The numbers are streaming in from dozens of coworking environments, incubators and other small business support networks; startups and small businesses are one the rise, and there is no sign of stopping. It is an exciting time to be working on your own venture. Many are in search of the promise of more control over one’s career and destiny. We’re sure you’ve thought of everything when it comes to your employees, but what are the things a PEO can offer your employees that you can’t?
As a startup grows, employees come aboard, sold on the vision for the bright future that their employer has in store for them. Everyone wants to get in on the ground floor of something that takes off like a rocket.
Still, with time the excitement settles, often leaving employees at startups to start pondering what they have given up in favor of what has been promised and has yet to materialize. There are some chief complaints that employees of small businesses have voiced and we want to point to an overwhelmingly good solution.
There are 3 things a PEO can offer your employees that you are very likely not able to offer them, purely based on the expenses incurred that a small business can’t afford. When a company is in growth mode, these 3 things are left behind to drive the business forward.
3 Things A PEO Can Offer Your Employees Upon Signing
Great Health Benefits – Small businesses really struggle in this area. Mostly the reason that startups are not able to offer the kinds of benefits their employees want is because the cost is so significant. Benefits programs that cater to small businesses are anemic in benefits offerings.
There is no need to let your employees suffer with lackluster benefits. A PEO can easily provide a much better benefits plan than you can offer right now. Compounded by saving budget to feed the growth of the company is the rising cost of healthcare and employee benefits. Even if there is more budget to spend on benefits, it is getting quickly chewed up by an increase in coverage rates.
Retirement Plans – It is very difficult for a small business to be able to offer a retirement plan with merit. It’s no wonder that many are frustrated when it comes to benefits coverage, so few employers with 50 employees or less can possibly offering anything in the way of a retirement plan, nevermind a 401K. A PEO is a large employer so they can provide the kinds of plans for saving for retirement that a small business just can’t touch.
Workers Compensation Benefits – To be clear, all businesses need to carry workers compensation coverage but like every other expense, many businesses are carrying the minimum coverage needed because benefits like these can be very expensive, especially if your business involves doing work that will increase the likelihood of injury, such as construction.
Sadly, many small businesses are taking risks in not having coverage at all, putting their very livelihoods and employees in jeopardy. Is that really worth it? PEOs offer all the coverage and legal burden a small business would need to operate, without having to lose control of their daily company functioning.
Why not let a PEO assume the burden of benefits and legal representation when it comes to workers compensation claims. If there is one benefits worth having with a PEO, it has to be this.
Another Bonus To PEO Coverage Is EPLI Insurance
If you are a small business owner who is sitting there reading this and asking yourself, “What is EPLI insurance?,” then you don’t have it. Worse than that, if someone sues you for things like discrimination or workplace harassment, you are missing the very thing that could save your business.
No one ever plans on facing a lawsuit that has the potential to smear your company’s good name and or even result in you having to close your doors but it happens to small business owners every day. Don’t take a chance. Even if you don’t consider a PEO, get the coverage you need to protect yourself and your business.
There are many reasons that a small business should consider a PEO. Maybe you have a question about what else a PEO can do to help you, the small business owner. A PEO means better peace of mind. Who wouldn’t want that? The things a PEO can offer your employees and more are thousands less than you could provide all this coverage yourself.