When running a company, you’d want to exert effort and focus on the more important aspects of the business. In any industry, some organizations exist to help out business heads and entrepreneurs.
Top EOR and PEO providers are two of the biggest contenders when it comes to business management.
While executives are busy tending to client acquisition and company deliverables, EOR and PEO service providers will assist a company in organizing its workforce.
One prime example of this role is the outsourced procurement team for small businesses that seek qualified workers. These employees quickly respond when there’s an unexpected problem or a project with a tight deadline.
What is an EOR?
An Employer of Record is an organization that oversees another company’s legal responsibilities when it comes to its employees. These services may include talent acquisition, onboarding, and compensation.
In most cases, the EOR will be named as your employee’s employer on paper.
EOR companies will allow your business to hire international employees without much of a hassle. And while they’re the employer on paper, you still get to handle the delegation of your employee’s daily tasks.
This organization will allow you to do business and manage your international team from inside the country with no difficulty.
What is a PEO?
On the other hand, a Professional Employer Organization may serve as a company’s HR department. From payroll to employee benefits, 13th-month pay, and 401(k)s, PEOs will handle human resources functions to lessen the burden from the company.
A PEO is a kind of outsourcing company that primarily focuses on providing HR service support.
The difference between EOR and PEO companies
One of the main differences between EOR companies and PEOs is that EOR organizations will come up as employers on paper, just like their name implies. While EOR companies may come up as employers, you still have the power and the responsibility for their daily operations.
PEOs don’t show up on any of your employee’s records, they solely exist to assist in taking over their client’s human resource department.
Despite their differences, they come together as entities that will allow you to be more flexible and to focus on your company’s core services.
How EOR companies and PEOs help businesses
Time and time again, entities like Employers of Records and Professional Employer Organization help businesses by lessening their internal tasks. Therefore, allowing their clients to be more flexible and focused on their core services.
By providing greater focus through a streamlined process that only requires minimal work from employees, employers can make better decisions with fewer staff members.
Headquartered in the Philippines, Booth & Partners provides personalized outsourcing services to small and medium-sized companies across the globe. Their team of talents will help you strengthen your company’s focus, determine better asset utilization and generate greater corporate value.
With their help, workloads can be done on time and will never be a hassle again. Currently, B&P boasts global partnerships with clients across the United States, Canada, Australia, the United Kingdom, and Singapore.
Staying true to their name, Globalization Partners has in-country teams ready to be delegated anytime.
They have full-on end-to-end control over their services—no hassles or delays when it comes down to business. With their AI-driven technology, Globalization Partners provide a full-stack employment platform from anywhere in the world.
Remote is a global HR solution that provides top-notch all-virtual support to local and multinational companies.
The company is working hard to roll out its newest platform, the first global employee API. Once out for the public, it will allow small and big businesses to connect their employees and payroll data across the whole HR stack.
With more and more companies hiring international employees, companies like Deel will help employers overcome the biggest hurdles when it comes to hiring offshore workers. See data and manage your people in just one comprehensive dashboard.
Deel serves 150 countries as of today, giving you a headstart when it comes to international hiring.
Stay on top of the trends and start a distributed workforce with the help of Deel.
Shield Geo is now a part of Velocity Global and yet, they still stay true to their services.
From local payroll to tax compliance, Shield Geo handles it all for you. Allowing you to focus on your core services and employees.
Thinking about testing new markets internationally? Shield Geo will be there with you every step of the way.
Shield Geo’s Co-Founder Tim Burgess previously joined the Outsource Accelerator Podcast to discuss how his company simplifies to global employment. Listen to the full episode here.
Thinking about hiring employees outside of your country? This organization may be worth checking out.
Partnering with Omnipresent will help you overcome even the most hassle and difficult procedures of hiring an international team.
As their name implies, Omnipresent provides real-time support for your real-time issues and concerns. You can rely on this firm in taking care of your workforce – including the provision of locally compliant benefit packages to comprehensive invoices.
This EOR organization provides the most basic and one of the most comprehensive services out there. Elements Global Services spans across different industries—from tech and startups to non-profit organizations.
When partnering with Elements, you don’t need to think about work visas, permits, and legal paperwork—they’ll handle everything for you.
With full HR support and even pre-employment background checks, Global Expansion came into existence to help businesses acquire international talents needed to succeed.
Serving 214 countries as of date, this company strives to get you the best talents anywhere in the world.
If you’re running a startup business, Oyster HR may be the one for you. With their free plan that lasts for a year, you can already access their most basic functions.
This plan includes two contractors, perfect for firms that are just starting to venture out of their local talent pool.
Velocity Global takes solutions global.
With more than 185 countries on its roster of services, this organization provides world-class human resources support. Velocity Global will help you tap into new markets and even newer talent and people to work with.
They pride themselves on having a people-first approach to hiring and onboarding, a humanizing effort that will bring out the best in prospective candidates.
Wanting to test the international waters before fully committing? Global PEO Services (GPS) will be with you every step of the way.
You don’t need to set up an entirely new legal entity to hire and employ people outside of your country. Let GPS handle all the nitty-gritty legal paperwork for you.
How outsourcing affects companies in the long run
As mentioned briefly above, a Professional Employer Organization firm practices as an outsourcing company. But that doesn’t mean that they too employ third-party service providers.
Most, if not, all PEOs function exclusively as their own entity. They can handle their own services without needing another third-party provider.
Outsourcing does have an effect on companies—a positive one on that.
From lessening the worries for international employment to taxes and regulation, HR outsourcing agencies are there to help you out.