Employer of Record: The dos and don’ts of choosing the best provider for your business

An Employer of Record is a service provider that can be of great help during your international expansion. As a business owner, you may be looking for a third-party that can assist you with each step of entering a new market. However, since there are many options available, you may feel overwhelmed and you may not know which one to choose.

Many businesses tend to compare between employer of record vs peo, but it’s essential to know that these two are different. Therefore, it’s important for you to have a clear understanding of the service provider you need so you can make a great choice.

If you need assistance with your international workforce and international management, then you need to work with an employer of record company.

In this article, you’re going to learn everything you need to know so you can make a wise decision regarding the right EOR for your business. Also, you can gain some understanding about the employer of record responsibilities, so you can know exactly what to expect.

  • Employer of Record: The dos and don’ts of choosing the best provider for your business
  • What do you have to know about the work carried out by the EOR?
  • Learn about the type of service offered by the EOR
  • Don’t choose an EOR without knowing its experience and trajectory
  • Know how to simplify your processes with the EOR
  • Don’t start working with an EOR without reviewing the terms
  • Select an EOR that can provide a customized service
  • Don’t choose an EOR without addressing your particular requirements
  • Look for an EOR that operates in your target country
  • Don’t work with an EOR that doesn’t have experience within your industry
  • Why is Connect Resources your best option for EOR services?

1. Employer of Record: The dos and don’ts of choosing the best provider for your business

When you want to work with an Employer of Record Platform, you need to follow the best recommendations so you can choose wisely. Perhaps you think that selecting a partner it’s not a difficult task, but if you really want to get the most out of your investment, you need to choose the best provider for your business.

Keep in mind that choosing between an employer of record vs. PEO isn’t the same. A PEO is a Professional Employer Organization and it usually offers its services domestically, whereas an EOR carries out the same work but internationally. For this reason, an EOR is also known as an International PEO.

Once that you have clarified this and that you understand that an EOR isn’t the same as a PEO, you can start getting to know more about the former so you can choose your partner.

1.1 When do you need to work with an EOR?

An Employer of Record is a very useful third-party. It can help you in several situations, as the following:

  • Hiring and recruitment of international workers
  • Assistance with visa and work permits (immigration)
  • Ensure compliance with the employment contracts
  • Help you develop workplace policies that adapt to local regulations
  • Administer and manage your international payroll
  • Have employees without the need to open an office or establish an entity
  • Assistance to enter a new market

As you can see, an EOR can be of great help in various scenarios. For this reason, it’s important for you to know your particular needs so you can know in which areas you need assistance.

Learn more about the Visa and Government Services by Connect Resources.

1.2 What are the tasks of an EOR?

An EOR can do several things for your business. Each provider offers several levels of services. However, it’s important for you to know that when you enter into a business relationship with an EOR you’re outsourcing your functions. The EOR becomes the employer of your employees.

But don’t worry about this. You can retain operational control as well as the control of your employees. The difference is that you won’t be liable for anything that happens with your workforce since the provider will handle HR.

So, the EOR tasks are to handle and management everything related with your human resources. You and the provider are the ones that should define the scope of the service.

Learn more about how to choose the best EOR provider and how to compare them.

1.3 Should you partner with an EOR?

Perhaps you’re wondering if you should enter an Employer of record contract. There are several reasons to opt for this kind of business relationship. These are as follows:

  • Use the EOR as part of your strategic functions
  • Improve your administration
  • Boost your human resources
  • Employ staff abroad in several countries to meet your multinational goals
  • Ensure compliance in each market you want to enter

There are many good reasons to work with an EOR if you’re going global. For this reason, you should choose the best one and you should avoid to make mistakes. We have several pieces of advice that will help you have everything clear when you’re considering a service provider.

If you have a list of potential EOR provider, read about the dos and don’ts so you can be sure what steps to follow to evaluate the perfect third-party for your business.

2. What do you have to know about the work carried out by the EOR?

 What do you have to know about the work carried out by the EOR?

Perhaps you’re new regarding the work carried out by an Employer of Record. There are many unknowns that you should clarify before deciding to partner with a service provider. It’s essential to know what an EOR is and how do they carry out their process.

Knowing the step-by-step can make you feel more comfortable when you have to decide how to partner with a service provider. An EOR could be your perfect ally in your international expansion so keep learning how to work with this partner.

Some of the main things you should know of the EOR service are the following:

  • When your partner with an EOR, it becomes the employer of your employees
  • It services may vary and it can range from recruitment to handle all of your HR needs
  • It carries out formal employment tasks
  • You can use its services in the target country and you won’t have to set up an entity
  • It can help you process the immigration paperwork for your workforce
  • Although it controls your HR management, you still have control over your employees regarding operational matters

Keep in mind that knowing the work carried out by an EOR is what is going to help you differentiate between an employer of record vs peo. Here in Connect Resources we can offer you both services, so you can trust in our team of specialists to deliver a customized solution.

Learn more about how to have a solid plan for your manpower

3. Learn about the type of service offered by the EOR

Do: Learn about the services offer by the Employer of Record. The most important is to learn about the service type and options available. When you consider partnering with an EOR, you must have an idea in mind of which kind of service you want.

However, if you don’t know how an EOR operates or its service offer, then you can’t make a good decision. It will be like choosing blindly. For this reason, you should learn about the provider and its services.

3.1 What services do an EOR offer?

If you’re starting to plan your expansion and you don’t know what an Employer of Record Platform can do for your business, you may not get what you expect. An EOR offers the following services for your business:

  • Staff outsourcing
  • Payroll outsourcing
  • HR consultancy and outsourcing
  • Assistance with immigration services
  • Administration and management of your international workforce
  • Advice on how to enter a new market
  • Manpower planning

These are just a few of the most common services offered by an EOR. Depending on your particular requirements you may request something that guarantees you get outstanding results. Here in Connect Resources we can help you achieve your strategic expansion goals.

3.2 Are you going to receive a comprehensive service?

When we talk about a comprehensive service, we refer to solution that has a broad scope. It means that the EOR can handle several areas of your international workforce while you won’t have to worry about anything.

You must choose the perfect service for you that helps you relieve burden. With an EOR you can get a comprehensive service as long as the provider offers it and you request it.

When it comes to employer of record vs. PEO, it’s important to know that both services are almost the same but the difference is the scope. The PEO works domestically while the EOR works internationally.

Learn more about the Emiratisation service offered by Connect Resources.

4. Don’t choose an EOR without knowing its experience and trajectory

Employer of Record

Don’t make the mistake of partnering with an Employer of Record without having considered its experience and trajectory in the field.

Look for an EOR that has been working for a long time. It’s best to stay away from newly formed EORs that don’t know how to assist you to in your international expansion.

4.1 How can you identify an experienced EOR?

To identify an experienced Employer of Record you have to look for the details. It’s not enough to check how many years they have been providing its service but to check the signs that indicate it’s a solid business. Here we have some of them:

  • There’s a streamlined process for each kind of service
  • It has recommendations from other businesses that have worked with it
  • It has a solid employer brand
  • The EOR is duly registered and it has offices in each global market that they’re active in
  • The communication is always clear and there are no hidden costs or terms

By ensuring the EOR is trustworthy, you can enter the Employer of record contract without any worries.

4.2 Why does experience matter when it comes to international expansion?

When it comes to international expansion, it’s necessary to partner with a reliable EOR. An employer of record company that doesn’t have enough experience can cause you to face the following issues:

  • Uncertainty in several areas
  • Bad HR management
  • High turnover rate
  • Risk of non-compliance
  • Not enough resources or specialists available

Here in Connect Resources we can help you differentiate between an employer of record vs peo. We can hire workers for your international workforce as well as for your home country’s office. You can receive our service adapted for multinational businesses.

Learn more about the crucial challenges you may face with your HR management.

5. Know how to simplify your processes with the EOR

Do: Learn how an Employer of Record can help you simplify your processes and relieve the burden of your HR team. If you decide to partner with an EOR but you still want to have total control of your HR, it’s not going to be good for your business.

The point of partnering with an employer of record company is to get assistance with your international expansion, so you can focus on your core business activities. So, the best EOR is the one that offers you a solution that simplifies your current work in terms of your human resources.

5.1 In which areas should the EOR help you simplify your processes?

The employer of record responsibilities can help you relieve a big burden of your HR team. Some of the areas in which you could see a great improvement and simplification are the following:

  • International hiring
  • Compliance with local labor law
  • Handling and processing of paperwork for immigration
  • Save time and costs in several functions
  • Tax filing and reporting
  • Payment calculations and deductions

If the EOR doesn’t offer you a solution that helps you focus on your strategy and growth of your business, then it’s better to look for another service provider. Here in Connect Resources we ensure you can have more time to focus on other activities while we handle everything you need for going global.

Learn more about the Recruitment Agency in Dubai by Connect Resources.

6. Don’t start working with an EOR without reviewing the terms

Employer of Record

Don’t sign a contract with an Employer of Record without having established the scope of service and read the terms.

6.1 Do you need a Service Level Agreement?

With an SLA you can establish the employer of record responsibilities, and this way you ensure you get the service that you expect. An SLA is a document signed by both parties in which each one establishes their responsibilities. Therefore, it could be a great tool for you as a client.

Here in Connect Resources we can help you understand the differences between an employer of record vs. PEO. Whether you need workers for your host country or for your home office, you can contact us to receive a service adapted to your needs.

6.2 Why should you know the terms of the contract?

Even when you have chosen an Employer of Record Platform, you still have to be careful when it comes to signing the contract. It’s important to review the terms first, so there’s no hidden information or anything that can be detrimental for your business.

Some of the reasons why it’s essential to review the contract are the following:

  • Protect your business
  • Ensure there’s no breach of confidentiality
  • Check if there are no hidden costs
  • Ensure the comprehensive service
  • Get rid of the risk of liability
  • Determine the scope, kind and level of service

Learn more about the best features of a trustworthy Employer of Record.

7. Select an EOR that can provide a customized service

Do: Look for an Employer of Record that offers flexibility and adaptability with its service. Many businesses don’t receive an outstanding service because they choose an EOR that provides a standard solution.

As a business that is looking to enter new markets, you have your particular requirements. Therefore, don’t choose an EOR that doesn’t offer a customized service. It doesn’t matter if the provider uses an online platform or if it’s by direct personal contact, the most important is that you receive exactly what you need in terms of management.

7.1 Do you know who you would be dealing with?

Knowing who you would be dealing with is a major feature of a customized service. Before entering an Employer of record contract, you must first know if you’re going t have a dedicated account manager, or the point of contact with the EOR.

It’s essential to ensure great communication because this way you get an optimal deliverance of the service. So, the main aspects you should consider before partnering are the following:

  • The link between your business and the provider
  • The point of contact between your employees and the provider
  • Ask about how you can stay informed regarding the HR management
  • Check if there’s going to be a dedicated person to solve issues

Learn more about the real facts about the staffing industry.

7.2 How to know if the EOR provides a customized service?

There are some aspects that indicate that the EOR offers a personalized approach to your business. It’s important that the provider shows themselves committed to offer you a great solution for your expansion.

Some signs that indicate that the agency offers a customized service are the following:

  • The EOR wants to learn about your business before offering a solution
  • It evaluates your current status to determine your needs and requirements
  • It asks for your particular requirements
  • The specialists are dedicated to help you with any inquiry
  • The communication channels between you and the EOR are easy to use and always available

Here in Connect Resources we can assist you with services offered by employer of record vs peo. Our team of specialists is readily available to help you meet your strategic goals whether domestically or internationally.

8. Don’t choose an EOR without addressing your particular requirements

Don’t choose an EOR without addressing your particular requirements

It’s important for the EOR to offer a customized solution, but, as a business, you must be clear about your needs. Although the Employer of Record may have worked with other business similar to yours, you must know that you have your own requirements.

If you don’t understand what you want, the agency can assist you to define your needs. Don’t partner with an EOR that doesn’t want to help you address your particular requirements. Understanding your needs is part of the employer of record responsibilities.

Learn more about the Staff Outsourcing service offered by Connect Resources.

8.1 How do you know if the EOR can understand your requirements?

It may be difficult to know if the Employer of Record understands your requirements. However, there are some indications that point to the fact that the provider is doing its best to address your needs. Here we have some of the:

  • The EOR’s team explain the agency’s services and structures and how they can adapt to your business
  • Its specialists express your needs and requirements with clarity
  • The SLA is well-written and benefits both parties
  • The solution the EOR offers is aligned to your needs

Connect Resources is one of the top EOR providers of the UAE. Here we can assist you to understand the differences between employer of record vs. PEO. Our experts can understand your needs and offer you a solution based on your requirements.

9. Look for an EOR that operates in your target country

Having an ally in your target country is one of the major reasons for partnering with an Employer of Record. There’s no point in partnering with a service provider that doesn’t have offices in the place where you want to start your operations.

Whether you’re considering assigning an employee to work for you in that country or you’re thinking about opening a branch, the best you can do it’s choosing an EOR that is active in the place you’re considering.

The best part is that it’s easy to check if the EOR covers your target country. It’s one of the main questions you should ask when you’re doing the negotiation. Here in Connect Resources we can help you if you’re considering entering the UAE market. We have offices in this place to ensure your business total compliance.

9.1 Is it necessary to partner with an EOR that has local offices?

If you’re wondering why you have to look for an Employer of Record that is active in your region, we have the following reasons:

  • Have account managers available to solve any issue
  • To have an active entity so you won’t have to set up a company
  • To have sufficient knowledge about the local regulations and be up-to-date with any changes
  • Provide assistance to your employees in any area

9.2 How long has the EOR been working in your target country?

Considering the experience that the Employer of Record Platform has in your target country is also of great importance. In this case, it’s better to partner with a service provider that has been working with other companies in your prospective region.

This is because this way you’ll know that they’re well-prepared to assist your business. When it comes to international expansion you must have everything under control. So, if you choose a global EOR make sure that they have plenty of experience in your target country.

In addition, it’s important to check if the EOR is active in the market, as well as if they have offices and account managers available for you. If they have availability without time-zone differences it can be even better.

Learn more about how the basics about part time work in the UAE.

10. Don’t work with an EOR that doesn’t have experience within your industry

Don’t work with an EOR that doesn’t have experience within your industry

The Employer of Record you choose to work with you should have experience dealing with companies similar to yours. It may seem like a small detail of no significance, but it can actually make a big difference.

If the EOR has worked with other businesses within your industry, it may have a streamlined process. This ensures you get an outstanding service.

10.1 Do you need an EOR that is active in global markets?

If you’re considering going global, you need to count on with an employer of record company that has experience in several countries. Perhaps you’re just trying to enter the UAE market, but if your business continues to grow, it’s best to have an EOR that is active in global markets so you can have more options available whenever you need them.

Here in Connect Resources we offer the employer of record responsibilities and we ensure you receive a high-quality service. We have been providing our EOR solution to several businesses in a variety of industries so we can understand your particular requirements.

Learn more about which steps to follow to expand internationally.

11. Why is Connect Resources your best option for EOR services?

Connect Resources

When you’re trying to find an Employer of Record, you may encounter several options. You can trust in Connect Resources to help you handle your international HR management. We can offer you a comprehensive service adapted to your needs.

Our team of specialists is readily available to help you solve all of your inquiries. Whether you need assistance with your HR-related tasks or you need to hire staff, we are here to help you. We can offer you all the benefits of an Employer of record contract, while you focus on your business core activities.

Here are some of the reasons why you can choose us as your EOR:

  • We have been providing our service for more than two decades
  • Our specialists have a vast range of experience within several industries
  • You’ll have a dedicated account manager that will help you solve all of your issues
  • We offer you a solution adapted to your needs at a competitive cost
  • We ensure total compliance of your business with international laws
  • Our team of experts can assist you with all of your HR tasks

Would you like to contact Connect Resources to help you with the challenges of COVID-19? You can call at +971 433 166 88 or send an email to contact@connectresources.ae, and you’ll talk to one of their representatives that will gladly answer all of your questions

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