Recruitment agency, staffing agency, freelance platform or employer of record: which one?

Companies that want engineers in Latin America can use four kinds of services. They differ in who employs the engineer, how you pay and how long the engineer stays with you. This page compares them.

The short answer

Use a recruitment agency when you want the engineer on your own team for the long term and prefer to pay once. Use a staffing agency when you want the vendor to employ the engineer and bill you every month for a period. Use a freelance platform for short projects with a clear result. An employer of record does not find people: it employs someone you already chose, so companies often pair it with a recruitment agency.

Side by side

ServiceWho employs the engineerWhat you payWho finds the engineerFits
Recruitment agencyYou, or your employer of recordA one-time fee when you hireThe agencyLong-term team members
Staffing agencyThe agencyA monthly invoice while the engineer works with youThe agencyA set period, or teams that do not want to employ
Freelance platformNobody: the freelancer is self-employedThe freelancer's rate plus the platform's feeYou, from the profiles on the platformShort projects with clear deliverables
Employer of recordThe EOR, on your behalfSalary costs plus a service feeYouEmploying someone you chose, without a local company

Recruitment agency

A recruitment agency finds candidates, checks them for the role and introduces them. You interview, decide and hire the person yourself, as an employee, a contractor or through an employer of record. Agencies that work on contingency charge only when you hire. Others take part of the fee before the search starts, which is called a retained search.

Staffing agency

A staffing agency, also called staff augmentation or managed staffing, employs the engineer and bills you every month while they work on your team. You direct the daily work and the agency handles the contract and payroll. The monthly price includes the agency's margin for as long as the arrangement lasts, and staffing contracts often set a fee if you later hire the engineer directly.

Freelance platform

A freelance platform is a marketplace where you browse profiles, post a project and pay freelancers through the platform, which takes a fee. It suits short projects with a defined result. For a full-time role under your direction, the same rules apply as for any contractor; see contractor or employee in Latin America.

Employer of record

An employer of record employs the engineer in their own country on your behalf and runs payroll, taxes and the benefits local law requires. Companies use it after they have chosen someone, from their own network or through a recruitment agency. Deel and Remote are two of these platforms.

How Boecia Talent fits

Boecia Talent is a recruitment agency that works on contingency. We find AI and software engineers in Latin America and Eastern Europe, speak with each one about the role and send you a shortlist. You hire the engineer directly or through an employer of record, and pay us once, only if you hire. A hire who leaves within 90 days is replaced for free. Boecia Talent never employs the engineers.

Questions companies ask

Is staff augmentation the same as recruitment?

No. With staff augmentation the vendor employs the engineer and bills you every month. With recruitment the engineer joins your company and you pay the recruiter once. See staff augmentation in the glossary.

Can I use a recruitment agency and an employer of record together?

Yes. The agency finds the engineer and the employer of record employs them in their country. Companies without a local entity often hire this way.

Do I pay anything if I do not hire?

No. Companies pay Boecia Talent only when they hire someone it introduced. The fee depends on the role and is given in the quote before any work starts, and a hire who leaves within 90 days is replaced for free.

Related guides

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