats.
You don’t have to hire everyone yourself. Not every founder is good at hiring, while, at the same time, the first hires at a young startup are vital — everything depends on them, from product and fundraising to survivability.
So, my tip No.1: Hire key employees through a recruiting agency, when you’re small.
Our portfolio startup Competera worked with an agency before their team grew to 25 people. Co-founder Aleksandr Galkin said this helped them structure recruiting and crystallize the real value new hires would bring.
When you first contact an agency, they typically send a presentation outlining their expertise and pricing. If it looks good, set up a pre-briefing call to discuss your needs and expectations.
If you don’t know a trusted agency, talk to 3-5 and pick the one that fits your culture, has expertise in the roles you need, and understands the soft skills you’re looking for. You can look at highly-rated agencies on Clutch.
Recruiting agencies in CEE charge 15-22% of a hired employee’s annual salary. If the hire doesn’t pass the probation period, they usually commit to replacing them at no extra cost.
Some agencies charge an upfront fee, especially for senior or hard-to-fill roles. If they expect a $10k check for a senior developer, they might request a $2k advance. If they don’t fill the role within the agreed time, they return the fee. If they do, they subtract it from the final bill.
An agency’s job ends when the candidate signs an offer. It sends an invoice within 10-14 days.
For a good agency, reputation is everything. They have experienced recruiters, many talented people in the pipeline, and a vested interest in getting you the hires fast. That’s why they are worth the cost and often a better choice for startups than freelance recruiters.
If you don’t hire often, working with an agency on a monthly fee is better than having a part-time recruiter on a team. Agencies have applicant tracking systems (ATS), LinkedIn Premium accounts, and job boards — things you’d have to invest in separately.
If hiring abroad, it’s best to work with a local agency — they know their markets better.
My tip No. 2: When hiring an in-house recruiter, rely on your company’s strategy.
Many founders take on the recruiter role themselves. In this case, a rule of thumb is this: Hire a recruiter (or agency) if hiring takes over 20% of founders’ time or key positions stay open for 45 days.
When you're ready to bring in a recruiter, ask an agency or an advisor from your network for help, or search on LinkedIn and job platforms yourself.
Think about where your company’s headed and what kind of people you need to achieve your goals. If you plan to enter new markets, check if the candidate has already hired people in those countries.
It’s not critical if they worked for a startup before, trust me. What matters more is whether they know how to fill key roles and identify candidates with the right soft skills.
What else: Ensure your potential hire aligns with your company’s values. At F1V, we hire proactive and optimistic people. And they need to “own” their work.
Middle recruiters in CEE earn $1,800-3,000 OTE (salary plus bonuses) per month. You can check salary rates on Glassdoor or, if hiring in Ukraine, on Djinni and DOU.
Hiring mistakes, metrics, AI: Read more from us
◾ Hiring for startups: How to track recruiting metrics to save $$$, hire well
◾ A recruiter’s thoughts on AI: Even skeptics (me) can’t ignore it
◾ 7 mistakes startups make when hiring first employees
◾ Hiring your first engineer: A quick guide for non-technical founders
◾ Full-cycle recruitment, salary benchmarking, 1:1s: How F1V team helps startups with hiring
My tip No.3: Founders should never fully step away from hiring.
Even if your startup already works with an agency or an in-house recruiter, founders or C-level execs must take part in hiring.
When a recruiter steps in, begin with a product demo to help them understand what your startup does and provide context. Then set up bi-weekly check-ins during probation and monthly meetings after that to discuss work and what can be improved.
Founders should also attend interviews with the best candidates to make the opportunity more appealing and assess their fit with the company’s culture.
At Competera, with nearly 100 employees, co-founder Aleksandr Galkin joins first-round interviews with top candidates to tell them about the company and its mission. “The best specialists aren’t looking for jobs,” he says. Their most successful hires were headhunted, and Galkin played a key role in convincing them to join.
Another startup from our portfolio, Mate academy, has grown into an international team of over 140 people across Ukraine, Poland, and Brazil. Yet, one of three founders is always present at a final culture-fit interview.
For hard-to-fill roles, response rates improve when a founder personally reaches out to candidates on LinkedIn or when recruiters do this from the founder’s page.
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