5 Things to Look At Before Considering an EOR
Need to hire or onboard employees? Your business can gain so much more with the help of an EOR like AYP.
Businesses from all over the world have been turning to Professional Employer Organisations (PEO) and Employers of Record (EOR) in pursuit of smoother business expansion. These services essentially help businesses like yours to streamline work processes across geographical boundaries and easily manage your employees who are working remotely.
If you’re keen to outsource some of your business’ HR tasks to another organisation, then why not consider an EOR? It is a third-party organisation that does hiring and payroll on behalf of businesses like yours. Aside from taking responsibility for all formal employment tasks, EOR also enables you to legally hire overseas workers in another country without setting up a local entity or risk violating local employment laws.
To enjoy a smoother transition when outsourcing to an EOR, here are just five things to look at to help with your decision-making.
Are Your Payroll Remittances Usually On Time?
It is important that your payroll shouldn’t fall behind schedule. Not only would late payments occasionally incur penalties, but it also gives your business a bad reputation in the long-run. This may go on to affect your future business expansion, not being able to hire suitable talents and cope with payroll across geographical boundaries.
If payroll is a worry that your company has, then an EOR can help you nip this issue in the bud before you expand and have to manage an even larger workforce.
Do You Plan to Expand Regionally or Globally?
Business expansion can get complex when you plan to go beyond your current country of operation. There are different laws and regulations to take note of, and every country may adopt a different set of regulations as well. Needless to say, the more countries you expand into, the more regulations you’d have to learn.
To avoid overworking yourself or accidentally violating certain regulations, it is a good idea to let an EOR do the job for you. An EOR is already familiar with the different things to take note of and how to expand your business legally, so leveraging their expertise will quicken your business expansion without trouble.
Have You Had Trouble With Employment Policies?
You might also want to consider an EOR if you’ve ever been penalised for one or more of your employment policies. This is because all businesses need to achieve corporate compliance, and that includes abiding by each country’s employment laws. And this can get tricky, because your HR department is expected to keep up-to-date with every policy change and understand how these policy changes may impact your company.
By relying on an EOR, your company can achieve corporate compliance and keep up with any policy change. In the long run, this helps you save cost by avoiding hefty fines and keeps your company’s reputation.
Is Your HR Team Feeling Too Small?
If your HR department already seems to be stretched thin by their current tasks, expanding your business without sufficient manpower might not be the best idea. After all, a HR department is similar to being the backbone of your company.
In this case, turning to an EOR might help. They can take over some tedious but necessary HR tasks, and your HR department may be freed up to focus on other business strategising initiatives to better your company’s long-term growth. This may include taking on new hires and providing a seamless onboarding experience, which betters employee retention.
Are You Keen To Expand But You’re Feeling Overwhelmed?
It is no surprise that business expansion can be a huge undertaking, especially when you are trying to set foot in a new country altogether. But there is no need to stress yourself out unnecessarily. With an EOR, you can gain the assistance and guidance that you need to do things safely, compliantly, and smoothly.
And the good news is, AYP has a single digital platform that offers both Professional Employer Organisation (PEO) and Employer of Record (EOR) solutions. With a single dashboard known as AYP Global Pay, you can easily access all of the HR features that your business needs.
With AYP covering all bases when it comes to managing your business, you never have to worry about anything HR-related again. Hire anyone, onboard anywhere, manage and pay anytime, and get custom HR advisory.
Why not let analytics, data, and algorithms help you improve your HR processes today? Learn more about our platform by scheduling a demonstration today!