Your own numbers, not an example, for what one more engagement is worth.
What happens
You are good at the work. A mandate lands, and delivering it properly takes the time you had
left for publishing and prospecting, while the market keeps hiring.
So when the mandate ends, you are not resuming, you are introducing yourself again, to a market
that forgot what you do.
The two lines never move together. One goes up while the other goes
to zero, and the bill for the zero arrives two quarters later, when the week that caused it is
long forgotten.
The trough is not caused by a bad quarter. It is caused by the good one before it.
See your own numbers
Choose the model closest to how you sell, then set your own numbers.
Base salary and target annual bonus. Not equity, unless it is
normally part of your fee agreement.
Retained search fees are typically 25 to 35 per cent of first-year
comp.
After researchers, associates, sourcing and travel.
Solo and hands-on, that is usually one or two.
Not how you bill a placement. What your own hour costs the practice
when it goes to marketing instead of clients or business development.
What you bill per day, before expenses.
The engagement value follows, over the length set below: .
The whole commercial unit above, not your day rate.
After subcontractors, delivery staff, travel and other direct costs.
Solo and hands-on, that is usually one or two.
Not how you bill an engagement. What your own hour costs the
practice when it goes to marketing instead of clients or business development.
€0
of additional gross margin a year, if your close rate holds, capped at the capacity you have left.
And €0 of your own time released, at the value you gave an hour. That one is hours, not cash.
Opens your browser's print dialog. Choose Save as
PDF as the destination, and you keep the whole thing with your own figures in it.