There are many PEO (Professional Employer Organization) providers and many offer similar services and capabilities, but it’s important when you are outsourcing HR that you analyze each situation to decide what the best PEO option is for you.
Before letting your company commit to a contract with a PEO company that could cause you financial harm, review these 7 tips to help you make a wise decision when it comes to meeting your company’s PEO needs.
How To Pick The Best PEO For Your Small Business
There are several aspects you need to take into account when choosing a PEO. These are some of the most important things you need to look into.
1) Look at the services the PEO offers
This is the most obvious, but identify exactly what your company’s needs are and then look for the best PEO that offers those specific services.
The best PEO companies offer full HR outsourcing, including payroll processing, employee benefits administration, workers’ compensation, compliance and risk management, and staffing.
2) Does the PEO have expertise in your specific industry?
Consider whether the PEO has experience working with companies in your industry. This can help to ensure that they understand your unique HR management needs and challenges.
3) What is the PEO’s reputation and track record?
Research the PEO’s reputation and track record by reading online reviews, checking references, and looking at industry rankings and awards.
4) Do they have financial stability?
Ensure that the PEO is financially stable and has adequate insurance to protect your business in case of default or other financial issues.
5) Does the PEO utilize the latest technology and resources?
A PEO company that has invested in the latest technology and has adequate resources can actually provide better quality HR services to your business.
6) What are the contract terms?
This is probably the most important. You should carefully review the PEO’s contract terms, including pricing, service guarantees, and termination policies, to ensure they align with your business needs and budget.
7) Do they provide good customer service?
Understanding a PEO company’s level of customer service and responsiveness will help to ensure that they will be available to answer questions and address any issues that arise.
How can you contact the company? Do they only have less personal means of communication like email and online chat or do they have a toll free number you can call in case of an emergency?
It’s important to consider all of these elements when deciding on who to outsource your human resources to and understanding these top 7 tips will help you move forward with more confidence.
The Best PEO Companies Can Make All the Difference
Picking the best PEO company can make all the difference. Being able to offload some of your daily responsibilities onto the PEO of your choice will allow you to focus your time and efforts on improving your products and developing your brand.
For many small business, working with a reputable PEO not only saves time, but is also cost-effective. Contact Vensure HR today to learn more about our PEO services and to request a consultation.
