A professional employer organization (PEO) assists companies, particularly small- to medium-sized businesses, by providing finance, human resources, benefits, and administrative solutions. PEOs are a popular business alternative to hiring full-time, in-house staff members and entire departments.
The problem lies in choosing the PEO partner that will be the best fit for your business. With more than 900 PEOs across the U.S., most business owners don’t have the time to focus on properly narrowing down their options to make a good choice. Especially when those business owners are also taking on their own payroll, human resources, finance, and administrative tasks on top of running and growing the business.
That’s where NetPEO comes in. We work with businesses of all sizes in Buffalo to help match them with the best PEO partner to fit their unique needs. One call to (678) 376-1212 gets you on the road to finding the ideal PEO partner and taking human resources, finance, and administrative tasks off your plate.
Businesses Benefiting from Working with a PEO
PEOs can be a great fit for businesses with five employees to 500. Some PEOs work across industries, some are industry-specific.
Some of the Buffalo industries benefiting from partnering with a PEO include:
- Business and professional services
- Information technology
The more recently you’ve started your business and the smaller it is, the more vulnerable the business tends to be to human resources issues and rising benefits costs, in particular.
Why PEOs Are Uniquely Effective
When you partner with a PEO, your business enters into a “co-employment” relationship with the PEO. While this can sound frightening and overwhelming, you, as a business owner, aren’t giving up any control over or stake in your business.
Co-Employment for a PEO
The client services agreement (CSA) will spell out specifically what a PEO will and will not handle for a business. The co-employment agreement allows the PEO to legally claim your employees as their own employees in order to officially handle highly sensitive information such as financial, payroll, and benefits.
Co-Employment for a Business
As a business with a co-employer, you retain control over all hiring and termination decisions, have the final say on anything done by the PEO, and maintain your position to continue to grow and manage the company. Your PEO partner simply acts in accordance with what the business owner has laid out in the CSA.
Benefits of Working with a PEO
From outsourcing all your human relations tasks to simply managing payroll, there are many levels on which you can work with a PEO partner. The more you can take advantage of the services offered by your PEO, the bigger team of knowledgeable experts you have working on your behalf.
From basic processes such as putting together an employee manual to procuring and managing benefits, there is a nearly endless list of human resources functions needed by growing companies. PEOs have experienced HR professionals well-versed in determining your needs and quickly getting up and running on everything from streamlining processes to helping you create policies and procedures with a very little learning curve.
As a smaller employer, it is very difficult to obtain and afford the premium benefits your employees deserve and your company needs to attract top talent. One of the ways your PEO partner can prove their value is by providing and managing an employee benefits package you may have thought was beyond your reach.
As part of the co-employment relationship, a PEO’s “employee pool” is bigger than any one company on its own. This gives PEOs significant bargaining power to have access to a wide range of benefits at affordable prices.
New York has notoriously complicated labor laws and requirements. A PEO partner helps your company lower risk by ensuring you’re in compliance with federal, state, and local laws and regulations. Additionally, PEOs stay on top of tax and financial laws and deadlines and can even handle workers’ compensation comprehensively.
From user-friendly online tools and employee self-service (ESS) portals to full small business payroll management services, your PEO partner can give you back your time and provide employees the predictable, streamlined payroll procedure they need.
Long Term Benefits of a PEO Partner
Studies have shown that when a business works with a PEO, they can look forward to:
- Lower employee turnover
When employees come on board to find a smooth, predictable HR and payroll process, plus a desirable benefits package, they’re more likely to stay with your company.
- Faster growth
When the owner of a business isn’t attempting to manage human resources and administrative tasks in addition to managing and growing the business, the focus can solely be on growth. Unsurprisingly, that makes a big difference in the business growing more quickly.
- Higher likelihood of remaining in business
From natural disasters to a company crisis, when businesses partner with PEOs they are much better equipped to deal with disruptions or changing circumstances. PEOs have experience with just about every possible scenario and that expertise is necessary for growth and evolution.
- Lower administrative costs
For every full-time employee your company hires, you’ll pay 1.25 to up to 1.5 times their salary, depending on required taxes, benefits, and other factors. A PEO is a service you hire, not an employee, so businesses save money.
Call Today to Find the Perfect PEO Partner for Your Buffalo Business
When you work with NetPEO, we take the time to learn about your company, your needs, and your growth goals. We work with you through your selection of a PEO partner and beyond, to ensure you’re continually satisfied.
Call (678) 376-1212 now to get started. Don’t wait a day longer to learn how working with a PEO can benefit your Buffalo business.