When to switch from an employer of record to a legal entity — and how to do it

Employer of Record (EOR) can be a company’s initial growth choice when entering a foreign market. Companies use the EOR model to ensure compliant payroll when hiring employees in a new country, but what are the limits of this model? EORs are not designed for permanent use and pose significant risks over time.

EOR payrolls do not scale, and there are triggers that indicate expiration and risk. If the employee count increases or the commercial activities mandate an entity, many save money and protect their company by registering an entity and processing payroll directly.

Join our live webinar, where experts from Vistra and Osborne Clarke will discuss how to review your activities, what to consider, and how to make the transition from an EOR provider to a legal entity.

Here’s some of what they’ll cover:  

• The risks of EORs and why and when you should switch to employing your workers through your own local legal entity.
• The transition process – including how to establish a legal entity, set up payroll, and transition your employees.
• Real-world case studies of regional differences and varied local considerations when planning for growth.
• Q&A session, where you can get personalized advice to help your business lower risks and gain operational flexibility.