Comparing Regional PEO vs. National PEO Service

The back of two employees at a conference table with coffee mugs on the table and title - Comparing Regional PEO vs National PEO Service

At some point, you may come accross the decision to hire a PEO (Professional Employer Organization) for your business. Then, you’ll have to decide whether a regional PEO or national PEO company is best for your needs. We’re going to look at the pros and cons of each so you can make the best decision possible for your business.

Regional PEOs and national PEOs offer similar services but often in different circumstances. The best option for you will depend on your specific needs. Are you looking for quick and simple service? Or maybe more specialized and personal? The choice is up to you. Here are the facts you need to know so you can be happy with the outcome.

Regional PEO Companies

A regional PEO company would most likely reside in the same state, or a neighboring state that most of their clients are located. This makes them easily accessible to you and means they will most likely be very knowledgeable about local laws and regulations.

Generally smaller than national PEOs, these companies are often more accommodating and flexible for their clients. Since your business makes up a bigger portion of their revenue, you can expect excellent customer service. This also provides you access to upper management in the PEO, if you need it.

However, the close proximity might cause a challenge if you have employees in multiple states outside your home base, or if you choose to expand. Regional PEOs often have a limited reach because of licensing issues, work comp policy restrictions, etc.

Since regional PEOs have fewer clients, they also have fewer insurance and benefits offerings, which can make your options more expensive.

National PEO Companies

National PEO companies could be based out of any state, or located in multiple. National PEOs often counter their lack of proximity by placing multiple offices throughout the country. This offers your business the flexibility to expand into multiple states and still not worry about different laws. The national PEO should be up-to-date on all legislation in any state they have clients in.

However, some national PEOs aren’t equipped to handle everyday care on a personal level leading to the use of call centers and outsourced customer service. But this is not always the case.

These companies have access to strong IT systems allowing for better client self-service. And since they have access to better benefits, you can offer attractive options to your employees at an affordable price.

Can’t I Get the Best of Both?

In some cases, yes you can! Some PEO companies, like Employers Resource, can offer your business the best of both worlds. We have the scalability of a national PEO with the personalized service regional PEOs provide. We don’t have call centers, you will be assigned a Client Service Coordinator who is skilled and experienced with your specific needs.

Since we are a large national PEO, we can offer you and your employees the best benefits at affordable prices. We also have branches in multiple cities across the US, so we are easily accessible to you when you need us. Contact us today to learn more about how we would work with your business and receive a free custom quote and consultation.

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