There’s probably nothing worse than going out to eat with someone and not being able to decide what you want to order. Then, once your server comes around to take your order, the person you're with tells you to order first. You’re shocked: you’ve never been hungrier in your life, but you have absolutely no idea what to order. Instead, you, the server, and the person you’re with sit there in awkward silence as you “hmm” and “umm” your way across the menu. And that’s not even including when you decide to ask the server what’s good, and they simply reply, “Everything!” Okay, maybe there are worse things, but this scenario paints a pretty good picture of what it feels like to search for a payroll provider: you know you’re desperately in need of one, and yet, it can seem impossible to know which one to actually go with, especially amid a list of never-ending options and without someone to give you a straight answer to your questions.
At Payday HCM, we’re very familiar with this scenario (the searching for a payroll provider, more so than the going out to eat). We get plenty of questions from prospective clients all the time about what kinds of things they should be looking for in a payroll provider. And, we’ll be honest, on the rare occasion a client decides to part ways with us, we also receive questions from them about what they should be looking for in a provider as well. In either case, we’re happy to provide the answer.
Which is why, in this article, we’ll be going over what large enterprises should be looking for in a payroll provider. To start, we’ll go over some of the reasons why a larger business might be searching for a payroll provider (and perhaps you’ll be able to relate). Then, we’ll get into the specifics of the kinds of things bigger businesses should be looking for in a payroll provider. Finally, we’ll share some tips to help make the provider search a little bit easier.
In this article, you will learn:
- How Do I Know When My Business Needs A Payroll Provider?
- What Large Enterprises Should Look For In A Payroll Provider
- Tips for Navigating the Payroll Provider Search
How Do I Know When My Business Needs A Payroll Provider?
Before we dive into the things larger businesses should be looking for in a payroll provider, we’ll first cover the moment when you realize it’s time to start searching for a payroll provider.
Large Businesses Outsourcing For The First Time
For those businesses that have had phenomenal growth over the past few years or maybe even months, congratulations! Of course, now you may find yourself getting overwhelmed not only with the amount of new business you have, but also with the increased administrative workload that comes with growing your business.
If this sounds familiar to you, it may mean that it’s time to start looking at options for outsourcing your payroll. For others, you may be a long-standing larger enterprise, but the cracks in your current payroll system are starting to show—whether that’s errors occurring more frequently or your current payroll department starting to fall behind with the workload.
Large Businesses Looking To Switch Payroll Providers
While it’s not every business, the more likely scenario for a larger enterprise looking to outsource is that you’re considering moving from one payroll provider to another. In this scenario, several different potential causes could lead you to consider going from one payroll provider to another.
The reasons a larger business might choose to switch providers include:
- Lack of scalability: Your current provider isn’t able to scale its payroll solution or software with your business.
- Increase in cost: While price increases are normal, some providers may bump prices up to a point that is too high for some.
- Lackluster customer service: A big reason many switch providers is the level of service, whether that be a lack of resources or inadequate service.
- Speed of support: Some larger businesses may find themselves waiting too long to receive support, resulting in them switching providers.
Of course, the most likely scenario is that the reason for switching from your current provider to a different one is some combination of the reasons listed above. Either way, one thing is clear: your current payroll provider isn’t working out.
What Large Enterprises Should Look For In A Payroll Provider
Now that we’ve covered why a larger business might be looking for a payroll provider, we’ll dive into what these businesses should look for in their search.
Scalability and Multi-Site Functionality
For large businesses, perhaps the most important feature to look for in a payroll provider is scalability—both in terms of services offered as well as software capabilities. Large enterprises need to know they can continue to grow and that their payroll solution will keep up. This means the ability to handle onboarding at scale as well as multi-site functionality.
Speaking of multi-site functionality, larger businesses will also need to look for providers whose service and software remain consistent between properties. A payroll provider should offer solutions to enterprises that improve communication between locations, ensuring each branch is executing the same processes and improving continuity across different worksites.
Quick and Comprehensive Client Support
A payroll solution’s ability to scale and function across locations often depends on the provider’s ability to deliver fast and friendly client support. For larger businesses, issues may arise at strange hours or between multiple departments. This requires a payroll provider that has a dedicated team of experts on stand-by, ready to deliver support when a business needs it.
In today’s day and age, many businesses rely on answering machines or chatbots not to deliver quick service to those with easy-to-answer questions, but to answer every question across the board. This isn’t going to work for large enterprises. Even with a big business, it’s still crucial that the provider maintain an intimate working relationship with your business, so that if an issue occurs, it can be resolved quickly and efficiently.
Cost-Effective Payroll Solutions
Of course, outsourcing payroll isn’t a free endeavor. That being said, the amount your business pays for payroll services should match the level of service received. Enterprises should look for providers that can offer the scalability and support mentioned above for a price that doesn’t break the bank.
Another factor when it comes to price and the search for a payroll provider is transparency. Oftentimes, payroll providers won’t list specific prices on their site, and getting a specific quote involves jumping through a large number of hurdles and meetings. Businesses should be wary of providers who go through seemingly great lengths to hide their prices from prospective clients—a good provider should stand by the cost of their services and software.
Tips for Navigating the Payroll Provider Search
Now that we know what larger businesses should be looking for in a payroll provider, we’ll share some tips that will help make the search for a perfect provider a little bit easier.
Take Recommendations From Other Large Businesses
Large businesses know large businesses best, therefore one of the best things an enterprise-size business can do when it comes to searching for a payroll provider is to source recommendations from other large businesses as to which payroll providers they use and whether they would recommend their services.
Alongside this, don’t be afraid to ask any prospective payroll providers to provide you with other businesses who might be able to provide you with a recommendation. A payroll provider who’s willing and able to provide you with client testimonials likely has a strong working relationship with their clients and isn’t afraid of them offering up an honest review of their services.
Don’t Be Afraid To Ask Questions
Perhaps the most important tool any business has at its disposal during the search for a payroll provider is the ability to ask questions. Your questions can not only give you answers to possible hesitations you may have regarding a provider, but will also provide you with insight as to how a provider might handle questions if you were to become a client.
In our experience, more corporate, big-box payroll providers tend to provide non-answers to many difficult but crucial questions, especially when it comes to specifics on software and price. Don’t be afraid to ask these difficult questions, as the lack of an answer can say just as much as the answer itself.
Find the Payroll Provider That’s Right For You
Running a business isn’t easy, but trying to run a business while working with a payroll provider that doesn’t meet the specific needs of your business? Almost impossible. You’re already busy with the day-to-day tasks that are necessary to keep your business running smoothly—there probably isn’t time for you to worry about whether your payroll went through or the proper taxes were withheld for that pay period. Without the right payroll partner, you may actually find yourself doing more work than less, a scenario that is certainly not ideal for any business owner. Luckily, with the information provided in this article, you’ll have the tools you need to find the right payroll provider, helping you to actually save time and letting you get back to the thing that matters most: growing your business.
Whether you’re a large enterprise or a small business, finding the right payroll provider for your business can be tricky. Even still, it’s one of the most important decisions you’ll make, as your provider will serve as a crucial partner helping to alleviate the administrative burden that comes with running your business. As such, pricing is a key detail. Many payroll providers will offer free or low-cost pricing tiers that seem like a great value, but are they too good to be true? Check out our article on the pros and cons of payroll pricing tiers to get the full scoop.
Topics: