Knowing that, how do you compare and find the right PEO for your firm? Even if you knew exactly what to ask and had time to talk to all of the 700+ options, how do you know exactly what is best for your firm? Spreadsheets are ineffective because every PEO claims that they do everything, and that they do it better than their competition.
Amidst this black hole of information, there is a firm that brings you objective information in a straightforward manner. ThePEOPeople is an independent brokerage firm that offers you a powerful, and simple portal to help companies choose the right PEO firm for them. ThePEOPeople stands out as the most innovative and comprehensive option compared to existing firms.
One of the primary reasons that PEOs are popular right now is because of the integrated solutions for HR, as well as fact they can reduce Medical and Workers Comp costs.
However, many PEOs are offering complicated services and solutions, so finding the right one can be incredibly draining. In an interview with CIO Applications magazine, Eric Raymond C.L.U., the CEO of the firm, discusses how his company helps organization make the right choice when it comes to narrowing down the best PEO options for their clients.
What is the story behind ThePeoPeople. com?
Prior to ThePEOPeople, Mr. Raymond founded and built an organization which grew into one of the largest health insurance brokers in the country with over $1 Billion Dollars of Premium. After he sold the firm to a major Venture Capital Firm, he got a call from one of his previous clients. The client had become the C.F.O. of a medical practice consisting of over 250 employees. A year prior, that medical practice switched to a PEO because it saved them a lot of money BUT they hated the PEO. The new CFO asked Raymond to replace them and go back to an open market plan. So it turns out that PEO concept was exactly the correct approach –and was over $500,000 less than the private market (including the administrative costs) - The real answer was finding the right PEO for the company. In the end, the client saved even more from another PEO, while obtaining better service and systems. Years later, they are still content with their PEO choice. Raymond explains, “I loved doing this for Carl, so we started ThePEOPeople.”He had a vision to help companies find the right PEO, make the process of quoting easier, create understandable proposals, and ensure successful implementations. With Raymond’s team’s expansive knowledge in underwriting, HR, and benefits, we offer quality services to our diverse clientele. “We take great pride every time we produce our exclusive ROI analysis!”says Raymond, after years of shopping and advising employers on whether a PEO is a good option and if so which one.What are some of the challenges your clients face and how do you address the same?
Raymond: “PEOs are great when they work well. Unfortunately, many PEOs are not up to par– bad service, bad renewals, non-integrated software (even though they claim it is) etc... For that reason, finding an expert who really knows the differences between them is so critical. Using a broker not only gets you objective information but ThePEOPeople.com also get employers lower administration fees and medical rates which is generally in the range of 25% less than going direct. ThePEOPeople.com has lower rates for two reasons: 1) Our buying power and 2) we eliminate the expensive direct reps that are costly to the PEOs and are allowed increase rates to get more commissions.“
PEOs are great when they work great, but they aren’t always the right solution and even if the concept of a PEO is right, selecting the right one for the right reasons is hard – we make it objective and obvious
So, what is ThePEOPeople.com’s secret?
“Our national experience, our relationships with the Management of the PEOs, and our exclusive software all help us in our mission, but mostly it is crucial to listen to our PEO clients and prospects that are satisfied and unsatisfied. When we combine that information with quality PEOs that match an organization’s requirements, style, location, size, and future- the finalists become obvious.
Most of the prospects who contact us are unhappy with their existing PEO. This happens because, they have not gone through the right process to determine the right choice. These prospective clients called a few PEOs directly and trusted the PEO salesperson. For a client, the process of getting a PEO quote is daunting as it involves tedious and redundant paper-work. Our goal is to make the quoting and decision process super easy for the client. We present the pros and cons of each PEO. Instead of blindly looking at different product demos, we make sure that the right ones are available for the client and that the person that conducts the demos is great.
There are so many factors a client need to know about a PEO before choosing one. For in-stance, some PEOs have VERY inconsistent renewals, while others are about to change soft-ware, be purchased, have high internal turnover or just have terrible service. The client should know all of that before choosing a firm – it is not just about price, although that is always one of biggest factors. In addition to helping the client with the implementation, we also provide them with post-implementation support. Our team engages with the client and ensures that they have a plan that covers them, their family, or the company. “
What is your client on-boarding process like?
Understanding the industry and its nuances is extremely important to be successful in this business. We gather all of the information available on a particular PEO firm in order to provide quick and simple answers to the client’s queries. Our team also understands the reason why the client is unhappy with their current PEO and why they are looking for a new one. We also ask them the client’s location, size, and most importantly, their requirements. This is all done to make sure the client does not have to sit through a dozen presentations and pitches of PEO companies. We have all the demos.
We do NOT charge a fee to do the RFP, ROI, and recommendations. We do, of course, make money only if our clients select a PEO we recommend. In that case, the vendors pay us in-stead of the client and the fees are built into the quoted rates. The client’s costs are about 25% less than going to the PEO directly. Our goals are therefore completely aligned with that of the client and again, our fee is paid by the vendor, not the client. We save time, provide straight answers and better prices than if you were to approach a PEO directly.
What do you plan for the future of the firm?
We will continue to make this market more accessible to a large employer -- in fact that is the faster growing segment of our business. We have been innovators in the Human Re-source and insurance sector for over thirty years.