Start a temporary staffing agency
Supply reliable temporary workers to local businesses that need cover at short notice.
- £3k-15k
- Full-time
- Own premises
- Licence or permit needed
Estimates for a small start in the UK, not guarantees.
Official data
29,439 UK companies in this field, 29% registered in the last 2 years
SIC 78109 “Other activities of employment placement agencies”. Source: Companies House, November 2026.
What it is
A small agency that keeps a pool of temporary workers, for example in hospitality, warehousing, cleaning or events, and supplies them to local businesses by the shift or week.
Your first three steps
- Choose one or two sectors and speak to local managers about their staffing gaps
- Look into payroll software or a payroll provider and how to pay workers correctly through PAYE
- Recruit a small pool of workers and agree terms with your first client
Who pays
Local businesses needing short-term or seasonal cover, such as hotels, warehouses, event companies and food producers.
How it makes money
You charge the client an hourly rate and pay the worker a lower hourly rate. The difference covers your costs and profit.
Skills that help
- Quick, reliable organising and scheduling
- Staying calm under pressure
- Clear communication with workers and clients
- Comfortable with payroll and basic admin
Watch out for
- Agency worker rules, right to work checks and holiday pay need care, so check the current rules on gov.uk
- Employer's liability insurance and public liability insurance are likely to be needed
- Cash flow is a real risk because you pay workers weekly but clients may pay in 30 days or more
- Some sectors, such as agriculture, food processing and shellfish gathering, need a licence from the Gangmasters and Labour Abuse Authority, so check before supplying workers
- Data protection and UK GDPR obligations for worker records
Deep research report · UK
Everything you need to start: temporary staffing agency
Researched with live web search for United Kingdom: real startup prices, the licences and rules, what others charge, a break-even example, how to find your first customers and a 30-day launch plan. With sources.
- Startup costs with real prices
- Licences, registration and rules
- Pricing: what others charge
- Break-even example
- Finding your first customers
- 30-day launch plan
- Risks and how to reduce them
Questions people ask
How much does it cost to start a temporary staffing agency in the UK?
Startup costs are typically around £3,000 to £15,000, depending on your setup, insurance and how much cash you keep back to pay workers weekly before clients pay you. These are estimates, so build your own budget.
How much can a temporary staffing agency earn?
Monthly revenue is typically around £2,000 to £10,000, depending on how many workers you supply, the sectors you serve and how many hours they work. Revenue is not profit, as you pay workers and cover running costs from it.
What rules should I check before starting a staffing agency?
Check agency worker rules, right to work checks and holiday pay on gov.uk. Also check insurance needs, UK GDPR for worker records, and whether supplying sectors such as agriculture, food processing or shellfish gathering needs a Gangmasters and Labour Abuse Authority licence.
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