Running a business is no small feat. Managing operations, meeting growth targets, and leading your team are full-time endeavors, but the added burden of HR challenges can overwhelm even the most capable business owners and HR professionals. Fortunately for them, help is available. HR outsourcing partners like PEOs are experts who can help you streamline your operations and manage your HR needs without you needing to be directly involved.
PEOs offer HR solutions that can transform the way your business functions by handling tasks like payroll, benefits, compliance, and more. But how do you know if a PEO is what your business needs?
Here are seven critical signs that suggest it's time to explore the benefits of partnering with a PEO.
When you’re unfamiliar with the extent of HR needs, it can be difficult to tell whether your company will benefit from a PEO. Let’s look at some of the signs that indicate you could benefit from partnering with a PEO.
Employee turnover disrupts your team and hits your bottom line. The average cost of replacing an employee can range from 1.5-2 times the employee’s salary. If your business is struggling to retain employees, the problem could stem from inadequate benefits, poor workplace culture, or compliance oversights—all of which are areas where a PEO can help shore up your HR efforts.
PEOs provide competitive benefits packages that are usually out of reach for smaller businesses. They can also help enhance workplace culture through comprehensive HR strategies, leaving employees more engaged and satisfied in the long run.
Employment laws and regulations seem to change overnight. From wage laws to safety regulations, staying current is daunting but essential to avoid penalties. If keeping up with compliance feels like an uphill battle, a PEO can offer much-needed relief.
PEOs bring compliance expertise to the table, ensuring your business meets all local, state, and federal requirements. Whether it’s maintaining proper documentation, managing employee classifications, or staying compliant with ACA mandates, a PEO reduces the risk of costly legal mistakes.
Is your day filled with managing payroll, recruiting talent, or fielding employee benefit questions? HR administration, while essential, is time-consuming and can draw focus away from strategic business priorities.
PEOs take over these crucial but mundane HR tasks, using modern systems to streamline payroll, onboarding, benefits management, and more. This allows you to focus your time and resources on growing your business rather than getting bogged down in administrative details.
For smaller businesses, offering attractive benefits like high-quality health insurance or a robust retirement plan is often out of reach due to high costs and lack of buying power.
PEOs solve this challenge by pooling your employees with thousands of others in their network. This group buying power gives your team access to premium benefits like healthcare, dental, vision, and retirement plans at affordable rates.
Scaling a business introduces a host of challenges, including compliance with new regulations, risk management, and ensuring a smooth onboarding process for new employees. These growing pains are where PEOs shine.
Whether you're entering new markets or expanding your team, a PEO provides the infrastructure and systems you need to scale efficiently. By handling logistics, compliance, and workforce support, you can focus fully on growth.
A regional construction company expanded operations across multiple states and faced confusion managing differing state labor laws. Partnering with a PEO provided compliance expertise, ensuring payroll and HR systems ran smoothly across locations.
Managing complex insurance claims or ensuring workplace safety can be a handful for any business. If keeping up with workers' comp requirements or risk mitigation has become overwhelming, a PEO can step in to help.
PEOs simplify this process by offering workers’ comp insurance under their master policy and providing support in claims management. Many also offer safety training programs to reduce future risks. Partnering with a PEO that prioritizes proactive risk management can lead to fewer claims, lower premiums, and a safer workplace.
Struggling to attract the right candidates? It might be time to rethink your recruitment strategy. Talented professionals look for more than just a paycheck—they want comprehensive benefits, a strong company culture, and opportunities for growth.
PEOs offer support in recruitment and onboarding, leveraging their expertise to help craft appealing job offers, improve benefits packages, and implement streamlined hiring processes. Their involvement ensures you stay competitive in the job market.
Recognizing that your business could benefit from a PEO is the first step toward a more efficient, cost-effective, and competitive organization. At ABO, we specialize in providing tailored PEO services that help businesses thrive. From managing payroll to offering premium benefits and ensuring compliance, ABO delivers the expertise you need to take your business to the next level.
Don't wait until challenges pile up—partner with ABO today and unlock the full potential of your business. Reach out to ABO today to learn more!