How split-fee recruiting actually works
A split-fee placement is a placement where two parties share one fee. Usually one side owns the relationship with the client and the job order, and the other side supplies the candidate who gets hired. When the client pays the placement fee, it is divided according to whatever the two recruiters agreed in advance — most commonly fifty-fifty, though splits weighted toward whichever side did the harder half of the work are common too.
The appeal is obvious. A recruiter with a great client and no candidates, and a recruiter with a great candidate and no client, both make nothing on their own. Together they make a placement. The risk is equally obvious: two people now have to trust each other about money that has not arrived yet, and about who did what.
Get these five things in writing
Before you send a single resume into a split, agree on the split percentage, on what triggers payment, on how long your candidate is protected, on who talks to the client, and on what happens if the placement falls through. Verbal splits work fine right up until the moment they do not.
Payment trigger matters more than percentage. "Paid when the client pays" is the honest standard, because the fee does not exist until the invoice clears. Be wary of any arrangement that promises payment on start date but is funded by an invoice nobody has collected on. Ask directly how long invoices typically take and what happens if a client pays late.
Candidate protection — the window during which a candidate you submitted is credited to you — is the clause people forget. Ninety days from submission is a common, defensible period. Without it, a candidate you introduced can quietly reappear six weeks later as somebody else's placement.
Fall-off and guarantees
Most placement fees carry a guarantee: if the hire leaves within thirty, sixty, or ninety days, the client gets a refund or a replacement search. That obligation flows through to the split. If you take a fifty percent share of a fee, expect to carry fifty percent of the refund risk. Read the guarantee terms on the underlying fee agreement, not just your split agreement, because the client contract is what actually governs the money.
Where splits go wrong
In our experience there are three recurring failures. The first is duplicate submission: the same candidate reaching the client through two channels, which almost always costs one recruiter the fee and sometimes costs both the client. Log submissions, with dates. The second is going around your partner to the hiring manager — it feels efficient and it ends the relationship. The third is over-promising on the candidate side. If the candidate is lukewarm, say so up front; a partner who trusts your assessment will send you more job orders than one who got burned by an enthusiastic write-up.
