International companies wanting to expand in other countries, such as the UK, must contend with the long and complex process of establishing a branch or subsidiary. With all the forms they need to fill up, the fees they must pay, and the paperwork, it might take several months before they can set up a local office. They also have to hire local staff to help with business operations. With the time it takes to set up an office, the international company may lose the opportunities they are after that necessitates the business expansion.
Get the right kind of help
You can avoid a worst-case scenario if you know where to get the help you need to set up your business in the UK quickly. For example, a UK PEO can provide you with solutions to streamline your employee hiring in the country. A PEO or professional employer organisation, which is usually associated with Employer on Record, can take care of hiring and onboarding new employees for your business. The provider ensures that you fully meet compliance regulations regarding employment and tax laws in the UK. With a co-employer setup, you can reduce the cost of hiring employees in the UK, expand your business faster, and have more time to focus on growing your business.
Opting to use a PEO for business expansion in the UK
A company offering PEO services can help you expand your business in the UK cost-effectively and hassle-free. The UK may be the perfect market for your global expansion, but you need the proper support to reduce the risks, time, and costs involved in establishing your company.
The PEO will act as your co-employer so you can avoid setting up a local legal entity. Therefore, you can start your business operations in a matter of days. The PEO service provider can provide expert knowledge of British business regulations, labour laws, and payroll. Furthermore, the provider can hire new international talents for your company, using its network to find the right talents that meet your requirements. The UK agencies of the PEO service provider will hire the employees on your behalf. Likewise, it can take care of several responsibilities, such as:
- Registration with the British tax office
- Registration with the social security organisations
- Creation of employment contracts
- Calculation of monthly salary and payslips
- Submission of wage tax returns and national insurance forms
- Preparation of administration, year-end statements, and annual accounts
- Creation of a payment schedule for a wage tax, net wages, and national insurance
- Preparation of personal income tax returns
When you hire a PEO in the UK, you will sign a contract with the provider as your co-employer. It will sign the employment contracts for the staff who will work in-country. In effect, the government recognises the PEO as your employees’ legal employer while the staff works for your business. The new staff will be under your control while the PEO handles all work-related registration formalities and performs various HR services according to your requirements.
Ensure that you do your research to find the right PEO services provider. With the help of a PEO, you can establish an international presence in the UK market without dealing with the risks, hassle, and costs of setting up a subsidiary.