What’s the next logical step after you’ve built a successful, scalable business with solid margins? Global expansion, of course!
To access overseas talent, uncover greater sales opportunities and continue raking in profits, you need to tap into lucrative new markets and start benefitting from economies of scale.
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But how do you do it?
Like you, we know global employment is not simple. When it comes to expanding globally, you have two options. The first option is the ‘traditional’ method. This involves incorporating a new company in the destination(s) you are looking to expand into, setting up a local bank account, registering the company, appointing a legal or accountancy firm and finally, hiring and employing a team on the ground.
This DIY approach often means substantial costs (lawyers alone can be up to $50,000), a trip to the country you are setting up in, a whole host of statutory filings, more fees and the support of a local employment firm. It typically takes two to three months to get all this in place before you can get your first hire on the ground.
The second — and in our opinion, better — option is to enlist the help of a Global PEO (Professional Employment Organisation) expert. Also known as an EOR (Employer of Record) or GEO (Global Employment Organisation), a PEO allows you to hire local talent quickly without the need for incorporation. In some cases, the turnaround time between an offer and the start date can be as little as 48 hours.
Global PEOs manage hundreds of people across the globe — tackling complicated tasks like global employment and payroll, multi-territory compliance and other HR finance functions. This means you can focus on your core business while they take care of the paperwork.
How do you know you are onto a winner?
A good Global PEO service will allow you to tailor your employment agreements and company benefits packages to meet your business needs.
If this is important to you, which it should be if you want to attract and retain the best talent, make sure you consider these points before appointing your preferred Global PEO provider…
Do their clients stand by them? Be sure to ask for client testimonials, references and other evidence that their service is top level.
Are they transparent? Can you easily find details of the business you are going to have a contract with?
Do they support you directly or through a partner? Most providers will have to use partners in some countries, but it shouldn’t be their preferred approach.
Do they have three or more years of trading history? Tax authorities have very long memories!
Finally, are they knowledgeable about the county they are supporting you in? Do they know that Argentine banks require the original signed wet ink employment contract (delivered in person) before they will pay your employees? Do they know there are four different employment classes in Italy, which give massively differing rights to your employees and have a financial impact on you?
Choosing the right PEO provider will be essential for your global expansion. Get it right, and you will be able to drastically cut costs, reduce employee turnover, grow your business quickly and, most importantly, STAY in business.
Why choose TopSource Worldwide?
We work with some of the best lawyers, accountants, payrollers and finance providers in the world. We have tried and tested our select few partners time and time again — and we are confident they will always deliver.
We also have all the expertise and inside local knowledge required because it is our business to know all there is to know about global employment.
Our premium PEO Solution typically offers the following:
- Accountability — we predominantly use our own infrastructure and deliver our own service
- Supply-chain transparency with reporting and evidence of taxes paid
- Single consolidated monthly invoicing
- In-territory expert payroll processing
- Specialist legal and HR advice
- Dual language employment contracts
- Full legal compliance
- Reduced risk — all wage taxes are remitted in full to the competent authorities by professionals to ensure liabilities are met
- Fixed-cost pricing — we’ll agree all costs with you upfront before going ahead
If you are looking to expand internationally but not sure which route is best for your global hiring needs, we would be happy to point you in the right direction.
Get in contact today and let us take away the hassle, reduce your costs and save you time through our premium PEO service.
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