Storage Business Owners Alliance
30665 Northwestern Highway  Suite 100
Farmington Hills, MI 48334 USA
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(248) 254-9000
Phone: (248) 254-9000
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Four Important Benefits of Hiring a PEO

Date: 11/20/2019

Do you run a self storage business? If so, you probably have to perform many tasks that keep you from focusing on the most important aspects of your business. When you have to consistently multi-task, your business can become counterproductive, draining you of energy and resources and robbing you of the time required for operating your business. Many business owners are discovering how hiring a PEO has given them more hours in a day and freedom for their running their companies.  The following are four important benefits of using a PEO and a few considerations and warnings.

What Is a PEO?

Perhaps you are not sure what is meant by a PEO. A PEO (Professional Employer Organization) acts as a third-party provider It is a company that partners with a business for providing HR services. In other words, employers using PEOs can outsource management tasks enabling them to concentrate on their core business responsibilities.

HR Management

Instead of having to manage HR (human resources), you can give this job to a PEO that assumes the role of a human resources department. Their services include managing payroll, administering benefits, workers’ compensation and other tasks. Additionally, PEOs keep track of employee time off and quarterly tax filings.

They also recruit, hire and train employees, in addition to conducting routine drug tests. PEOs stay current in work policies so that a business stays compliant with changing regulations and laws.

Reduced Business Costs and Increased Profits

Reduced business costs and increased profits are two of the main perks of hiring a PEO. Your business expenses can be lower, while your profits can increase. When you outsource your administrative jobs to a PEO, your company can save money because of economies of scale.

Productivity can improve and lead to increased profits. Furthermore, your employees will be more satisfied due to increased wages and they will receive more attention and support from management.

Reduced Risks

By partnering with a PEO, you can share the responsibility involved in various types of threats to your business. Using a PEO does not mean you will not have any risks at all but it does mean you will have fewer risks. PEOs are highly training in handling delicate matters that can occur in a workplace.

Being Able to Attract and Keep Valuable Employees

Since a PEO provides the best employee benefits problems, you will have a better chance of attracting and retaining exceptional employees. Businesses partnering with PEOs can offer their employees access to a wider range of employee discount programs, such as entertainment and travel. 

Common Misconception

Businesses hesitate to hire a PEO because they think that doing so will cause them to lose control over their company. This is a common misconception. You still have control over your business. A typical PEO contract states that you and the PEO are co-employees who share responsibilities and liabilities. PEOs do not have any control over the business operations of a client.

Considerations

Another benefit of a PEO is that a workplace can become a safer environment. A PEO can perform a safety assessment of your worksite and devise a safety program and train employees on how to prevent accidents.

Having a PEO can decrease the odds of a company going out of business. Thus, you can have peace of mind knowing your business is secure and thriving. • Just about any industry can benefit from PEO services.

Although the PEO industry is just three decades old it has seen a lot of growth. Today, over 150,000 small businesses partner with PEOs.

You do not have to spend hours drowning in paperwork and other time-consuming HR tasks when you partner with a PEO. When you are free from burdensome responsibilities, you can be more productive and effective in your business.  Learn more.