Professional Employer Organizations (PEO)

Professional Employer Organizations (or PEO) have been around for some time but are gaining popularity as the cost of being a small employer goes up.  Working with a professional employer can also be a better way to attract far superior employees too that you otherwise could not obtain due to the limits of being a small employer.

Professional Employer Organizations simply work by hiring your employees and leasing them back to you at a flat rate.  They provide benefits, keep on top of all the labor laws, manage payroll and taxes, and can place them elsewhere if business takes a downturn or the employee simply doesn’t work out. 

Employee Leasing

This isn’t to say that working with a Professional Employer Organization is cheap.  They of course make money.  But where small businesses have come to the point of hiring someone to perform these functions, or if the owner or management of the company is not able to produce, the cost of using Professional Employer Organizations might just make up the difference.

Keep Control

Working with a Professional Employer Organization doesn't mean that you lose control over your employees.  Your relationship doesn't change in the least.  You can reward them, hire them, fire them, and give them raises as you see fit.  These are your employees except for tax reasons.

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