Running the financial side of a small and mid-sized business (SMB) is complex enough, but adding workforce management, benefits, and compliance to the mix stretches capacity even thinner. For many SMBs, hiring a full-time HR professional is simply financially out of reach. It may then be a structural resource or workforce issue that makes HR underdeveloped, reactive, and disconnected from overall business results.
As these businesses struggle to handle the increasing complexity of HR, payroll, and benefits management, these duties often fall to CFOs, controllers, or administrators who lack the time, resources, and expertise to manage the workforce strategically. When HR responsibilities are added to an existing role, it can seem unexpected since they weren’t part of the original job description or a focus of the daily tasks. Consequently, team members may delay addressing areas like recruiting or performance reviews until they’re truly necessary or feel overwhelmed, leaving them no choice but to handle these issues themselves.
The result can often be a payroll and HR apparatus that can only just keep its head above water. Forget strategic opportunities or growth—the focus is on doing what’s necessary to
keep the basic functionalities running smoothly.
However, when SMBs seek help with HR and payroll, they typically take two paths: some work with trusted advisors like accounting firms or banks that fill the HR gap and recommend or co-manage workforce solutions, while others go directly to vendors like isolved to modernize HR operations and gain strategic tools for compliance, recruiting, and performance management.
Both paths rely on different entry points and relationships. While some SMBs are proactive in searching for help, others discover HR solutions through financial advisors. In all cases, there is a desire to solve for complexity, ensure compliance, and build confidence in a way that ties into strategic value for their business.
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