Understanding the PEO Model
What is a Professional Employer Organization, and why does the size of your company determine which one you should choose?
The "Scale Penalty"
A PEO (Professional Employer Organization) allows businesses to outsource their HR, payroll, and benefits. By grouping many companies together, a PEO can negotiate better insurance rates, similar to a Fortune 500 company.
Here is the catch: National PEOs are built for scale. They work incredibly well for companies with 100+ employees.
If you are a local business with 5 to 50 employees, you often face a "Scale Penalty." You either get declined service, or you pay "small group" rates that erase your savings. Prosperity-Works was built to solve this specific problem for Southwest Washington.
| Feature | National PEOs | Prosperity-Works |
|---|---|---|
| Target Company Size | 100+ Employees | 2 - 100 Employees |
| Where Profit Goes | Wall Street / Shareholders | Local Community (Childcare) |
| Service Model | 1-800 Call Centers | Local HR Support |
| Worker Stability | Standard Employment | Portable Seasonal Benefits |
| Flexibility | Rigid Corporate Packages | Tailored to Local Industry |
For Larger Employers (100+ Staff)
We believe in transparency. If you are a large organization or outside our region, the national PEO model might be a great fit for you. We encourage you to compare their rates and terms:
Have fewer than 100 employees?
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