PEO ( Professional employer organizations ) help small businesses thrive by taking on human resources and personnel administration burdens.
One of the many assets available to small businesses is professional employer organizations, also commonly referred to as PEOs. According to the National Association of Professional Employer Organizations (NAPEO), a PEO “provides comprehensive HR solutions for small and mid-size businesses. Payroll, benefits, HR, tax administration, and regulatory compliance assistance are some of the many services PEOs provide to growing businesses across the country.”
So why should you consider a professional employer organization for your small business? Read on to learn more.
Receiving Help While Remaining in Control
Businesses that work with PEOs do not lose control over their companies. The company will remain responsible for day-to-day assignments, supervision, recruiting, training, and business operations, while the PEO assumes responsibility for human resource management and related administrative duties. Additionally, a PEO does not mean your Human Resources team will be replaced. Instead, a PEO aligns with your current HR team to provide help and support.
By outsourcing various functions of your business to a PEO, you can reduce your administrative and risk-related work and focus on growing your business. Utilizing a PEO has numerous benefits for small businesses, including:
- access to a team of experts;
- cost and time savings;
- support for compliance, payroll, claims, and other administrative functions;
- increased benefit options;
- enhanced productivity and functionality; and
- peace of mind.
According to the NAPEO, small businesses that use PEOs:
- grow 7-9% faster;
- reduce their employee turnover by 10-14%;
- see a return on investment in costs savings of more than 27%; and
- are 50% less likely to go out of business.
Considering a PEO?
If you think a Professional Employer Organization may be a good fit for your small business, consider our sister company, Convergence Employee Leasing. Located next door to Convergence JAX Coworking, Convergence Employee Leasing has provided professional employer organization services to clients since 2006. Although located in Jacksonville, FL, Convergence Employee Leasing serves a variety of clients throughout Florida, Georgia, and Alabama. They strive to converge their client’s skills with their PEO expertise to help them build a successful business. They provide state-of-the-art payroll processing solutions, including – paycheck processing, payroll tax processing and payment, and workers’ comp coverage and claims management.