"You want to expand internationally, but the setup you choose will shape your cost, speed, and risk. An Employer of Record lets you hire fast in a new country without creating a local company. A subsidiary gives you full control"
"An employer of record hires workers for you in another country through a local legal entity. The EOR signs the employment contracts and manages payroll, taxes, and benefits. You direct the employee's daily work and goals. This model fits fast entry. You avoid entity setup and local filings. As a result, you can hire within weeks and limit exposure to labour law mistakes. An EOR also reduces admin load. You rely on one partner for compliance across regions."
An Employer of Record (EOR) hires staff through a local legal entity and handles employment contracts, payroll, taxes, and benefits while the client directs daily work. The EOR model enables hiring within weeks, avoids entity setup and local filings, reduces administrative burden, and limits exposure to labour law mistakes. A subsidiary is a locally owned company that gives the parent firm full control and a direct legal presence but requires more time, money, regulatory work, and ongoing local management. The right choice depends on strategic goals, budget, desired control, and intended market tenure.
Read at London Business News | Londonlovesbusiness.com
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