After six years of giving free referrals to companies for hiring/staffing, I must now end that policy and request applicable payment depending on the business, project and affiliation. I had always done this as a favor to friends or startups, but it has hit the point where I can no longer afford to do it for free. By my estimates, over the last six years I’ve either directly or indirectly placed at least 50 people at various companies in South Florida at every level ranging from HTML coders to CTOs. I’ve also referred well over ONE MILLION dollars in business to other companies for projects/consulting/development work. To date I’ve made about $1,500 from that, far less than the money I’ve contributed to the community, from one referral fee a friend paid. Many times, I’ve been told by numerous people they just assume I’m rich and don’t need money. I have bills to pay and a dog to feed just like many of the people I give favors to.

Effective immediately (Oct. 15, 2012) I am charging for referrals and recruiting help. I hope to continue to aid businesses and the community in their efforts for building their great work. Here are my policies henceforth:

  • If your startup has raised $100,000+ and is generating cash flow enough to pay a full time developer salary, I will be expecting 20 percent commission on first year salary if the person I refer stays with you at least 90 days. Industry standard is 25 percent. Subsequent hires, I will be willing to negotiate for lower fees, but never below 15 percent.
    If your startup has raised $100k+ and is generating cash flow enough to pay a full time developer salary, I will be expecting 20% commission on first year salary if the person I refer stays with you at least 90 days. Industry standard is 25%. Subsequent hires, I will be willing to negotiate for lower fees, but never below 15%.
  • If your startup has raised less than $100,000+ and is generating positive cash flow, I’ll accept a 15 percent commission. This is assuming you are putting the 5 percent extra I am forgoing into paying the hire a more competitive wage. If you’re under $50,000 and not generating cash flow, then I can’t help you, as you probably can’t afford to hire someone.
  • If you are a large corporation, 20-25 percent fees will be applicable depending on how hard it is to find someone that fits what you’re looking for. There will not be any fee breaks unless there is a high volume of jobs. I also expect your company to sponsor RefreshMiami and other community oriented non-profits in the area.
  • For any hiring help, I expect you to treat your new hires well. If I hear that you are mistreating the people I send you, I will stop sending you new leads, because there are dozens of other companies who will happily pay these programmers/developers/designers/managers better and offer better/happier work environments.
  • My project or contract referral rate will be 10 percent of the project fees. This is an honor system, so if you make $100k, I expect $10,000 in commissions. You are making $90,000 that you wouldn’t have had you not met me. If I refer you, you also agree to do your best to follow up with the leads I send you, if you don’t follow up, I will stop referring you.

If you need help finding staff in Miami, Ft. Lauderdale, or anywhere else in South Florida, please contact me. I look forward to working with the great minds in Miami and South Florida to continue to build a great tech community.