Buying a staffing firm in Orlando and Central Florida

• A spread of clients, with no single client dominating hours billed. Losing one big warehouse account can erase a year's profit.
• Gross margins that hold up when clients renegotiate or put the work out to bid.
• Long-standing clients with written agreements covering rates, payment terms and who is liable for what.
• Few workers' compensation claims and a real safety program for placed workers, which keep premiums down.
• Recruiters with a deep pool of workers, tracked in a proper applicant system rather than in someone's phone.
• Clients that pay on time, with little bad debt.
• A specialty with skilled workers, where clients pay more for the firm's ability to find people.

• Workers' compensation: the job classifications used, claims history, and the experience rating (a score based on past claims) that sets the premium. Make sure placed workers are classed for the work they actually do.
• Payroll taxes. Taking over more than half of a business or its assets can make you liable for the seller's unpaid Florida taxes, including reemployment tax (Florida's unemployment tax), unless you get a certificate of compliance from the Department of Revenue first (section 213.758). A buyer that carries on the business can also take over the seller's reemployment tax record and rate, good or bad (section 443.131).
• How much depends on the biggest clients, and contract terms on who pays for accidents at client sites.
• How long clients take to pay, and any factoring agreements that must be paid off at closing.
• I-9 forms and E-Verify records.
• Overtime and wage compliance, and the risk when clients direct the work.
• Agreements with recruiters and account managers, including non-solicitation terms.

• Who are your five largest clients, and what share of gross margin do they produce?
• What workers' compensation claims have you had in the last five years?
• How do you fund payroll before clients pay?
• Do any clients use you for their whole workforce rather than temporary help?
• How would you find 20 workers if a client needed them next week?
• Which client relationships depend on you personally?
• Have you had any wage, tax or immigration audits?

This region covers Orange, Seminole, Osceola, Lake, Sumter and Marion counties: Orlando, Winter Park, Kissimmee, St. Cloud, Sanford, Clermont, Leesburg, Ocala and the large retirement communities of Sumter and Lake counties. Tourism is what the area is best known for, built on the theme parks, the hotels, the vacation rental homes around Kissimmee and the Orange County Convention Center. It's far from the only business. The University of Central Florida and the military simulation and training offices near it support a technology base, and health care is a major employer.

Marion County is horse country, with thoroughbred farms around Ocala, and it has added warehouses and distribution centers along Interstate 75. Retirees in Sumter and Lake create steady demand for medical practices, home care, home maintenance and auto services. The building trades, restaurants, and companies that serve hotels and rental homes do well across the region.

Central Florida is inland, so storm surge isn't the worry it is on the coasts. Hurricanes still bring wind damage and flooding, though: Hurricane Ian flooded neighborhoods in Orange, Seminole and Osceola counties in 2022. Ask whether the business or its customers were affected.

Tourism keeps demand steadier through the year than in markets that depend on winter residents, with busy stretches around school holidays. Hotels, parks and restaurants compete hard for workers, which pushes up wages for any company that hires hourly staff. New homes have spread fast in Osceola, south Lake and southeast Orange counties and around Ocala, so check whether a company's customers are in growing areas or older ones. Traffic on Interstate 4 limits how much ground a service company can cover in a day.