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A PEO Can Give Your Agency the Competitive Edge

A Professional Employer Organization (PEO) is a company that provides comprehensive HR solutions to businesses. Essentially, when a business partners with a PEO, they outsource many of their HR functions to the PEO, allowing them to focus on their core business activities while the PEO manages various HR-related tasks.

By leveraging the expertise and resources of a PEO, you can expand your service offerings beyond traditional benefit and insurance brokerage to include payroll processing, compliance assistance, risk management, and employee benefits administration. This enables you to position your agency as a one-stop shop for all of your clients' HR needs, enhance your value proposition, and differentiate your agency from competitors who may offer only a subset of these services.

The National Association of Professional Employer Organizations (NAPEO) mentioned that organizations can profit by utilizing PEOs in the following ways:

  • Relief from burdensome employee administration

  • A wide scope of employee management solutions through a group of industry experts

  • Improved work practices, regulatory compliance, and risk management solutions, which help decrease liabilities

  • Access to far better employee benefits, enabling customers to attract and retain top talent

  • Improved profitability, cash flow, and operational efficiency. 

A key component of our success as a PEO broker is the strategic relationships we've created with our partners in the industries. We have confidence that the PEO model can be the perfect fit for the right clients, and our partners leverage our expertise and industry oversight to provide the best HR services to their clients. 

Unlike many other PEOs that partner with brokers, we believe it is also important that our brokers remain in consistent contact with their PEO companies.  This approach helps ensure that the program — specifically, the workers' comp, payroll, HR, and benefits solutions — addresses the clients' ongoing and changing needs. Here are ways a PEO gives your agency a competitive edge. 

1. Co-Employment Relationship

The cornerstone of the PEO model is the concept of co-employment. This means that the PEO becomes the employer of record for certain purposes, such as payroll, taxes, and benefits administration, while the client company remains the employer for day-to-day management and supervision of their employees' work.

By establishing a co-employment relationship with a PEO, your agency can offload the administrative burdens associated with payroll, taxes, and benefits administration, allowing you to focus more on serving your clients and growing your business.

2. HR Administration

PEOs handle a wide range of HR tasks on behalf of their client companies, including payroll processing, tax filing, employee benefits administration (such as health insurance, retirement plans, and workers' compensation), compliance with employment laws and regulations, and HR management technology solutions.

Partnering with a PEO streamlines HR processes for your agency, freeing up time and resources that can be redirected towards client acquisition, retention, and core service delivery.

3. Risk Management

PEOs often provide risk management services to help their clients mitigate potential HR-related risks, such as employee disputes, compliance violations, and workplace safety issues. This may include providing guidance on HR policies and procedures, conducting workplace safety training, and offering legal support in employment-related matters.

This allows PEOs to help agencies navigate complex HR-related risks and compliance issues, which can minimize legal liabilities and protect your business’ reputation.

4. Employee Benefits

One of the key benefits of partnering with a PEO is access to a wider range of employee benefits at potentially lower costs. PEOs leverage their collective buying power to negotiate better rates on benefits, such as health insurance, retirement plans, and other ancillary benefits, which they then offer to their client companies and their employees.

Access to a wide range of employee benefits through a PEO allows your agency to offer competitive benefits packages to your employees. This leads to enhanced employee satisfaction, retention, and recruitment efforts.

5. Assistance with Compliance

PEOs stay up-to-date with the ever-changing landscape of employment laws and regulations, ensuring that their clients remain compliant with all relevant requirements. This can be particularly valuable for small and mid-sized businesses that may lack the resources or expertise to navigate complex regulatory issues on their own. This can help agencies reduce or totally avoid the risk of costly fines or penalties.

6. Employee Relations

While the client company retains control over day-to-day employee management and supervision, PEOs provide support and guidance on employee relations matters, such as performance management, disciplinary actions, and employee training and development.

PEOs can help your agency maintain a positive and productive work environment.

7. Scalability and Flexibility

PEO services are often scalable and flexible, allowing client companies to adjust their HR solutions as their business needs evolve. Whether a company is experiencing rapid growth, downsizing, or restructuring, a PEO can adapt its services to accommodate these changes.

Without the need for significant investments in HR infrastructure, companies can focus on what they do best — growing their business and serving their customers. 

For a first-class HR experience that will help you find the best solution for your needs, let's schedule some time to talk today.

About The Mission

The Mission is a leading partner in the PEO, HR, payroll, and benefits outsourcing marketplace.  We provide result-oriented services for small and medium-sized organizations and government contractors, serving as a trusted partner in integrated human resource (HR) compliance, risk management, employee benefits, employment practices liability insurance (EPLI), and payroll processing.


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