Recruiting fee models

Flat-fee recruiting vs contingency

Flat-fee recruiting means one fixed price per hire, instead of a percentage of the hire's first-year salary. Here's how the two compare, and when each one costs less.

  • Contingency

    15–25% of salary

    Paid only when you hire, but it's a share of the first-year salary.

    Rises with every raise in your offer
  • Flat fee (ours)

    $3,500 / $9,900

    One price per hire, for Latin America or the US, set before the search starts.

    Same at any salary
  • Break-even salary

    $49,500

    For a US hire at a 20% agency rate ($14,000 in Latin America at 25%).

    Above it, the flat fee costs less
Try it

Same hire, two fees

Move the salary and watch what happens. A percentage fee follows it up. A flat fee stays put.

Where you're hiring

$100,000/ year

$40k$250k

The agency fee uses a typical 20% rate. Want a different rate, or several hires? Use the full fee calculator.

Contingency agency, 20%$20,000
Flat fee$9,900

You'd save $10,100

per hire with the flat fee.

The five models

How recruiting is priced

The real question isn't the rate. It's whether the fee grows when the salary does.

Recruiting pricing models compared
ModelWhat you payWhen salary rises
Contingency15–25% of first-year base salary, only when you hireFee rises
Retained executive search25–35% of first-year compensation, in three installmentsFee rises
Flat feeUsOne fixed amount per hire, known before the search startsStays the same
Staffing markup35–50% on top of the worker's pay rate, for every hour they workFee rises
Recruiting as a service (RaaS)A subscription for a set period of recruiting workRises with time

Rates: Leonar, updated September 21, 2026.

The one number to know

What is the break-even salary?

It's the salary where a flat fee and a percentage fee cost the same. Divide the flat fee by the agency's rate.

A US hire

$9,900flat fee
20%agency rate
$49,500break-even
Below $49,500The percentage fee costs less
Above $49,500The flat fee costs less

A Latin America hire

$3,500flat fee
25%agency rate
$14,000break-even
Below $14,000The percentage fee costs less
Above $14,000The flat fee costs less

The further the salary is above break-even, the bigger the gap.

Try your own rate in the calculator
Honest fit check

When a flat fee fits, and when it doesn't

A flat fee fits

  • Full-time roles up to Director level
  • Salaries above the break-even
  • Hires in Latin America or the US
  • You want to employ the hire directly and set the salary

Look elsewhere for

  • Roles paid below the break-even salary
  • VP and C-suite searches
  • Part-time and temporary roles
  • Teams that don't want to employ or pay the hire themselves
FAQ

Questions about flat-fee recruiting

Still deciding? These are the questions employers ask most.

Does a flat fee mean less search work?

No. Every candidate has had skills and work-sample review before you see them, and Latin America candidates also complete an English assessment, spoken and written.

How is a flat fee different from contingency?

A flat fee is fixed before the search starts, so you know the cost before any offer is made. A contingency fee is known only once the salary is agreed, and it rises with every increase in the offer.

How is it different from monthly staffing?

You pay a flat fee once and hire the person directly. A staffing provider adds a markup to the worker's pay rate for every hour they work.

When do you pay the flat fee?

On a Latin America hire you pay $0 up front. On a US hire, $500 of the fee is due when the search starts, non-refundable. The fee, or the rest of it, is invoiced on the hire's start date and due net 15.

What does the flat fee cover?

The flat fee covers any full-time role up to Director level. Each search includes first vetted candidates within 5 business days for Latin America roles or 10 business days for US roles, counted from the kickoff call where we define the role, and a 180-day replacement guarantee.

One price per hire. Whatever the salary.

$3,500 for Latin America, $9,900 for the US. Send a hiring request and you'll hear back within 1 business day.