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Best HR Outsourcing Services for Small Businesses in 2020

Author: Sudhir Singh
by Sudhir Singh
Posted: Aug 21, 2020

Your small business is growing and thriving, thanks to your entrepreneurial efforts to cultivate new customers, finalize sales and expand your product line. But one area where you haven’t had time to focus too strongly is in the HR sector.

Although this is common for many founders, it’s a problem that has to be rectified swiftly. That’s because if your company isn’t staying up to date on employment and labor laws, benefits administration, new employee onboarding and payroll processes, then you could be setting yourself up for serious issues.

One way to ensure that your company is on top of its HR obligations without disrupting your company flow is to outsource this responsibility. HR outsourcing can allow you to stay in line with all required labor laws and manage your team appropriately without the expense and headache of hiring an entire human resources department.

To find the best HR outsourcing service for your business, consider the following elements when you start interviewing candidates.

Ask Who Else the HR Outsourcing Firm Has Helped

You’ll find a variety of HR outsourcing services that can provide you with the tools you need to keep your business operating smoothly, but before selecting one, you should ask the candidates you’re considering about the companies they’ve helped in the past. It’s important to work with an outsourcing firm that has helped other businesses that are in the same industry and size range as yours so you know they have helped those companies scale and grow.

In addition, ask for references from their other customers to ensure that those firms have been happy with their HR outsourcing services.

Make Sure They Have Room to Grow with You

No company wants to stay the same size forever — they all want to grow eventually. So ensure that the outsourcing firm you’re considering can grow with you. Perhaps you only need 10 hours of their time per week at the moment, but if you scale as you hope to do, you might require double that by the end of the year. The HR outsourcing services should have the ability to expand at your pace whenever you need it.

Ensure That Their Services Are Diverse

Although some HR outsourcing service offer one or two segments of the HR realm, you want a partner that can handle everything, from labor law compliance to on boarding to employee handbooks and beyond. The company should also have the ability to work within the benefits and payroll fields as well so you can find a one-stop shop for your business’ needs.

Therefore, you should ask the HR outsourcing services exactly which aspects of the HR life cycle they can handle so you won’t have to hire a second company to manage the other aspects of your HR needs.

Payroll outsourcing companies permit business people to save the time and money that they would invest resources into an in-house payroll program, and redirect that to the tasks required to scale. They can regularly still access their payroll records day in and day out by means of a cloud or shared drive, yet the reports are secure and private while additionally being openly accessible.

Confirm Access to Your Data

Even if an outsourced HR firm is managing your company’s human resources function, you should still have access to everything in your files at all times. If an employee has a question about payroll on a Friday afternoon, for instance, you shouldn’t have to wait until the HR outsourcing firm opens on Monday morning before you get an answer. Instead, you should have access to your HR data 24/7, and ideally you’ll be able to contact your representative at the HR firm whenever you need them.

About the Author

Escalon is a one stop shop for essential business services such as accounting, taxes, insurance, benefits, HR & payroll. Back office services that are optimized, well-coordinated and under one roof.

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Author: Sudhir Singh

Sudhir Singh

Member since: Jun 09, 2020
Published articles: 18

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