Depending on how you define “professional services,” the sector employs almost 26M people across more than 915,000 establishments in the U.S. These statistics point to a fundamental truth about the industry: Most professional services firms are relatively small companies.

Another truth is that the quality of their work depends on the quality of their people. Unlike a widget factory where “labor” is somewhat interchangeable, every professional in a business services company is an engine for the firm’s success. The company relies on employees’ insights, their ideas, and their client engagement skills. At small firms like these, every contributor is critical.

Larger firms can have one advantage: They can have the in-house HR infrastructure to see to employees’ needs. Larger firms can support more back office administrators to handle HR functions like benefits and legal compliance. They can also maintain sophisticated software that enables employee self-service, a small but greatly appreciated capability for self-directed professionals.

This makes smaller professional services firms ideal candidates for partnership with a professional employer organization (PEO). Here are three ways outsourcing HR administration to a PEO can deliver enterprise support to even a small cadre of employees and firm partners. This is also how you keep your best people.

1. Greater Rewards for Better People

PEOs usually administer every aspect of HR for clients, from hire to retire. But professional services firms might first be attracted to a PEO by the array of affordable employee benefits they offer. In addition to shouldering all the administrative hassles, PEOs tend to offer considerably lower rates on a wider selection of benefits packages.

Because PEOs handle multiple clients – sometimes with hundreds of workers each – they represent a larger risk pool and can command much lower rates. They also enjoy economies of scale, further reducing administrative costs. And they have the critical mass to offer extensive, customized packages, beyond medical, to include dental and vision care, long term disability and life insurance, flexible spending or health savings accounts, even 401(k) plans.

These kinds of benefits are table stakes for most professional services companies hoping to attract the best talent. The fact that the benefits are administered by knowledgeable specialists brings another layer of excellence to a PEO arrangement and can be a regular reminder of the quality the employer firm brings to every aspect of their operations.

2. Empower Self-Directed Employees

In order to deliver services with maximum efficiency, most PEOs use Human Capital Management (HCM) software. Such systems are capable of streamlining or completely automating virtually every aspect of HR administration, from recruitment through payroll and even performance management. This is a huge help for the internal admin staff.

Professional services firms especially appreciate the fact that much of this functionality can be accessed via self-service. PTO requests can be handled with a couple of clicks. Tax and payroll documents are just as easy. Their benefits packages can be managed with as much or as little assistance as the employee wants. And the interface can even carry the firm’s own branding.

This puts the employee experience on par with even the largest consultancies and global services firms. It’s a degree of polish that is felt as much as seen. New hires feel it from their first day on the job. And veteran personnel really notice the difference when the system comes online.

3. Use Size to Your Advantage

Despite larger firms’ administrative advantages, smaller companies – as most professional services firms tend to be – can more than level the field by partnering with a PEO. The benefits packages they develop can be better tailored to the specific needs of that company. The distinct company culture can be amplified by the onboarding and performance management capabilities of the software.

Most professionals – whether they’re architects, accountants, IT, or PR – feel called to their profession. They tend to love their work, enjoy new challenges, and find fulfillment collaborating with colleagues. Smaller firms are powered by these dynamics, while management at larger firms can often focus more on the organization’s operational demands. By outsourcing the bulk of HR administration, smaller firms can offer more than competitive compensation. They can offer a more engaging culture and greater professional fulfillment with the same caliber of HR administration as a global firm.

This is what attracts the best talent to a professional services company, and keeps them there. The less professionals need to worry about administrative tasks, the more they can focus on what they do best and enjoy most.

How VensureHR Elevates Your Employer Brand

VensureHR, the largest privately-held PEO in the nation, is also part of America’s leading PEO technology company. Because the focus of VensureHR’s business is small and mid-sized companies, they are an ideal partner for professional services firms.

Their benefits options are on par with the largest enterprises. The customizable software is designed for intuitive use and includes a mobile app to support today’s professionals wherever they live and work. In fact, VensureHR has extensive experience working with professional services firms of all sizes.

Engaging a PEO like VensureHR can elevate the employee experience while enjoying the increased efficiency that comes with it. Find out how a PEO can help keep your best people happy.