Outsourcing is, first of all, an effective redistribution of labor costs of an enterprise. Without spending resources on secondary tasks, the company focuses on the main processes, which ultimately leads to increased profits. However, another important advantage of working with contractors is the minimization of taxes.
Who pays taxes
An outsourcing company can provide several specialists or create a whole staff. But in any case, employees will be on the staff of the company that provides outsourcing services. Accordingly, taxes for these people will be paid by the contractor company. The main thing is to cooperate with accredited agencies that are ready to provide the necessary documentation and legal support. For example, such as the international company WeFind.
If reducing the tax burden is an advantage that absolutely all companies working with outsourcing will get, then other benefits primarily depend on the goals of the customer, but it is still possible to highlight the most frequent advantages:
- strengthening and improving the operation of the enterprise by focusing on the main areas, while non-core work is performed by employees from an outsourcing company;
- improving the quality of non-core services by attracting specialists from the necessary field;
- reducing the burden on the HR and accounting departments – registration, training, dismissal, as well as payment of wages is handled by the contractor company;
- saving social security costs – an outsourcing company is responsible for vacation, sick leave, medical insurance, and so on;
- improving time indicators — as a rule, work within the customer company begins to be conducted more quickly.