Independent staffing professionals outsource their back office payroll services because of the cost, time, resources and liability associated with running employer of record services. They realize that their time is better spent focusing on revenue generating activities such as sales and sourcing while a reputable back office partner handles all the funding, insurance and admin of contract staffing. Unfortunately, too many independent staffing professionals do not realize the vast differences between back office providers.
The right payroll partner can be the difference between success and failure. Asking the below three questions will help you choose the right back office payroll partner to ensure the success of your staffing business.
1. Do they guarantee the best profit per hour rate in the industry?
You’ve worked hard selling your staffing services to companies and just as hard sourcing the right candidates for the positions. So why would you settle for less profit per hour when given a choice between reputable back office partners? Most reputable payroll providers who have been in business for 15 plus years are more than equipped to handle your back office functions so why would you opt to earn less per hour with nothing in return? Let’s face it, in this new economy, you must make every dollar count, therefore demand your back office provider guarantee the highest profit rate for every hour on every temp you run and get it in writing.
Also, make sure that your provider is able to customize a contract staffing package. It should be flexible enough to keep pace as your business grows. Most payroll providers only offer a one-size-fits-all package that is likely to cost you more money in the long run.
2. Do they offer a FREE suite of professional recruiting tools, training & services?
Most established back office services offer the standard services so not much sets them a part. Wrong! Gone are the days of offering just payroll services. A cutting-edge back office provider will deliver a complimentary suite of feature-rich tools, services and training designed to propel your bottom line. If you’re not getting complimentary value added services, then you need to continue your search for the right provider.
The right back office partner will go beyond traditional back office services by delivering additional front and back office services you will need as your business grows. Strategic branding, marketing literature, search tools, ongoing training, national conferences, discounts on top name services and job placement are just some of the extras that a full-service back office partner can offer.
3. Are they exclusive to independent staffing professionals?
As an independent staffing professional, it is critical that you work with a payroll provider who caters exclusively to the staffing industry and your confidential client needs. Why? Only a payroll partner exclusive to the staffing industry will be strategically designed to implement all the unique aspects of a staffing business. Wouldn’t you prefer a partner who can accommodate your unique professional needs and operate in synchronicity with your business? Working with a general payroll partner who will work with anyone including your clients would be agreeing to the idea that one size fits all.
Another important consideration that business owners tend to overlook is conflict of interest. Larger payroll providers work directly with clients, which means that they are also in competition with you.
Contract payroll service is a growing industry that offers many options for staffing businesses. Due to the competitive nature of this developing field, you are likely to find some significant differences in the types of services and pricing currently available.
By understanding your own payroll service requirements as a staffing business owner and thoroughly investigating what several providers offer, you save yourself time, money and disappointment in the future. Opt for a payroll partner that delivers the highest profit per hour. Choose a partner who offers additional tools, services and training at no cost. Insist on a partner who has designed their back office services exclusively around your staffing business.