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Break-even is a "happy place" in current market

Break-even is a "happy place" in current market

Nikki Beaumont

about 1 year ago by Nikki Beaumont

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Beaumont People is using lessons from the GFC to weather this downturn, and CEO Nikki Beaumont says just to break even while keeping staff employed will be a "happy" outcome.

Beaumont People's charity division was born during the GFC, as a foray into a new market to keep the company going, she says.

It began offering recruitment services to charity organisations on a significantly lowered fee structure, with 95% of work performed on a retained basis.

"We couldn't afford the really low fees from the charity sector if we did it under a contingent model," says Beaumont. But is has since rolled out the model "across the whole business – almost all of our perm business is retained".

Diversifying the company's customer base was another key lesson from previous downturns, Beaumont told a recent Captain's Table forum hosted by Navigator Consulting.

Prior to the GFC, 50% of Beaumont People's clients were in the banking and finance sector, she says. "That probably wouldn't even be 10% of our business now."

This excerpt is reproduced with permission from Shortlist.net.au and the full version appears here.