Employment entrepreneurs roll-out own brand payroll providers
Under the initiatives the entrepreneurs have each gone in on a co-ownership package to roll-out their own brand payroll operation.
The pioneering deals have been struck with Originem who earlier this year launched & lsquo;OriginemCubed’ their off the shelf, white-label offering of their established payroll business.
As a guide to the profitability of the & lsquo;new providers,’ Originem forecast that a payroll of one hundred contractors will generate in excess of £130,000 per annum for its owners.
Dave Steen, managing director of Educare Staffing Limited said: “Operating an in-house provider significantly enhances the profitability of employment agencies like Educare. Prior to launching Taylormade Payroll Solutions as our own brand provider we lost margin every week to an umbrella company. But we now retain that profit on our bottom line.”
Other joint ventures in the past six months have seen a national recruitment agency launch FOSRE and accountancy practice Accounts Unlocked bring Exemplare to the market.
Chris Clowes managing director of Originem said: “From our National Employment Outsourcing Centre we can very quickly and economically get new partnerships up and running.
“The partnerships are a clear demonstration of strength through collaboration
“We contribute our technical expertise and the ongoing, open book management to the business, while our partners bring their contractor base to the venture. The profits are shared and all parties are secure in knowing that the new provider is 100% compliant and provides a sustainable long-term income stream for the future.”
Beyond the earning potential of the new providers, Originem also emphasise the significant benefits to be gained by operators in terms of cash flow and improving working capital while eliminating the need for invoice discounting.
Originem have launched a chain of new payroll providers in the past six months and offer a free and confidential appraisal to like minded employment entrepreneurs.