5 Best HR Outsourcing Options for Small Businesses


     Nunzio Presta
     Senior Sales and Marketing Executive


HR outsourcing is a great way for small business owners to lighten their workload by handing off administrative and HR-related tasks to HR professionals. Hiring a professional HR firm to handle all HR tasks such as employee training, payroll, and benefits can help business owners focus on the bigger picture of their business instead of getting bogged down by many administrative tasks. If you want to know what options HR resource options are available to you as a small business owner, read on.

Hire an HR Consultant

If you are interested in hiring someone to handle HR-related matters but are not ready to hire a full-time HR officer for your business, then hiring an HR consultant may be the right choice for you. Hiring an HR consultant is beneficial for business owners interested in having someone work side-by-side with you to handle HR matters. An HR consultant can be hired as part-time or full-time help for your business, and their workload can grow as you grow your business. HR consultants’ pricing will vary depending on the tasks you have asked them to accomplish for your business. They provide a range of services, from writing job descriptions to recruiting and onboarding employees.

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Hire an HR Consulting Firm

It’s best to outsource to a professional HR consulting firm when you need individual HR-related projects completed. These specialized projects include setting up a benefits program for your employees, conducting HR training such as sexual assault training, or offering their expertise on the best workplace organization and communication tips. HR consulting firms usually provide you with tools and software to help you access HR services to fulfill your business needs. An HR consulting firm’s pricing will vary; some HR consulting firms offer fixed package rates while others charge by the hour.

Use an Online HR Platform

If you don’t mind being your business’s own HR professional, then you can use an online HR platform to handle your HR tasks. This is the lowest cost solution for small businesses because you do not need to pay anyone for labor. However, you will need to pay for the HR software. HR software can help business owners manage employee data, benefits, and payroll all in one place.

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Use an HR Service Provider

An HR service provider is a step up from HR software. Hiring an HR service provider will provide your company with benefits similar to using an HR software, with the added bonus of having an HR expert at your disposal. The pricing structure for HR service providers is a bit higher than HR software because you are receiving direct one-on-one expertise.

Professional Employer Organization (PEO)

A PEO is a company that is dedicated to managing your employees and HR matters. Small businesses that would like to fully outsource all HR-related projects and tasks, including hiring your employees. A PEO is unique because they are a co-employer, so they hire your employees and lease them back to you for a fee. This means that they will handle payroll, taxes, benefits, any documents, and more. As a business owner, you can focus solely on the work your employees are doing for your business without worrying about any HR matters.


There are many options for small business owners when it comes to outsourcing for HR matters. If you aren’t sure which option is best for you, contact HR Options to learn more about all the options available.

For over 35 years, HR Options® has provided highly personalized solutions aimed at identifying and filling supplemental human resource needs for clients throughout the U.S. and Canada. Whether augmenting your HR department or serving as a complete outsourced solution, our suite of services and experienced professionals will help you navigate through complex and ever-evolving employment regulations in the US and Canada.

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