The first step, as in other businesses, the first step towards opening an HR consultancy agency is deciding on a name for the prospective organization. This is an important step because the name is the brand which will distinguish the company in future and be its identity. The major determinant in choosing a name is that the owners should like it and be able to relate to it.
The next step for such a company will be to book a domain name. This is mandatory because a company without a proper domain name or website is never in a position to earn the trust of its users or clients. In India, domain names are fairly inexpensive with the costs ranging around INR 450 per year.
After they are done with domain booking, the owners need to get their websites designed by established professionals. Freelancers can be employed in lieu of fees of approximately 7 thousand rupees but it is better to have a reputed organization. In India, professional designers charge approximately 15 thousand and the expenses for availing web hosting services could go up to INR 1000 per year.
The owners need to decide the type of company their organization is going to be. There are 4 major choices available in India in this regard:
- Sole proprietorships
- Private limited companies
- Public limited companies
In case a single individual is starting an HR consultancy agency, it is important that the entrepreneur opts for sole proprietorship because in such companies it is easier to retain control of operations. Not many formalities are involved in such companies – the owners just require a current account in their name. In case, the company earns in excess of INR 10 lakhs, it will need to get registered for service tax.
It is very important to open a current account and this can be done if it is a solo proprietorship company and if the company has registered for service tax. Provided the owners are yet to file for service taxes, they will have to choose government banks for setting up the accounts.
They can also look at banks such as IDBI, which offer convenient procedures for opening a current account. In order to open a current account, the organization needs a company letterhead, company stamp, and a visiting card.
It is important that the newly formed HR consultancy agents purchase login facilities of popular Indian job search websites such as Naukri and Monster. This will help them to provide their clients proper candidates for different posts.
Login facilities for Naukri.com can be bought at approximately 60 thousand rupees for a 3 month period – the login facilities for Monster for a similar period are worth almost 35,000.
How to start a travel agency?
In the recent years, the travel sector has witnessed a substantial amount of growth and the increasing spending capabilities of the middle class have played a major role in this development. The travel agencies have been facing some problems with the Indian airlines but overall the sector has been performing pretty well.
Ideally, the owners of a travel agency should start with lower amounts and have overdraft facilities at a bank of their preference. They should also have some buffer amount. The overdraft is normally dependent on the fortnightly amounts earned by a travel agency. The owners also need to keep in mind that ticket stocks are provided by airlines on basis of the bank guarantee provided by a company.
The travel agencies can be both home based or have corporate set-ups. The best part of a home office is that there are not too many overhead costs, which makes it an easy option. But, to make a home-based office operate successfully, the entrepreneur should have a proper network. If they do not have a good network as such they might not get enough clients needed for a good start.
If a travel agency is established in a business area it increases the organization’s visibility and transparency. It is advisable that the owner of a travel agency has an IATA (International Air Transport Association) diploma so that their company appears to be credible.
These diplomas can be availed by anyone willing to start a travel agency. However, there are some travel agents in India who operate with consolidators and do not have such certifications. The IATA certified agencies enjoy greater acceptance among the tourists.
It is considered advisable if the owners have some experience of working in the travel industry. The Indian travel industry works mainly via networks and personal referrals and these are not built in a single day. Experience assists an entrepreneur to create good relations with the clients, foreign consulates, corporate houses, vendors, and airlines. An owner with 2 years of experience is also in a better position to make the business operate without too many problems.
The new travel agencies should look to provide customers some special services. For example, in addition to ticketing the companies can look at services such as holiday packages, bus tickets, reservations of hotel rooms, and car rentals. Having proper credit facilities and a survey team comes in handy to attract corporate clients.
These organizations should also get permission of Indian Railways to provide rail tickets in addition to the IATA license that has to be renewed every year. They can also use global distribution systems such as ones provided by Amadeus, World-span, Abacus, and Saber.
Last Updated on 09 April 2012