CAPITALISING ON HUMAN RESOURCES BOOM

Written on the 25 November 2011

CAPITALISING ON HUMAN RESOURCES BOOM

A recruiter with 24 staff has successfully tapped the booming Queensland mining industry.

Skye Recruitment achieved 300 per cent growth during FY10/11 and there’s bigger prospects in the pipeline, says co-founder Kye Macdonald (pictured).

“We’re in white collar technical recruitment – engineers, management staff for engineering sectors, mining sectors and civil design. Two of our sectors are resources focused in the mining sector and the other sector is civil infrastructure,” he says.

“Our clients do a lot of road building and pipelines – the kind of work that comes from government or property developers.

“We’ve recently expanded our headcount by 35 per cent and operate nationally with 35 per cent of our revenue from Western Australia, 10 per cent in New South Wales and the balance from Queensland.

“We’ll be increasing our process across New South Wales in future.”

Alongside wife Sophie, the couple worked in the recruitment industry in the UK before starting their own agency in Australia from home.

“The recruitment market in the UK is much more mature than the Australian market, where we saw an opportunity to start our company, so we started working from home with a laptop and a phone before moving into an office 20 months later,” says Macdonald.

“We wanted to build a certain culture because sales environments can be nasty, particularly when commission is involved, so we wanted to create an environment that was competitive, but friendly at the same time.

“It’s an environment where people are professional, get their work done and where workers aren’t just individuals working for a company without any buy in.”

He describes setting up the business as ‘easy’ since there were few overheads. “Recruitment has limited overheads when you start up, so you can do it with a computer, a phone and the internet,” says Macdonald.

“Once it’s running though, costs increase dramatically when you start taking on staff and with the time it takes for clients to pay.

“We’ve had to be careful with the clients we take on because bad debts can really hurt us. Fortunately, we had about $70,000 in the bank that helped us get started and we were able to build on that investment.”

Macdonald concedes challenges lie ahead in the industry with likely impacts coming from the mining tax and the Gillard Government’s Clean Energy Bill.

“A challenge for us looking forward is the uncertainty and volatility in the market – some of our clients are hesitant about committing to jobs because of the uncertainty about the carbon tax and what’s going to happen at the next election,” he says.

----------

YOUNG ENTREPRENEUR FINALIST
Kye Macdonald
Skye Recruitment
RECRUITMENT
Age: 30
Business Est: 2006
Staff: 24
Growth: 300 per cent
Turnover: $4.2 million


Latest News

MEGAPORT 'LEAPFROGS' INTO EUROPE

MEGAPORT (ASX: MP1) will acquire Germany's second largest internet exchange operator and another provider in B...

GUVERA SWITCHES OFF IN AUSTRALIA

GUVERA has today ended its music streaming service in Australia, announcing in an email to its subscribers that, a...

VIRGIN AUSTRALIA RESTRUCTURE CAUSES TURBULENCE AT AIRLINE

THE restructure at Virgin Australia (ASX:VAH) will result in a full-year loss of $224.7 million.

This is desp...

MEGAPORT PLACED IN TRADING HALT FOR EUROPEAN EXPANSION

MEGAPORT (ASX: MP1) has been placed in a trading halt for a proposed capital raising.

The Brisbane company al...

Related News

CONSTRUCTION FALLING AWAY BUT GROWTH REMAINS 'IMPRESSIVE'

MAJOR engineering and commercial construction in Australia is falling away faster than expected, says Deloitte Access...

FROM THE TANK: BRINGING AN IDEA TO LIFE

TAKING an idea from a lightbulb moment to a fully-fledged enterprise may seem overwhelming for the average punter,...

ECONOMIC GROWTH SURGES IN NSW

NSW is leading Australia in economic growth, says the latest Commsec State of the States report.

The state re...

RESTRUCTURE TO COST WOOLWORTHS $1 BILLION

WOOLWORTHS (ASX:WOW) will take a $959 million impairment in FY16 as the company undertakes a restructure and closes u...

Contact us

Email News Update Sign Up Contact Details

Subscribe to our mailing list

* indicates required
Email Format

PO Box 2087
Brisbane QLD 4001

LoginTell a FriendSign Up to Newsletter