How much does a head hunter cost?
Retained versus contingency, what percentage of first-year comp, the clauses that actually matter and where the fee lands for a C-level hire in Italy.
Direct answer
A retained executive search firm in Italy charges 25-33 percent of the hire's first-year total compensation. On a EUR 200k RAL plus EUR 40k MBO Dirigente hire, that is EUR 60,000-80,000 in fees, paid in three tranches over three to six months. Contingency search runs 20-25 percent but does not cover C-level roles.
Compared
Retained, contingency, direct.
| Dimension | Retained search | Contingency search | Direct operator |
|---|---|---|---|
| Fee | 25-33% of first-year comp | 20-25% on success | Day rate or monthly retainer, no % fee |
| Payment schedule | 1/3 kick-off, 1/3 shortlist, 1/3 signature | 100% at signature | Monthly, against work delivered |
| Roles covered | C-level, Dirigenti, board | Mid-level, some senior specialists | Interim/fractional executive seat |
| Guarantee | Replacement search inside 6-12 months | Usually 60-90 days | 30-day termination, no fee tail |
| Timeline | 3-6 months | 2-4 months, variable | 2 weeks to start |
Worked example
EUR 240k dirigente hire.
Base comp: EUR 200,000 RAL + EUR 40,000 MBO = EUR 240,000 first-year total. Retained fee at 30 percent: EUR 72,000. Paid EUR 24k on signature of the search mandate, EUR 24k on longlist delivery, EUR 24k on candidate signature. Timeline: kick-off day 1, shortlist week 8, offer week 14, first day of work week 20-26 after notice.
Same seat filled by a CEO ad interim at EUR 2,000/day, three days/week for 12 months: EUR 288,000 all-in. Same order of magnitude. Two weeks to start instead of six months. No permanent contract to unwind if it does not work.
FAQ
Head hunter fees. Common questions.
How much does a head hunter charge?
Retained executive search firms in Italy charge 25-33 percent of the hire's first-year total compensation, split into three tranches: retainer at kick-off, retainer at shortlist, success fee at signature. Contingency search charges 20-25 percent on success only, but works only for junior and mid-level roles. C-level and Dirigenti are almost always retained.
Can you negotiate head hunter fees?
The percentage rarely moves. What moves: the base used to calculate it (RAL only, RAL plus MBO, RAL plus MBO plus benefits), the success-fee cap, the guarantee window and off-limits clauses. Push there, not on the headline percentage.
Do you pay a head hunter if the hire fails?
Standard retained contracts include a replacement guarantee: if the placed candidate leaves within 6-12 months for reasons other than restructuring, the firm runs a replacement search at no additional retainer, but you still pay expenses. Read the clause; wording varies materially.
Quanto costa un head hunter in Italia?
In Italia una società di executive search retained fattura tipicamente 25-33 percento della retribuzione annua lorda (RAL) del primo anno, spesso su RAL + MBO. Su un dirigente da EUR 200k RAL + 40k MBO, la parcella parte da EUR 60k e sale a EUR 80k. La contingency è più bassa ma non si applica ai profili C-level.
Related: alternative to a head hunter, executive search firms in Italy, and interim CEO cost. Back to Hire Interim CEO.
Next step
Skip the retainer. Pay for work, not search.
Direct engagement with one senior operator. Written price in 48 hours. No percentage of comp, no three-tranche retainer, no six-month wait.