III. Industry Analysis
HR is an essential department for any business. However, startups rarely have the resources or the need to take on a full HR team. Until they become fully established, they only need HR professionals for certain phases or projects. Because of this, HR consulting firms are often in great demand.
In fact, HR consultants and outsourced professionals have never been in higher demand. With the economy in flux in recent years, it is much cheaper for companies (particularly startups) to invest in outsourcing or consultants to help with their workload. Therefore, many consulting firms are seeing a boom in business even as other major industries struggle.
Furthermore, the future of HR consulting looks bright. According to Research And Markets, the HR advisory market is expected to grow at a compound annual growth rate (CAGR) of 6.8% until 2026. That growth will continue for the rest of the decade with a predicted CAGR of 8% expected from 2026 to 2030. Therefore, these services will be in hot demand for the foreseeable future.
Moreover, there are currently over 71,000 startups in the United States, and that number is expected to grow due to the increased interest in entrepreneurship. Many of these businesses will need HR consultants to help them with their HR processes. Therefore, it has never been a better time to start an HR consulting firm. With such a promising future for the industry and [Founder’s Name]’s experience, [Company Name] is sure to be successful.
