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How Global PEOs Can Help Your Company Succeed In Foreign Markets

One of the modern-day businesses’ biggest challenges is sustaining all-embracing procedures surrounding compliance, compensations, benefits, recruitment, and retention.

If, like many companies, your main goal is to embrace a talented workforce, consider employing the services of an International Professional Employer Organization.

Such an organization can be put in place to oversee operations your existing HR team may not be armed to handle.

In this article, we learn more about the ins and outs of a global PEO, outlining its many advantages.

Local Versus Global

Before diving headfirst into employing the services of a PEO, it’s a good idea to assess the differences between a local and International PEO. Factors to consider? Your employee pool and the size of your company:

Employee Pool

Local PEOs, as the name suggests, are based locally. They specialize in local employment taxes and laws. This is opposed to global taxes and regulations. If you wish to recruit employees with specialist skill sets, you will likely need to look further afield. This is when a Global PEO comes into play.


Company Size

A PEO may be unnecessary if you’re a small-scale business, as your in-house HR team can handle employee needs. If you have closer to 20 hires in place, a local PEO will likely be an ideal fit. If a larger business or a business that wishes to grow and expand its employee pool to individuals overseas, this is when a global PEO is required.

The Benefits of PEOs

Both Local and Global PEOs are an asset to businesses. The latter have the skill sets to help you succeed in foreign markets. They are on hand to assist your existing HR department by alleviating burdens that arise when hiring global talent.

Relocating individuals, arranging working visas, and ensuring they apply to the correct tax laws are just a few of the hurdles that may arise.

We have listed further benefits of Global PEOs below:

Access to Overseas Talent:

According to research conducted by Wells Fargo, 87% of United States firms believe they need to expand internationally to grow in the long term. If you need to fill a specific role, finding local talent’s not always possible. With a global PEO, companies can hire skilled individuals worldwide without the need for new entities in new countries.


HR Management Simplified:

If your existing HR team is struggling with complex issues, such as local tax laws, payroll, and benefits for people they have employed from overseas, a global PEO is a must. They have administrative knowledge of the overseas market, leaving your existing team to focus on their in-house duties.


 Recruitment across international borders should respect the applicable national laws, regulations, and employment contracts. This is extremely important when employing individuals from overseas. Global PEOs understand local laws, agreements, and regulations. This means you will be kept up-to-date with the necessary legal requirements.

Risk Management:

Legal and tax risks are privy to those who join your team from another country. Using a global PEO will help you mitigate these risks.

Cost Effective:

Starting and maintaining a legal entity in another location can be costly. A global PEO will navigate you toward the most cost-effective route.



 A global PEO has the skill set to handle Payroll Management, overseeing any complexities that arise when covering international taxation and pay. They will ensure you can pay remote employees in a hassle-free manner. The result? Global operations that are efficient and streamlined.

Local Knowledge:

Every country boasts its own set of regulations, laws, and cultures. A global PEO will provide the support and insight required when employing individuals from overseas.


Depending on your requirements, a global PEO boasts the flexibility to assist you in growing or scaling down your business operations. This is irrespective of the countries you are operating in. Their diverse knowledge allows them to help you bridge cultural gaps between your company and the market.


Speedier Processes:

If you wish to enter new markets promptly, a global PEO has your back. They help you to understand and journey through challenging HR and legal requirements. They can onboard employees within a few days, meaning you can concentrate on expanding your business.

Identifying the Correct Candidates: PEOs are hiring experts, which means they can point you towards the best candidates with the correct skill sets.

The Bottom Line

If you’ve decided it’s time to venture into overseas markets, joining forces with an international professional employer organization is a great tool to employ. They have the skills and knowledge to help you expand your employee pool quickly and easily.

Having them at hand will give you peace of mind when employing global talent, as they will ensure your hiring methods meet international employee compliance regulations. They also have the skills to help you gain access to new talent without the need for hefty employee transfer costs.

Global expansion should be exciting and something you look forward to, not something you avoid or dread. The best part? You won’t have to set up an entity in every country you wish to operate in.