As a general practice, recruiting for a job order without a written agreement is bad business. Not only does it create the potential for lost revenue if the employer refuses to acknowledge their implied or oral agreement; but it sets a nasty precedent for future dealings with the employer. However, there are circumstances where beginning a search without the written agreement is acceptable as long as certain rules are followed. Let’s take a look at a few of those rules:

1. Make sure that there is a written agreement which the hiring manager intends to sign.  Sometimes a hiring manager may not have the time to read a recruiter agreement immediately because they’re too busy and in these cases it may be permissible to begin work on the job order.
2. Make sure you have a verbal agreement which sets out the terms of your work. How much will you get paid is one of the most important issues the verbal agreement must address.  If the verbal agreement is clear on the terms of recruiting for the position, then it’s okay to move forward.
3. Don’t do too much work before securing a signed agreement.  A recruiter with only a verbal agreement should only find one job candidate for the job. Make the employer aware that you have a job candidate ready to send out; but don’t offer their name or the name of their current employer until after you receive the signed agreement.
4. Don’t make working under a verbal agreement the rule. Only do so in rare cases where you know the hiring manager has a legitimate reason for not sending the signed agreement right away.  And even then, only begin work under a verbal agreement if you trust the reputation of the hiring manager.