Glossary
What is retained search?
Retained search is a recruitment arrangement in which the client pays part of the fee upfront to secure a dedicated, exclusive search, with the balance paid at shortlist and placement.
Because the agency is paid to run the search rather than to win a race, it maps the whole market, approaches people who are not looking, and assesses them properly. It is the standard model for executive and leadership hires and for scarce specialist roles.
Retained search costs more in cash terms and commits the client to one partner. In return the client gets a process with a named owner, regular reporting, and a shortlist built from the full market rather than from whoever replied first.
When should a startup use retained search?
For hires that set the direction of a team for years, such as a CTO, VP Engineering or head of product, and for roles where the right candidates are few and almost all employed. If the cost of a wrong hire is a lost year, the search deserves a dedicated process.
How is a retained fee structured?
Typically in three parts: a retainer on engagement, a payment on shortlist delivery and the balance on the candidate accepting or starting. The exact split is agreed per search.