Beyond Borders: Build Your International Team

Beyond Borders: Build Your International Team 

For companies that have experience growth in its home base and are looking to expand, venturing overseas could be a make or break factor. For starters, global or even, regional expansion means new markets with potential for growth. Depending on the country, labour and material costs can be significantly reduced. Companies can tap into international talents and even utilise tax benefits and grants. In fact, overseas markets could hold a demand so strong, the success beyond borders could exceed the success at home.

On the other hand, entering a new and foreign market requires a lot of time and effort. Firstly, finding the right market is crucial. Is there a demand for what you are offering in this new country? What are your competitors like? Thereafter, companies must study and understand the new consumer segments. Localisation needs to be taken into consideration, to get consumers buy into your brand. Operations concerns come soon after, how will the company run with a new team in a new overseas market? How will the new team be trained? Multiply this by tens and you get an idea of how a global expansion plays out.

Minimise risks by partnering with a PEO/EOR

With the many risks and areas of consideration to watch out for, companies can greatly simplify expansion efforts by partnering with Professional Employer Organisations (PEOs) / Employer of Record (EOR). According to the National Association of Professional Employer Organizations, there are about 173,000 small and mid-sized businesses currently partnering with PEOs in the United States. That converts to 15.3 percent of small and mid-sized American businesses. Evidently, engaging a PEO is not an uncommon business move. These organisations cover a range of professional HR services, allowing companies to accelerate entry into new markets, ensure compliance with local labour regulations, minimise initial and ongoing cost outlay as well as maximise work efficiency.

PEOs take on the employer-employee relationship as a co-employer and effectively reduces cost, shortens delay for entry into market & mitigate risks. All of which being especially helpful when taking on the lengthy and expansive process of setting up and foreign entity. Therefore, the PEO becomes the Employer of Record and the employees go onto the PEO’s payroll.

The services a PEO provides does not stop there. International PEOs offer local expertise; they are constantly up-to-date with the local labour market insights, trends and changes. They are also skilled in administrative capabilities including visa applications, employment contracts, benefits management, recruitment, retention and payroll. Outsourcing these administrative job scopes would save a lot of time and manpower.

Additionally, the current pandemic situation has caused a shift in hiring trends: remote work is increasing in popularity. The Ministry of Manpower reports that 35 percent of job vacancies in 2020 involved work that could be done remotely and almost half of these jobs were newly created as a result of business expansion opportunities, job redesign efforts and government initiatives. PEOs’ competency in managing remote employment have become increasingly invaluable. They are a robust yet cost-efficient go-to-market strategy that lift a huge load off companies’ shoulders, allowing laser-focus on building market presence and growth.

Common misconceptions of PEOs and co-employment

It is normal for companies that are unfamiliar with this working strategy to have misunderstandings and doubts about its functionality. Let us visit and rectify the following misconceptions that people often fall into.

1.      “I will lose control over my staff”

The fact is, PEOs are just the Employer of Record for tax and administrative purposes. They manage all aspects of recruitment, contract administration, payroll processing, benefits management and retention in consultation with their clients but ultimately, business owners and their management team retain full control of the workforce, work culture, task and job scopes. PEOs simply come along side companies to offer support in the more mundane tasks, saving companies on cost and time.

2. “I do not need a PEO if I have HR staff”

Having an in-house HR team is great but that does not mean that their capabilities cannot be further enhanced. PEOs work closely with companies’ HR team to tackle issues related to local labour legislations, freeing up their time to pursue other HR agendas. Furthermore, the team will benefit greatly from the expertise of PEOs. The partnership will become an opportunity for the HR staff to learn and grow to another level.

3. “Start-ups do not require a PEO”

What many companies do not realise is that it does not have to have thousands of employees before hiring professional partners to help accelerate growth and streamline work processes. Many PEOs are dedicated to working with smaller companies. Start-ups are most likely to benefit from what PEOs have to offer. Partnering with an established PEO can help to lay the foundation of a start-up’s HR processes and allow for more room and resources to flourish economically.

In the last year and a half, digital start-ups have experienced a boom in growth as the world turns from traditional methods of work and play to modern methods of work and play in the digital sphere. By partnering with an experienced PEO, BioTech, IT and Tech start-ups can gain a competitive edge in attracting and retaining talent.

Finding the right PEO for your business needs

Companies looking to expand regionally and globally should look to a PEO partner with strong presence and a proven track record in numerous overseas markets. After all, there is a saying that goes: “If you want to go fast, go alone. If you want to go far, go together.”

Headquartered in Singapore — a cosmopolitan city with robust financial hub — TG is a recognised PEO with offices and partners across the globe. With a solid presence across over 50 markets, it boasts of local expertise with global experience.

TG enables companies to access a broader pool of talent without a local entity whilst achieving global compliance. With 3 decades of experience under its belt, TG is the prime partner for swift and cost-effective expansion plans beyond borders.


With so much information, you may be wondering “Where and how should I start?”

Tell us your HR needs and queries in the comments below so we can share our pearls of wisdom — at no cost at all!

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