Topic Outsourcing HR / PEO,

Spend More Time Working On - Not In - Your Business

Spend More Time Working On - Not In - Your Business

Both the smallest businesses and the largest corporations have the same twenty-four hours in a day. During this time frame, resources must be allocated accordingly between working “in” your business and working “on” your business. Both are necessary, but they will each yield different results. 

Working "in" your business refers to following the day-to-day routines that have been set by the company's standard operating procedures and capabilities. Working "on" your business refers to changing or further developing the company's day-to-day routines to increase the overall capabilities of the business and yield greater results. Each day you have a choice to either follow the status quo and work in your business or revolutionize your company by working on your business. 

Working on your business should demand the most of your time, as it has the greatest chance of increasing overall profits. Because of the daily demands of customers, employees and others, it's easy to get caught on a treadmill of purely responsive behavior ... which limits the company's longer term potential. By outsourcing functions associated with working in your business, you have more time to focus on growing and working on your business. Working with the right HR outsourcing partner allows a business to increase growth by 7-9%  compared to businesses who don't outsource HR functions.

Why You Need to Work With an HR Outsourcing Partner

If you only work in your business, growth is limited to the current company model. HR outsourcing lets you focus on developing the structure of your business, rather than solely focusing on training employees to work in your existing business model. You will never find the success you are striving for by placing all of your time and energy into the existing business structure. It is essential that you allocate a portion of your time to working on your business to develop something truly remarkable. 

Working with an HR outsourcing partner also allows your company to attract and retain the right type of employees. One crucial aspect of retaining talented employees is providing them with quality health insurance. In the United States, 56% of employees said that health coverage is a key factor in staying with a company or seeking other employment. An outsourced HR organization can simplify the process of finding and providing quality health coverage for the employees of your business. This increases the retention of talented employees, while at the same time allotting you more time to focus on growing your business. Without a strong foundation to attract and retain the right employees, working in the business will lead to frustration and ultimately prevent desired company growth. 

A big mistake that most entrepreneurs make is holding on to the idea that everything in their business must be kept in-house. Working on your business will yield your company the largest growth and profits. It is estimated that small business owners spend about 3.5% of their gross wages on attempting to keep all of their business functions in-house. Working with outsourcing partners can lower administration costs by $450 per employee.

HR outsourcing partners certainly offer great opportunities, but only if you work with the right type of HR outsourcing partner. When looking for an HR partner, you must find an organization with IRS certification, like Questco. These types of HR outsourcing partners can enter co-employment relationships and use their negotiating power to get better deals on health insurance for your employees. These human resource companies are top-of-the-line as they must continually meet IRS requirements such as tax compliance, background reports, experience, financial reporting, and bonding. 


If you only work in your business, there is no room for growth. If you only work on your business, the day-to-day functions suffer, and the company will grind to a halt. You need balance in your business. 

If building a business is like building a house, then working in your business is like building walls around rooms. Working on your business is like building out the house's foundation so more rooms can be added. Both are needed for a successful building as well as a successful business.

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Shawna Smith

Shawna Smith

Shawna is the Strategic Sales Director. Shawna has over 15 years of experience as a sales director, business leader, and strategic advisor in the PEO industry. She specializes in sharing with business owners her extensive knowledge of positive corporate culture building and strategic growth initiatives that drive business success across a wide variety of industries.