Entrepreneurs know that starting and running a successful business
is hard work. They also know that growing a small business is like a
marathon - long, time-consuming and grueling.
However, what many entrepreneurs don't expect is that the experience
can be like a hurdling event. These hurdles often appear as endless
administrative forms, tax reports, and compliance with ever-changing
workplace regulations. As the race continues, the obstacles get taller,
especially in administering benefits and competing with large companies
to recruit and retain talented employees. Before long, many
entrepreneurs are unable to concentrate on the business, and they lose
speed. Consequently, a growing number of business owners are turning to
Professional
Employment Organizations (P.E.O.s) to remove these hurdles.
P.E.O.s were born out of the frustration many small business owners
experience when administrative work inhibits the ability to grow an
organization. To overcome that challenge, a business and a P.E.O. enter
into what is called a "co-employer" relationship with the existing
employees, enabling the P.E.O. to serve as the business off-site human
resources department.
According to the National Association of Professional Employer
Organizations (NAPEO) (www.napeo.org), there are three principal reasons
why the P.E.O. industry continues to grow rapidly. Chief among them is
the increase in the number and complexity of workplace regulations
(there are currently estimated to be more than 4,000 local, state and
federal employment regulations). The second underlying factor stems from
the need of business owners to attract and retain superior talent in a
competitive labor market. For example, with a full-service P.E.O.,
employees at small and medium sized businesses have access to big
company health plans, an employee assistance plan (EAP), a
credit-union, educational assistance, a 401K plan, and other employee
benefits that previously may have been unavailable.
Third, business owners seeking to control their operating costs are
turning to P.E.O.s to help them better manage administrative expenses.
P.E.O.s offer a variety of services. On a basic level, most P.E.O.s
assume responsibility for business payroll and related tax filings,
unemployment and workers compensation claims, employer regulatory
compliance, and for providing basic benefits such as a 401K plan and
health insurance.
In addition to these core services, more advanced P.E.O.s can
provide human resources support covering employee hand-book and policy
development, employee counseling, training, recruiting, selection and
performance appraisal assistance. Of course, owners still make the
strategic business decisions and can delegate various human resources
projects to the P.E.O. on an as-needed basis.
Importantly, P.E.O.s also offer business owners the opportunity to
reduce employment liability exposure! Under this arrangement, a client
company transfers many of its employer-related liabilities to the
P.E.O.. Other liabilities are shared. With those that are left, the
P.E.O. can provide resources such as safety consultants and human
resource specialists to provide the back-up needed to further reduce a
client companys exposure.
At the most sophisticated level, full-service P.E.O.s provide
entrepreneurs with other vital employment resources, including
productivity-based training courses, an expanding array of online
support services, and access to a network of best-of-class service
providers that can help them achieve goals more efficiently and
effectively.
The result is win-win. Employees value the opportunity to grow
professionally while the business benefits from increased productivity.
Currently, there are over 3,000 P.E.O.s nationwide. Each P.E.O. has
something unique to offer their clients. It is a fact that no one P.E.O.
could ever hope to fulfill the requirements of the extensive number of
businesses, the millions of employees and the diversity of their needs.
So the questions becomes, how do you find the right P.E.O. for your
personal business needs? Thats where we come in. We find it is far
easier to comply with our clients needs if we're not limiting ourselves
to just one P.E.O.. So we developed a P.E.O. network of the top 100+ A
or AA rated P.E.O.s in the nation.
We now know that we can place all small businesses with a P.E.O.
service that can fulfill all of your current needs;
state compliance, insurance, workmans compensation., etc. that will be
satisfying to you and your company.
And our referral service is FREE to all small business owners in the
U.S.A. and Canada. The last question you must ask yourself is. Is this
why my competitors are kicking my ass when it comes to being
competitive? Think about it...
About the Author
Steve Hartung, consultant.
P.E.O. Brokerage Inc..
http://www.saveonpayroll.com
(Secure site: use ID: 001025 to enter site.)
lowcost@bouldernews.infi.net
1-303-938-9724 (evenings)