--- title: "Making Magic Happen: Scaling Up Your Small Business with a PEO" description: Expanding your business, hiring new employees, or opening a new branch is the dream. However, business growth can pose considerable challenges if you lack a proper strategy. image: https://blog.proresourceshr.com/hubfs/shutterstock_676670533%20(1).jpg --- [Skip to content](https://blog.proresourceshr.com/making-magic-happen-scaling-up-your-small-business-with-a-peo#primary) [![PRO Resources](https://blog.proresourceshr.com/hubfs/raw_assets/public/Proresourceshr_2024/images/Pro-Resources-logo.svg "PRO Resources")](https://www.proresourceshr.com/) - [Services](https://www.proresourceshr.com/services/) - [Employee Administration](https://www.proresourceshr.com/services/employee-administration/) - [Payroll Administration](https://www.proresourceshr.com/services/payroll-outsourcing/) - [Benefits Administration](https://www.proresourceshr.com/services/benefits-administration/) - [Workers’ Compensation](https://www.proresourceshr.com/services/workers-compensation/) - [Wellness Programs](https://www.proresourceshr.com/services/wellness-programs/) - [Working With PRO](https://www.proresourceshr.com/working-with-pro/) - [Why PRO](https://www.proresourceshr.com/working-with-pro/why-pro/) - [Pricing](https://www.proresourceshr.com/working-with-pro/pricing/) - [Technology](https://www.proresourceshr.com/working-with-pro/technology/) - [Compare Us](https://www.proresourceshr.com/working-with-pro/compare-us/) - [FAQ](https://www.proresourceshr.com/working-with-pro/faq/) - [About](https://www.proresourceshr.com/about-us/) - [Our Team](https://www.proresourceshr.com/about-us/our-team/) - [Our Locations](https://www.proresourceshr.com/about-us/our-locations/) - [Network With Us](https://www.proresourceshr.com/about-us/partners/) - [Careers](https://www.proresourceshr.com/careers/) - [Industry Expertise](https://www.proresourceshr.com/industry-expertise/) - Resources - [Technology Resources](https://www.proresourceshr.com/resources/techresources) - [Blog](https://blog.proresourceshr.com) - [Case Studies](https://www.proresourceshr.com/resources/case-studies/) - [Guides](https://www.proresourceshr.com/resources/guides/) - [Ultimate Guide to PEOs](https://info.proresourceshr.com/ultimate-guide-to-peos) - [Videos](https://www.proresourceshr.com/resources/videos) - [Webinars](https://www.proresourceshr.com/resources/events/) - [ROI Calculator](https://www.proresourceshr.com/resources/savings-calculator) [Login](https://prohr.prosoftware.com/login.html) [Contact](https://www.proresourceshr.com/contact) Mobile Menu Toggle - [Services](https://www.proresourceshr.com/services/) - [Employee Administration](https://www.proresourceshr.com/services/employee-administration/) - [Payroll Administration](https://www.proresourceshr.com/services/payroll-outsourcing/) - [Benefits Administration](https://www.proresourceshr.com/services/benefits-administration/) - [Workers’ Compensation](https://www.proresourceshr.com/services/workers-compensation/) - [Wellness Programs](https://www.proresourceshr.com/services/wellness-programs/) - [Working With PRO](https://www.proresourceshr.com/working-with-pro/) - [Why PRO](https://www.proresourceshr.com/working-with-pro/why-pro/) - [Pricing](https://www.proresourceshr.com/working-with-pro/pricing/) - [Technology](https://www.proresourceshr.com/working-with-pro/technology/) - [Compare Us](https://www.proresourceshr.com/working-with-pro/compare-us/) - [FAQ](https://www.proresourceshr.com/working-with-pro/faq/) - [About](https://www.proresourceshr.com/about-us/) - [Our Team](https://www.proresourceshr.com/about-us/our-team/) - [Our Locations](https://www.proresourceshr.com/about-us/our-locations/) - [Network With Us](https://www.proresourceshr.com/about-us/partners/) - [Careers](https://www.proresourceshr.com/careers/) - [Industry Expertise](https://www.proresourceshr.com/industry-expertise/) - Resources - [Technology Resources](https://www.proresourceshr.com/resources/techresources) - [Blog](https://blog.proresourceshr.com) - [Case Studies](https://www.proresourceshr.com/resources/case-studies/) - [Guides](https://www.proresourceshr.com/resources/guides/) - [Ultimate Guide to PEOs](https://info.proresourceshr.com/ultimate-guide-to-peos) - [Videos](https://www.proresourceshr.com/resources/videos) - [Webinars](https://www.proresourceshr.com/resources/events/) - [ROI Calculator](https://www.proresourceshr.com/resources/savings-calculator) [Login](https://www.proresourceshr.com/login) [Contact](https://www.proresourceshr.com/contact) ![](https://blog.proresourceshr.com/hs-fs/hubfs/shutterstock_676670533%20(1).jpg?width=1200&height=630&name=shutterstock_676670533%20(1).jpg) # Making Magic Happen: Scaling Up Your Small Business with a PEO 10 min. read | November 22, 2022 Expanding your business, hiring new employees, or opening a new branch is the dream. However, [business growth can pose considerable challenges](https://blog.proresourceshr.com/heres-why-small-business-owners-who-do-it-all-arent-seeing-growth) if you lack a proper strategy.   [Challenges your small business may encounter](https://blog.proresourceshr.com/in-house-hr-vs-outsourcing-hr-why-a-peo-is-the-best-option-for-your-roi) as it grows include:  - A larger workload  - Technology troubles  - Complex human resource processes    The good news is that you can comfortably handle the transition process with the [help of a PEO](https://www.proresourceshr.com/about-2/#whatispeo). PEOs help business owners to level up with fewer challenges, so you can worry less and grow more.   **How Does a PEO Help to Scale Up a Business?  **  A PEO like PRO Resources works with small and medium-sized businesses to [help them handle their HR functions](https://blog.proresourceshr.com/you-dont-need-outsourced-hr-or-do-you-4-things-you-need-to-know) while minimizing risks.   **A PEO Takes HR Tasks Off Your Plate**  It would help if you had advanced procedures and policies to ensure that HR functions run smoothly while growing. A PEO can help you handle the following:   - **Recruiting** – It is not always easy for small businesses to find qualified employees because business owners lack the time and expertise to do so. Your PEO helps you to find, screen, interview and approve the ideal candidates for the positions available in your business.   - **Onboarding** – After scouting the right candidates, you must help them to familiarize themselves with your company's policies and procedures. A PEO assists in formalizing the orientation and training process while assisting with employee handbooks.  - **Compliance** - Federal and state compliance regulations can be complex and difficult to maintain. A PEO ensures that you remain current with these regulations while focusing on business growth solutions.   - **Claims Management** – A company's growth also means the growth of workers' insurance claims and compensation. [Partnering with a PEO](https://blog.proresourceshr.com/lets-reduce-your-workload-heres-how-a-peo-helps-business-owners) helps you manage claims and handles the entire process, thus ensuring your employees are satisfied. This also protects your business from possible lawsuits.   - **Better Benefits**– All employees desire good benefits, but many small businesses cannot afford to meet them. Because of economies of scale, a PEO can provide Fortune-500-level benefits to your employees. This can help in attracting many candidates, and it can also help in making your current employees happy.    **PEOs Take Care of Time-Consuming Paperwork  **  The National Association of Professional Employer Organizations ([NAPEO](https://www.napeo.org/)) states that a PEO helps a business to achieve [7-9% ](https://www.napeo.org/what-is-a-peo/about-the-peo-industry/napeo-white-papers) faster growth.  Some of the functions you can delegate to a PEO include:   - Employees payroll   - Administration and filing of taxes   - Enrollment    - [Onboarding](https://blog.proresourceshr.com/lets-get-efficient-with-onboarding-heres-how-its-done-right)   - Benefits administration  **Stay in Business with the Help of a PEO  **  According to statistics, nearly [20%](https://www.bls.gov/bdm/us_age_naics_00_table7.txt) of new businesses fail within the first two years of operation, 45% fail within the first five years, and 65% fail within the first ten years. In addition, the statistics show that only 25% of new businesses survive for 15 years or more.   A NAPEO survey also showed that [small businesses that work with a PEO](https://blog.proresourceshr.com/what-can-a-peo-do-for-a-growing-small-business) are 50% more likely to stay in business. This is because PEOs assist companies in managing time-consuming tasks, thus allowing enough time to deal with barriers to business growth.    **Reasons Why Businesses Fail **  [Scaling up a small business](https://blog.proresourceshr.com/why-does-partnering-with-a-peo-lead-small-businesses-to-success) requires patience, expertise, and other factors. Businesses fail due to various reasons, including the following:  - **Poor management ** You can only successfully manage a business if you have the expertise. Lack of necessary knowledge and skills is the main reason why businesses fail. As a business owner, you must ensure that all primary business functions, such as HR, accounts, and administration, are running smoothly. When scaling up a small business, it is advisable to work with a PEO to help you handle the HR functions of the company as you focus on other functions. The PEO ensures you get qualified team members to help you achieve your business goals.    - **Ineffective planning ** Small businesses downplay the need to have strategic business planning before they begin. Working with a PEO allows business owners to focus on business growth operations.  **We Help You Focus on Scaling Up Your Business **  If you are a small business owner working on advancing your business, then [PRO Resource](https://www.proresourceshr.com/contact/)s is what you need. We relieve you of human resources management, payroll, onboarding, benefits administration, risk management and more, enabling you to focus on implementing business growth solutions.    [![Subscribe to the Blog | PRO Resources HR](https://no-cache.hubspot.com/cta/default/20529914/interactive-165669522063.png)](https://blog.proresourceshr.com/hs/cta/wi/redirect?encryptedPayload=AVxigLIoUOx2%2FqKsg9D4khcLsD%2F2vPdpoE6OyKgO4eW5N2wdfWOoafT7p6FD6G6FBXlYb21sNc6J3xFCV5%2BHnJy7do5g%2BYsy3KLGiCD0hHz2vhqKQ%2F33x%2FxzHZlQJKnBU3weAXUYfyiHNkPxwbsyZTUdj94zXuvbJ7uo3L%2BzIYzPZLC9lPWpctog7itmRTl1gP6ahvFiocoYwnpgMN79KWfl&webInteractiveContentId=165669522063&portalId=20529914)     Share: - - - - [Is Workers' Comp Draining Your Budget? Here's What You Can Do About It.](https://blog.proresourceshr.com/is-workers-comp-draining-your-budget-heres-what-you-can-do-about-it) [Stronger Trust, Stronger Teams: Practical Steps for Leaders](https://blog.proresourceshr.com/stronger-trust-stronger-teams-practical-steps-for-leaders) [The Essentials of Payroll Tax Recordkeeping](https://blog.proresourceshr.com/the-essentials-of-payroll-tax-recordkeeping) [The Direct Link Between Employee Experience and Bottom-Line Success](https://blog.proresourceshr.com/the-direct-link-between-employee-experience-and-bottom-line-success) [FAQ: Minnesota's New Paid Family & Medical Leave Program](https://blog.proresourceshr.com/faq-minnesotas-new-paid-family-medical-leave-program) ### Get Exclusive Content [![Pro Resources](https://blog.proresourceshr.com/hubfs/raw_assets/public/Proresourceshr_2024/images/pro-resources-footer-logo.svg "Pro Resources")](https://www.proresourceshr.com/) [![Human Resources](https://blog.proresourceshr.com/hubfs/raw_assets/public/Proresourceshr_2024/images/human-resources-logo.svg "Human Resources")](https://www.proresourceshr.com/) #### Contact Us [hello@proresourceshr.com](mailto:hello@proresourceshr.com) [1 800.776.4671](tel:1%20800.776.4671) 1271 Hwy 10 W, Detroit Lakes, MN 56501 - - - © 2026 Pro Resources. All rights reserved.   [Privacy Policy](https://www.proresourceshr.com/privacy-policy) ![](https://px.ads.linkedin.com/collect/?pid=2982650&fmt=gif) ```json { "@context" : "http://schema.org", "@type" : "LocalBusiness", "address" : { "@type" : "PostalAddress", "addressLocality" : "Detroit Lakes", "addressRegion" : "MN", "postalCode" : "56501", "streetAddress" : "1271 Hwy 10 W" }, "description" : "Expanding your business, hiring new employees, or opening a new branch is the dream. However, business growth can pose considerable challenges if you lack a proper strategy. ", "geo" : { "@type" : "GeoCoordinates", "latitude" : "46.8257297", "longitude" : "-95.8708095" }, "image" : "https://20529914.fs1.hubspotusercontent-na1.net/hubfs/20529914/PROResources_Logo_MaroonOrange-1.png", "name" : "PRO Resources", "telephone" : "" } ``` ```json { "@context" : "http://schema.org", "@type" : "WebSite", "description" : "Expanding your business, hiring new employees, or opening a new branch is the dream. However, business growth can pose considerable challenges if you lack a proper strategy. ", "image" : "https://20529914.fs1.hubspotusercontent-na1.net/hubfs/20529914/shutterstock_676670533%20%281%29.jpg", "name" : "Making Magic Happen: Scaling Up Your Small Business with a PEO", "publisher" : "PRO Resources", "url" : "https://blog.proresourceshr.com/making-magic-happen-scaling-up-your-small-business-with-a-peo" } ```