Startups are full of promise and excitement. Great ideas can catapult companies to massive success, but unfortunately there are no guarantees. For every success, there are many failures we don’t ever hear about. Research is always trying to pinpoint a common denominator for successes. A study by NAPEO found that professional employer organization clients (PEO clients) have an expected annual median revenue growth that’s 40% greater than comparable non-PEO firms. There’s no magic formula with so many decisions and circumstances unique to each startup, but working with a PEO to handle all HR related functions allows them to focus on their core business.
For over 20 years, MidwestHR has successfully partnered with many startups. Many come to us with only a couple employees and we’ve helped them grow. By properly setting up and managing the HR infrastructure, we support our clients by:
- Taking care of their employees with a comprehensive benefits program that is reflective of the culture they want to create for current and prospective employees
- Saving the leadership team time and mental energy with a dedicated rep ready to answer any HR questions
- Ensuring payroll and tax administration are always on time and compliant
- Looking out for their best interests and protecting them from liabilities that can lead to tax penalties, regulatory fines or even law suits
- Guiding them on best practices for recruiting, onboarding and dismissal
- Developing customized employee handbooks that outline expectations and policies
Startups need resourceful employees who are critical thinkers and take initiative. Founders can work with a PEO to create a customized HR program to recruit and retain the talent needed to support their vision. As HR experts, PEOs stay abreast of workplace trends and can recommend perks, benefits and policies that make employees feel valued and appreciated. For instance, millennials rank 401K plans as a top priority. Knowing employees are being taken care of allows the leadership team to focus on what they do best: grow the company!