Goodbye PEO, Now What?
There’s a narrow window when using a Professional Employer Organization (PEO) makes good business sense. They’re especially suited for small companies that are just getting off the ground because the co-employment relationship means they take on the employer responsibilities so you can focus on your core business in your early startup days.
But this convenience comes at a price. Once you've grown to 80 employees, and certainly by the time you hit 100 employees, the cost/convenience model of a PEO breaks down.
If you’re reading this, you’ve likely hit the threshold. And, as you take the rein on responsibilities previously handled by the PEO, I encourage you to put a cost-effective solution in place that will:
- Ensure nothing falls through the cracks, and
- Supports your people and growth strategy.
To help develop your PEO exit and understand your options, I’ve outlined the things you should be looking for and the steps you should be taking.
5 Key Questions
As you plan your move, you’ll need to consider the following:
- When’s the best time to make the transition?
- Who’s going to process payroll?
- Where to get your workers comp insurance?
- How to track employee information?
- How are benefits going to work?
8-Week PEO Migration Plan
To guide you through the entire process, my team and I have developed this 8-Week Migration Plan. While coming off a PEO may initially seem daunting, it can actually be fairly seamless when you work with someone with loads of experience bringing companies off of PEOs.
We’re Here to Help
If you'd like to learn more about how to come off of a PEO, let’s talk. We have experience moving employers off all the major PEOs. We have insights into the gotchas and can share the experiences other employers have had when making a transition. For example, take a look at the Greenhouse Software video testimonial.