PEO Broker versus PEO Salesperson: Which One Is Better

In their efforts to outsource HR functions, businesses have slowly and increasingly counted on PEOs. However, there are a variety of them available in the market today. This makes the process a little complex as you may be confused about which provider to go for. One thing is sure. Once you agree that PEO is in fact what you need, you can make your decision between a PEO broker and a PEO salesperson. But which should you choose?

What Are PEOs?


PEOs are firms which offer multiple benefits to small and mid-sized companies. This can include human resource management, employee benefits, and payroll services. PEOs also include brokers who connect the firms interested in obtaining the PEO with the actual providers of such services so that they can find an appropriate solution for them.

The PEO becomes the employer once the business works together with them. In this case, the PEO will handle HR functions. This includes payroll processing, benefits administration, workers’ compensation, and compliance assistance, among others. These are some of the general mechanisms:

Human Resources Support

Processing payrolls, employee benefits management (in this case including health plans and pension), and ensuring compliance with laws or even employment law guidance on minimizing risks associated with employee relationships will be offered by a PEO.


Parties who are part of this agreement can be part of co-employment. In this case, the client is still responsible for managing its employees’ day-to-day activities. This also includes operations while the PEO is preoccupied with other HR-related activities.

Mutual Responsibilities

In co-employment agreements, some business and employer liabilities can be shared between the company contracting with a PEo to manage their functions. This is a great way to lower risk for both sides.

What Are PEO Brokers?


As briefly mentioned earlier, a typical PEO broker is experienced in the PEO field. They can help businesses find their way around when choosing a PEO to work with. Some of the things that they may do include helping business people evaluate different PEO service packages, look at pricing structures and even help during contract negotiations.

In essence, PEO brokers understand the needs and wants of businesses. They also connect them with the most appropriate PEO provider. They often possess skills in this industry and that is why they can guide businesses through the process of choosing a PEO. They can help negotiate contracts and transition smoothly to a PEO’s services.

What essentially makes a good PEO broker is assisting companies in identifying the right PEO by sharing market intelligence, comparing various service bundles, and enhancing communication between the business and PEO providers. They are important because they assist firms in obtaining high-quality HR solutions at pocket-friendly rates.

What Is a PEO Salesperson?

A PEO salesperson is also known as a sales representative. This is the person who works in the name of a PEO. Their main priority is to sell the services and solutions offered by the PEO to customers. This includes identifying businesses that could partner with a PEO to outsource HR, payroll, and even benefits administration.

Some duties that are expected of PEO salespeople include:

Consulting Clients

A PEO Salesperson meets up with potential clients to learn more about their specific HR and employee management needs, problems, and objectives.

Prospecting Generation

PEO salespeople can use various methods to find potential clients. This can include making phone calls without an introduction, attending networking events, receiving referrals from others, and conducting their own research online.

Presenting Solutions

Moreover, they can also educate prospects regarding services provided by PEOs as well as those that may address such needs. This is how they create value for their client’s business operations.

Developing Proposals

PEO sales representatives create customized proposals in which they can detail services that have been suggested together with respective pricing structures as well as likely benefits for partnering with a specific PEO.

Closing the Deal

Lastly, professionals in the field will negotiate prices, terms, and conditions with potential clients to close deals. This is whereby both sides gain something useful.

Which One Should You Choose and Why?


Your needs dictate whether or not you use a PEO broker or a PEO salesperson. This is based on the specific requirements, preferences, and expertise level that you look for when selecting a PEO for your firm. Here is what you can consider:

PEO Brokers

Knowledgeability and advisory

Brokers who specialize in PEO business can be helpful through their vast knowledge of such businesses. They will show you how to go about selecting such brokers. They are great at understanding what is unique about your company and can also find an appropriate PEO provider that meets all necessities.

Alternative Options

Since brokers work with several PEO vendors, this allows one to select from a wide range of alternatives. This is an advantage especially if you aim to compare various PEO offerings so as to get the best match for your enterprises.

PEO Salesperson

Access to PEO Services

On the other hand, when you deal directly with agents from a PEO organization as well as using those who sell the services, this will make the communication between two parties easier and also faster. This, therefore, simplifies the process of getting information concerning services offered by them.

Customized Solutions for Your Needs

The representatives from the PEO can offer you personalized advice and craft tailored solutions that address your particular needs. They can create presentations together with working out personalized recommendations for individual clients.

To summarize, value added services are mostly given by PEO brokers. This aids in giving unbiased direction and guidance about the selection of a professional employer organization. On the other hand, PEO sales representatives usually adopt a sales oriented approach to direct marketing of their firm’s products. It is possible for salespeople to provide custom made solutions as well as assist in negotiations. However, they are less objective than PEO brokers who strive to guide clients to obtaining suitable PEO solutions. This is where the choice falls in your hands.