Expansion is a goal that every business seeks to fulfill as part of their growth. However, an important factor that needs to be considered by business owners is how they can hire talent on a global scale while staying compliant with local regulations.
In order to hire such global talents, many business owners are turning to Employer of Record (EOR) services.
In this article, we’ve rounded up the best EOR services to meet your business needs. But first, let us learn more about EOR services and what they can do for your business.
What is an EOR?
An Employer On Record (EOR) is a third-party company that manages all of the legal employment tasks in behalf of another business/company. Among these tasks are talent acquisition, onboarding, and compensation/payroll management. As to be expected based on this service’s name, a business will not see these talents listed in any of their legal documents. Instead, these talents are named as employees under the EOR.
EOR companies enable your business to hire from a global pool of talent and, at the same time, remain compliant with local laws since the EOR has their own legal teams to deal with any legal requirements. Best of all, even if these talents are under the employ of the EOR, you will still be able to assign tasks to them.
How is an EOR different from a PEO?
Business owners are often confused between EORs and PEOs (Professional Employer Organization), with some mistaking both entities to be the same. However, there are some notable differences between these two entities.
In terms of structure, the PEO services as your co-employer, so that your business shares in all risks and liabilities with them. In contrast, the EOR functions as the full legal employer so that they are fully responsible for their talents and, thus, take responsibility over all risks and liabilities. EOR services are ideal for companies seeking business growth, but prefer to maintain a small, but permanent workforce. On the other hand, PEO services are best obtained if the company is looking toward long-term growth.
In terms of flexibility, EORs handle fewer, but more complex HR responsibilities than PEOs. As an example, most PEOs don’t accept microbusinesses as clients, but EORs show more flexibility by working with these much smaller companies. In terms of cost, both EORs have PEOs have similar cost structures in that they command upfront fees payable as per employee per month or as a percentage of the payroll per pay period. However, the long-term costs are lesser with EORs compared with PEOs.
Now that we’ve discussed the differences between EORs and PEOs, let’s take a look at the best EOR services to consider for your business.
Deel
Deel is noted for their comprehensive digital platform that allows for employee onboarding, management, and payroll. As an EOR, you can hire talent from 150+ countries, form teams, and automate your payroll. They also update you when it comes to changes in labor laws so that you can avoid legal problems in the future. One thing that makes Deel appealing is that it is capable of handling a variety of payment models, including cryptocurrency.
Key Benefits
- Less manual work with 15+ integrations with accounting and HR workflows
- More coverage with better pricing
- More control and payment flexibility
- Faster, more reliable 24/7 support
Customers
- Deel counts tech companies such as Shopify, Coinbase, Zapier, Dropbox and Notion.
Pricing
- Basic plans starts at $49 per month; Separate plans available for employees and contractors. Check updated pricing here.
Oyster HR
Deel’s closest competitor, Oyster HR also boasts of a global HR SaaS platform that enables businesses to hire contractors and permanent employees. With a talent pool from 180+ countries, the platform also accommodates talent recruitment, onboarding, and payroll management. Other conveniences include a hiring calculator and multi-currency payment options.
Pricing: Basic plan is free that is good for a full year. Premium plans start at $399 per month.
Skuad
Skuad allows you to build winning remote teams with a global talent pool without the hassle and expense of establishing a subsidiary. It offers more convenient onboarding, compliant payroll management, and statutory benefits. It also boasts of more than 100+ currencies and multiple payment methods, such as cryptocurrency, with payment at a single click.
Pricing: Plans start at $199 per month
Remote.com
Remote.com is our top pick for the Best EOR Service, boasting of versatility in its range of functions, thanks to its team of top-notch HR and legal experts who will assist you in your business’ daily HR activities. Other vital services include Visa permit requirements and compliance. Coming soon to Remote.com is a new platform that will offer expedited talent hiring and payment and synced workflow between you and your contractor.
Pricing: Starts at $349 per month for EOR services; Comes with free trial to check out their platform.
Papaya Global
Papaya Global is being touted as the best EOR service for large-scale businesses. Its dashboard allows for organization of personal employee data, global payroll management, and smooth employee onboarding. It also boasts of an employee portal, allowing them to connect with administration.
Pricing: EOR plans start at $650 per month
Multiplier
If you are looking to hire more employees to your business, then Multiplier is the best EOR company for you. It offers smooth and convenient recruitment tools as well as a variety of payroll management methods for both temporary and permanent employees. It is also easier to onboard employees, keep track of their working hours and leaves, and pay them in 120+ currencies.
Pricing: Monthly plans range between $40 and $300
Globalization Partners
Globalization Partners’ self-serving platform simplifies global requirement and onboarding. It also allows for convenient generation of compliant employee agreements. Payroll management features includes being able to pay your employees, both contractor and permanent employees, in 180+ currencies. One benefit to signing up with Globalization Partners is that it offers convenient country guides which allow you to become familiar with the culture of your employees.
Pricing: Request for a proposal in order to know the plans available and their respective prices
Pilot
Like Multiplier, Pilot is noted as a talent acquisition platform, but it also offers EOR and HR services, including onboarding and payroll management. Pilot’s legal team ensures that contracts are in accordance with local regulation for faster and more convenient recruitment. Capable of handling both local and global payrolls, Pilot has the added feature of incorporating domestic bank accounts in over 70 countries.
Pricing: Basic plan starts at $29 per month.
Velocity Global
Velocity Global offers an extensive suite of HR management services, including recruitment and payroll management. Its team of legal experts help you to come up with contracts that meet local regulations as well as assist in recruitment and immigration procedures. It also comes with a contractor classification and management system so that you are able to separate temporary contractors from permanent employees for correct payment disbursements.
Pricing: Inquire with their sales representatives for their plans and pricing
Remofirst
Similar to Multiplier and Pilot, Remofirst is noted for its convenient global recruitment and payroll management solutions. The platform is especially of great use for small businesses on a budget because they provide accurate information on how much you need to invest in talent acquisition. Aside from being able to recruit talents from 150+ countries, you can also generate contracts that are in accordance with local laws. Their team of HR and legal experts ensure that you are always updated on local regulations and that your documentation meets compliance standards.
Pricing: EOR plan starts at $199 per month. Contractor product is free.
Conclusion
Why let your ignorance of diverse domestic regulations prohibit you from hiring global talent? If you want to continue your business’ growth, consider hiring the services of an EOR. These companies take the hassle out of recruitment, onboarding, payroll management and more.
