Tech Company Uses an Employer of Record

You have made your decision: you want to expand internationally to bring in new customers and more revenue. But first, you’ll have to answer some critical questions. Which country is the best starting point? And once you’ve chosen one, what is the best way to land there?

ClickDimensions, a marketing automation software company, tried two ways to jump into new territories: establishing a local entity and using a global Employer of Record.

Elizabeth Palmisano, Manager of Talent Acquisition and Human Resources experienced firsthand the differences between these two options. She recommends using Globalization Partners for three distinct reasons:

1. You Access Vital Know-How

No international expansion can be done without up-to-date information about the countries you want to expand to. But soon, you’ll find out that your decision is not only about the economic growth or the potential number of consumers: you will need to research labor laws, tax policies, employee benefits, and more.

“As an HR professional or hiring manager, your time is so much better spent executing than researching,” says Elizabeth Palmisano, Manager, Talent Acquisition and Human Resources at ClickDimensions. “It’s not just a Google search and click away; these are interviews and conversations that you’re going to have to have. And, if you’re not thinking about the time it’s going to take to do the things and not just the cost, you’re going to find yourself in a sticky situation. The Employer of Record is the way to go”.

Globalization Partners has created a library of materials, such as the “Global Hiring Handbook,” and the worldwide GlobalPedia, so you can have all the information required to begin your global expansion. But as Ms. Palmisano pointed out – guides and manuals will not always be enough. Having someone on your side the entire way through makes an impact.

“[Globalization Partners] has people on staff that are just experts in every location. The response is quick and timely. Someone is always there to respond to me and give me a nuance or help me understand the social norms where we’re opening.”

2. You Can Move Quickly

Once you’ve selected one (or several) countries to expand, the work is just beginning if you attempt to manage it all in-house. You must find a reliable payroll company, accountants, lawyers, and HR advisors – all on your own. How can you do that, especially if no one in your company is connected in the region, and you’re not experienced in local laws and regulations? More importantly, how long will it take?

ClickDimensions found that going the entity setup route significantly delayed their progress. “It took us months before we were able to hire a person,” says Ms. Palmisano. “Navigating hiring manager expectations, finance expectations, leadership expectations, and the goals for the company and the timeline…it just became almost impossible for us to move forward without the right kind of help.”

That’s where Globalization Partners came in: “I can pick up the phone and call [Globalization Partners] today and say I’m going to hire somebody in Portugal. And within 24 hours, I’m ready to move forward with this candidate.”

To read full download the whitepaper:
Tech Company Uses an Employer of Record


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