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4 Reasons to Partner with a PEO Right Now


HR administration has grown far more complex and time-consuming for employers of all sizes, however smaller companies are feeling the impact the most.

One of the fastest-growing solutions for small and medium-sized businesses is to partner with a professional employer organization (PEO). The cost saving speaks for itself: studies have shown employers who use PEOs achieve 27% ROI based on cost savings.   

Besides cost-savings, why should you work with a PEO?


Gain back valuable time once spent on HR administration. Instead of worrying about HR responsibilities, shift your focus to enacting your business mission and achieving maximum growth. A PEO handles most HR administration tasks, thus saving hours and hours of work – which adds up quickly. Services from most PEO companies generally include:

Given how valuable this time-saving can be, it’s no surprise that, according to the National Association of Professional Employer Organizations (NAPEO), businesses who utilize the services of PEO companies grow 7% to 9% faster on average.


HR compliance is a major challenge and can have serious consequences for businesses of all sizes ­– but can be devastating for small and medium sized businesses. Employment laws are constantly evolving with various state, local, and federal regulation all part of the mix. Department of Labor language is deliberately vague and the penalties for non-compliance can be severe.

In 2019 alone, sweeping legal changes at federal, state, and local levels impacted employers and employees alike, including high-stakes changes to:

Partnering with a PEO helps reduce your employment risks and maintain HR compliance. Your PEO partner will provide real-time insight and expertise to help you meet evolving compliance standards as they happen. Their attention will make sure you are never forced to play catch-up, which drains even more time and distracts from your business strategy.

Sleep better at night knowing experienced HR and legal professionals are proactively looking out for you and help you navigate the process smoothly in case of an audit.


Owning a small or medium-sized business can be extremely stressful. The number of tasks and responsibilities you must manage on a daily basis can quickly become overwhelming.

However, working with a PEO streamlines and simplifies the process. Through this partnership, you speak to a single point of contact for all things HR-related and a dedicated contact for payroll. You’ll also have access to a variety experts working in-house at your PEO. You’ll receive guidance and administration for things like:

  • Employee benefits
  • HR management
  • Taxes
  • Labor and employment law
  • Workers’ compensation
  • HRIS

The staff at PEO companies are valuable resources, particularly for small and medium-sized employers who lack the resources to maintain a full-time HR staff. Outsourcing to experts who do this every day helps you overcome the challenges facing the HR-side of your business, which in turn can lead to success in other areas of your business.

A NAPEO study showed PEO clients are 50% less likely to go out of business. PEOs help make this outcome possible.


One of the main advantages to working with a PEO is being able to offer current employees and job seekers in-demand benefits and perks.

Through a PEO, you gain access to Fortune-500 quality benefits that can otherwise be difficult and costly to offer on your own. By providing modern, personalized employee benefits, you are in a better position to recruit and retain talent in today’s extremely competitive job market. NAPEO studies have shown PEO clients on average see 10% to 14% lower employee turnover. Additionally, partnering with a PEO eliminates the challenges and costs associated with managing multiple vendor relationships to administer HR and benefits.

HR management is a time-consuming but unavoidable part of any business. Small to medium-sized businesses are even more dependent on quality hires and maintaining a happy staff, as every employee plays a key role in advancing the organization to the next level. Working with a professional employer organization enables you to offload non-revenue generating tasks, improve employee benefits, ensure HR compliance, and ultimately grow your business.

Is your in-house HR staff overwhelmed? Let’s talk about how our expert HR managers can help lighten your load.

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