Talent Solutions vs Staffing Agencies.
A direct-hire pipeline is a different product than a temp or contract-to-hire agency. Same trade. Different relationship, different cost shape, and a very different answer to "do they actually work for us?"
Staffing agencies rent you a worker at an hourly mark-up, and if you want to keep them you pay a conversion buyout (often 20–80% of salary). The agency is their employer — they report there, get raises there, and leave when the agency reassigns them. Our model delivers a direct hire who works for you from day one, no buyout, no hourly mark-up. The right answer depends on whether you actually want this person on your team for the long run.
The comparison, row by row.
| Staffing Agency (Temp / C2H) | Talent Solutions | |
|---|---|---|
| Engagement model | Workers are employed by the agency, billed hourly to you | Direct-hire only; your new employee works for you |
| Pricing | Hourly mark-up of 40–80% over the worker's wage | Flat monthly fee, no per-hour mark-ups |
| Cost over 12 months for a $30/hr role | ~$125,000 fully loaded at typical mark-ups | ~$48,000–$90,000 base + flat monthly retainer |
| Buyout if you want to keep them | Common: 20–80% of first-year salary as a conversion fee | No buyout — the hire is yours from day one |
| Employee loyalty | They report to the agency; benefits, reviews, raises go through them | They report to you; you build the relationship from day one |
| Best for | Short-term project surges; 3–6 month coverage | Anyone you want to keep, train, and grow into the company |
| Quality control | Whoever the agency has on the bench this week | Vetted against your scorecard before submittal |
When each model fits.
Staffing agencies exist for a real reason — they are the right tool when you do not want the person permanently. The wrong tool when you do.
When a staffing agency fits
- You have a specific short-term project (3–6 months) with a clear end date
- You explicitly do not want the worker on your payroll long-term
- You need a body fast and are willing to pay hourly premium for that speed
- You are testing whether a role even justifies a permanent seat
When Talent Solutions fits
- You want to hire someone — not rent someone
- The role is permanent, even if you start with a 90-day evaluation
- You want the new hire to feel like part of your company on day one, not an outsider
- You want comp + benefits + culture to align with the rest of your team, not the staffing agency's
The hidden cost most contractors underestimate.
It is not the hourly mark-up. It is the loyalty problem.
A contract worker reports to the staffing agency. Their raises, benefits, time-off, and 1:1 development conversations all happen there. You can build a great six-month relationship with someone who is paid by an agency and still lose them on a Tuesday because the agency reassigned them to a competitor for a higher bill rate.
For a project surge with a clear end date, that trade-off is fine. For a foreman you want running a crew in two years, it is the wrong product. Direct hire pays back every time the role is permanent.
Want to hire someone, not rent someone?
Tell us what role you're trying to fill and we'll show you what a direct-hire pipeline would look like for it.