5 Reasons Growing Companies Need HR Help


Small business growth is every entrepreneur’s dream, but with all the extra work to put in and logistics to consider, it can feel like a nightmare. When a company reaches a stage of rapid growth, it’s important not only to make the current expansion as smooth as possible, but also to lay the groundwork for future success. Leveraging the experience of outside HR companies can help growing businesses find their feet in new territory and set them up for greater things.

1. Smoother Recruitment and Onboarding

  • The most critical aspect of business growth is also one of the most time-intensive: hiring. Bringing on more people to deal with demand for a business’s products or services can be stressful. There are many questions to consider, such as:
  • How will you advertise the volume of positions you need to fill?
  • How do you know if you’re getting the right people?
  • Should you use hiring assessments?
  • What sort of compensation will you offer?
  • What will onboarding look like?

A growing company’s leadership team may not have the time to give each aspect of the recruitment process the attention it needs. HR companies have the experience to seek out and bring on only the best fits for the business and get them ready to contribute to overall success.

2. Better Strategy

Growing companies should be purposeful with their actions during rapid expansion, which means lots of planning. A solid HR team can help with a timeline for hiring and onboarding, create an employee handbook, monitor company culture, and contribute to business strategy moving forward.

3. Scalable Solutions

Getting expert help from HR companies means growing businesses will have the HR infrastructure they need, no matter the size. From payroll programs to timekeeping and attendance to expenditures, there are many tools that make the everyday operations of HR specialists easier. Implementing them while the company is growing ensures that the company’s human resources, whether in-house or through a third-party, will be able to keep up with the demands of more employees while still having time to focus on strategic HR goals.

4. More Resources for Administrative Work

The day-to-day work of HR professionals is time-consuming. It seems like new regulations are legislated every day, and HR needs to stay on top of everything to ensure compliance. Add that onto payroll and compensation planning, training and development, and the recruitment needs of a growing business, and you’ve got a workload that could swamp any existing in-house human resources. Third-party HR companies have a team of knowledgeable specialists who can take care of day-to-day HR while still leaving plenty of time and energy for strategy.

5. Greater Cost Performance

While having one or two HR professionals that work directly for the growing company is a viable solution, the number of experts and combined years of experience offered by human resource management companies often offers a better cost/performance ratio. HR companies can serve as a business’s HR department, complement existing HR, and even help businesses transition to a full in-house department when the time comes.

Human resources is a critical consideration during rapid business growth, and a third-party provider can offer the expertise and manpower needed. See how HR Collaborative helped a startup through its expansion and beyond with this case study:

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