When you think of the phrase Sales Representative, what comes to mind? Is it a fast talking young man in a suit who smiles too much and has a response for everything? Everyone has had a bad experience with a sales representative, but we’ve also had some great experiences too. Sales professionals are not all slick, but they sure do get portrayed that way in the movies. Ever see Glenngarry Glen Ross? With that in mind, there are some things that any sales representative may not want to share with you about their industry or their company that may dissuade you from the sale. The same goes for a PEO sales representative. What you don’t know could have a negative impact on your PEO experience.
One thing everyone company has is a competitor, even if they do not sell the same product. Even a new, innovative solution has prospective customers that are currently solving a problem with something else. If they didn’t, they’d be inventing a solution to a problem no one has. No one is buying something to fix something that isn’t broken. Just ask all those failed dotcoms from the late 90’s. If you are not working with a PEO right now for your HR needs as a small or medium-sized business owner, there is something you are doing to take care of HR. A PEO sales representative is going to want you to start thinking that what you are doing is broken and a PEO will fix it. Which isn’t a bad thing if it is. Is it?
Whether or not handling your own HR is the best thing for you or your company is really up to you.
Having to pay fines or worker’s compensation claims is usually the last step in realizing you are not doing a very good job of being your own HR department. There are many things that you do well at your job or you wouldn’t be a business owner. Unless HR services is actually what you do, HR is usually left up to the professionals. If you can answer, “Yes,” to any of the above questions, your PEO sales representative is absolutely correct in telling you a PEO is much better, less stressful, and cheaper than DIY HR. Not to mention, they help keep The Law, The IRS and OSHA from breathing down your neck.
PEOs have two primary fee structures they use. Not every PEO will have the same fee structure, but if you only talk to one PEO sales representative you may not know that. Which of the 2 fee structures in the industry is the right one for you is up to you to decide, not the PEO sales representative trying to sell you their company’s plans.
If you found that one PEO’s fee structures wouldn’t fit with your business model or cash cycle, that doesn’t mean a PEO is not for you. It is just that the PEO you spoke to is not for you.
Speaking to more than one PEO will reveal that there is more than one way to pay for your PEO plan. One PEO sales representative is of course going to tell you the other PEOs’ fee structures are not advantageous for you. Why would they tell you that another PEO is a better fit for you? Have you ever gone to a furniture store and heard, “I know you love this couch, but the furniture store down the road has one that is even better and less expensive. You should check it out.” Don’t expect your PEO sales representative to sell you another PEOs services.
A PEO sales representative will try and convince you that not all PEOs are the same and they would be absolutely correct. Some PEOs are a much better fit for very small companies who are growing and others are best used with companies that are larger and operate in more than one state or country. The problem is, unless the PEO sales representative knows for a fact that how your company works will absolutely disqualify you as a company they can work with, you may be talked into working with a PEO that is not really your best option.
You have to ask a lot of questions about how you operate. If they seem ambiguous at all with their answers, you are probably talking to the wrong PEO.
These are all great questions to ask when talking to a PEO sales representative. You may even have thought of a few of your own. Write them down and also write down their answers to reflect on later.
Perhaps now you are even more uncertain of calling up the next PEO to ask about their services. Don’t worry, there’s help with doing business in the PEO industry. A PEO broker like PEO Spectrum cuts through all the sales propaganda to give you the straight up version of the information you need to know in order to make the right decision the first time. You can trust their decades of experience in the PEO industry to steer you in the right direction and avoid talking to slick PEO sales representatives. Best part about working with PEO Spectrum? Their PEO comparison services are free.
If you’d like to find out more about how PEOs can help you provide great benefits and payroll management at less than you are paying now, contact us today for a free consultation.
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