With the challenges faced today in small businesses to survive amongst the fittest, there is no surprise that many entrepreneurs fail within their first year of business. This can be the result of many factors, but one common thread is poor operations. One can argue that the term “Operations” is very vague and can encompass a variety of components, but likely the most difficult piece to manage is the human aspect. As your business grows from a small simple structured organization to multiple employees, the level of detail and time spent on payroll and human resources increases tremendously. PEOs can help mitigate the risk and administration burdens placed on many of these small businesses that have ultimately contributed to their dissolve.
Attached is an interesting article that provides data showing that the employee turnover rate for PEO clients is 10 to 14 percentage points lower per year than that of comparable companies and a business using a PEO are 50% less likely to fail from one year to the next when compared to similar companies. What better reason to talk to us and help you grow your business!
