Businesses entering the growth stage face a set of challenges. As a business owner, it would be difficult to handle everything in-house and concentrate on the growth of your business. HR and administration work could be time-consuming and can distract you from your primary focus. Still, those works are important and to be handled carefully.
PEOs can be the best solution and most of the growing businesses have selected this option. There you can outsource the parts of the business that have become too burdensome to manage internally without hiring additional staff.
This article explains why a small business needs to partner with PEO in its growing stages.
According to the National Association of Professional Employer Organizations (NAPEO), a PEO can help your business grow 7-9% faster. When you work with a PEO you can delegate tasks such as:
- Benefit administration
- Workers’ compensation
- Employee services
- Taxes and compliances
This allows you to concentrate on the core functions of your business. This obviously increases your growth rate.
Help to stay in business:
NAPEO reports that small businesses are 50% more likely to stay in business when they work with a PEO. To understand this fact we need to check for the reasons for the failure of small businesses:
- Financial mismanagement
- Lack of the right team
- Lack of proper planning
By partnering with a PEO you will have access to a team who are industry specialists. This can help you to overcome all the obstacles faced by small businesses and help you to stay.