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International Employment Strategy Play Book

By November 7, 2016October 10th, 2022No Comments
International Employment Strategy PlayBook Blog Image

Your entire team is aligned, your global expansion strategy is ready, now it’s time to consider your options before leaping into your target country. When deciding the best options for your company, you must take considerations for tax implications, employment liability, and intellectual property (IP). Depending on your needs, you have three major options to consider.

To help make your global expansion efforts easier, we put together an international employment strategy play book which you can use in different scenarios to keep your business ahead.


Play 1: Establish an Entity

This is a big financial, time and manpower commitment. It’s best to be sure you’ve chosen the right country to expand into and you’re confident it is the correct market for your business. If it isn’t…the set-up costs and the exit costs will be a big hit to your budget.

When to use this play?

You have identified the country, the market and the local talent you feel would be a great next move for your business to open an office. You have budgeted for the set-up and ongoing costs projected the setup time and compliance (adhering to local rules), and have a clear strategy to grow your business there.

Play 2: Use an International Professional Employer Organization (PEO)

This is a ‘pay-as-you-go’ option which works perfectly for companies who want to hire an employee or a small team in a different country quickly and compliantly (typically within 3-5 days). It is a great litmus test for your business in any new country and market you wish to explore. You create a ‘light’ footprint in the new country and have the ability to exit if the market isn’t quite right for your business. You pay the host employer a service fee whilst they manage full in-country compliance for your employee (with minimal wind-down costs).

When to use this play?

You have identified the perfect candidate or candidates for your business in a country you wish to explore for your next business move e.g. Country Manager and Sales Managers. Or, there is a candidate you would rather employ permanently rather than on a contract basis (the latter can be very non-compliant)

Play 3: Use a combination of the two

This is the ‘Power Play’ and by understanding both Play 1 and Play 2, you can be confident using your new international employment strategy to help your business grow quickly and compliantly into new countries and markets.

When to use this?

Research and identify a candidate in a country in which you are gaining interest in your business offering. By using Play 2, you can efficiently and safely enter the new market and begin developing your business and a local team. Once, you understand the market and development in the new country, you then have the time and confidence to invest in setting up a permanent entity and seamlessly transition your employees across.

Our team of experts work in over 185 countries, if you have questions regarding international employment give us a call today, we love to help!