The GorillaWorks blog

How staffing back offices actually run.

Plain-English guides on pay and bill, payroll, margin, SOW, and compliance for staffing and recruiting agencies.

How staffing agencies get paid: bill rates, markup, and margin

Staffing is a margin business. Here is exactly how agencies get paid, what the markup on a bill rate actually covers, and how to see the gross profit hiding in every placement.

Jun 15, 20267 minRead article

The contractor onboarding checklist: staying compliant with 1099 classification
The documents to collect before day one, how to classify workers correctly, and what misclassification actually costs. A practical onboarding and compliance checklist for staffing agencies.
Jun 14, 20267 min
ATS vs back office: what staffing and recruiting software actually does
Your ATS finds and places candidates. The back office turns those placements into a profitable business. Here is the difference, and why agencies need both.
Jun 13, 20267 min
How to calculate your bill rate and markup (with a worked example)
The exact formula staffing agencies use to set a bill rate, what belongs in your markup, and a worked example you can run with your own numbers.
Jun 12, 20266 min
What is a Statement of Work (SOW)? SOW vs staff augmentation
A plain definition of a Statement of Work in staffing, how SOW differs from staff augmentation and time-and-materials, and when to use each engagement model.
Jun 11, 20266 min
VMS vs MSP: what's the difference for contingent workforce management?
A VMS is software; an MSP is a managed service. Here is how they differ, when you need each, how they work together, and where your back office fits.
Jun 10, 20267 min
How to start a staffing agency: the back-office checklist
Beyond finding clients and candidates, a staffing agency lives or dies on its back office. Here is the operational stack you need to pay workers, bill clients, and stay compliant from day one.
Jun 9, 20268 min
Independent contractor payroll services: which one is right for you?
The right contractor payroll tool depends entirely on who you are. If you pay your own 1099 contractors, here is what to look at. If you are a staffing agency paying on behalf of clients, that is a different job.
Jun 8, 20267 min

How staffing agencies get paid: bill rates, markup, and margin

The contractor onboarding checklist: staying compliant with 1099 classification

ATS vs back office: what staffing and recruiting software actually does

How to calculate your bill rate and markup (with a worked example)

What is a Statement of Work (SOW)? SOW vs staff augmentation

VMS vs MSP: what's the difference for contingent workforce management?

How to start a staffing agency: the back-office checklist

Independent contractor payroll services: which one is right for you?