When is the right time for SMEs to outsource HR support?

We get it, your business is your baby. You don’t really want an outsider coming in and telling you what to do. But let’s be realistic, you cannot do it all. 

There comes a time in every business journey, where you need to ask for help, and you will know when the right time is.

From the first moment you hire a team member, you’re legally required to handle tasks such as payroll, compliance, contracts and workplace policies, but if you're employing more and more employees (which is a good thing!) and these sorts of tasks are taking you away from the business's core operations, then it’s time to call in some HR consultancy services (like us!).

What HR tasks can be outsourced?

Tasks such as:

• Writing contracts

• Writing handbooks

• Ensuring compliance with employment laws

• Recruiting 

• Onboarding new staff

• Managing leave and absence policies

• Supporting employee relations.

Signs its time to outsource

You could outsource from the get go - as soon as you have that first employee, you can employ HR services for SMES, or you can wait until you start noticing these sorts of signs and milestones in your business:

• Hiring your first employee - as we mentioned above, you’ll need to handle tasks such as contracts and workplace policies from the off

• More time spent on HR tasks than more important ones - running a business is hard work and if you find you are spreading yourself too thin and HR tasks are taking up too much of your time, then you should outsource

• You don’t have the knowledge of employment law - it can be confusing for a business owner when it comes to rules around holiday pay, sick leave and employee rights, so outsourcing to the experts can help you reduce the risk of costly mistakes

• Recruitment is overwhelming - it takes so much time to find the right people and get them onboarded, and a HR company can help you with these processes

• You can’t justify a full-time HR team - you probably don’t need a dedicated HR manager or department, so outsourcing means you can ask for help as and when needed.

What are the benefits of outsourcing HR?

• Avoid mistakes - mistakes on the HR side of business can end up being costly

• Save time and stress - let the experts handle it, while you get on with other important tasks

• Money saving - you don’t need to pay a full salary for a HR Manager, instead you pay for the support you need

• Scalable - you can grow your HR support as your business grows

• Happier employees - employees will feel reassured and supported in their positions.

We personally believe it’s a no-brainer to outsource your HR support as a small business. The reality is that most SME owners don’t actually want to spend their days dealing with contracts and policies and disciplinary procedures, they’d much rather spend their time growing their business and serving their customers.

Outsourcing doesn’t mean giving up control of your business easier, think of it as gaining access to expert knowledge on topics you probably aren’t familiar with yourself. By putting the right foundations in place for your HR needs, you’ll be better equipped to deal with any challenges and support your employees in the right way.

Luckily for you, we offer HR advice for small businesses, so please get in touch if you need any support or guidance.