How External HR Agencies Can Help Small Businesses Grow

If you’re starting out as a small business, you might not have any dedicated human resources staff, let alone a whole department. As a business grows, personnel management starts to take a significant amount of time and investment. Handling payroll and benefits can already be time-consuming, and the process of finding new hires and bringing them into the company and up to speed is truly a nightmare if you’re an entrepreneur trying to take care of everything at once. However, there’s one way to plan for success in HR and make sure it gets done right without it taking up all of your time as the executive: human resources outsourcing.

Hiring Expertise

What are the benefits of outsourcing your company’s HR services? One significant reason is for the effectiveness of hiring. When you hire an external agency to run your talent hiring and onboarding processes, you’re getting HR professionals. Finding the right people for the right jobs is what they do best. Hiring for a small business can take a serious amount of investment just to spread the word on the right platforms and increase your chances of finding a worthwhile candidate. HR agencies have already committed the resources required to put out a much bigger net for finding talent. They may have a pool of talented candidates available already, and they have staff whose entire job is to evaluate potential candidates for positions.


Instead of taking the time to train someone else to take on human resources work full-time or pulling yourself away from the rest of the business to take on the work of hiring yourself, outsourcing your HR lets you back off and focus on your core business while the professionals handle it. Then, once they’ve done all the legwork, you’ll have the final say about any new potential hires they find for you.


Depending on the HR agency, you may also be able to try out temporary hires or other arrangements, so you have a chance to try out new employees before bringing them fully into the company. A new employee in a small business can have a serious impact on the environment and productivity of the people and workspace around them, so it’s important to be sure it’s a good fit before committing.

Cut Costs and Streamline Your Business

Especially for a smaller business, it simply doesn’t make sense to have one or more staff members dedicated entirely to running human resources and personnel management for the rest of your not especially numerous staff. It’s often more cost-effective to use that money you would have spent on that person on hiring an agency outside of your company.


This increases efficiency for your company, and can even increase satisfaction and well-being for the rest of your company. Having a dedicated team working on negotiating and administering benefits and keeping payroll and other paperwork up-to-date is good for everyone. Bring in a professional HR agency to help you expand your staff, and meanwhile, you and the rest of your staff can work on leveraging that expansion for growing your profits and planning for the future.

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