Business

Loss of Payroll Vendor BCP Plan

Business Continuity Planning or BCP for short is the planning to get in the way of threats. It works simple. The main purpose of a BCP plan is to create systems that will prevent and/or recover any potential disaster. While planning a business continuity can be challenging, it can be done easily. More on that below.

One of the main reasons business owners create a Business Continuity Plan is to pay employees even when the company isn’t functioning fully. This helps with a lot of things for the business. One, it gets in the way of legal troubles for not paying employees. This not only protects you from penalties and fines but builds trust and motivation within the working space.

A BCP plan for the loss of payroll can be as simple as this; when you’re not able to pay employees through paper checks, implement electronic payments. This can be done through a PEO (Professional Employer Organization) or an HR provider. We recommend PEOs as they will take care of more than just payroll.

PEO and Business Continuity Plan

First and foremost, not paying employers will bring possible penalties and fines to the employer. To avoid this and to have a BCP, a PEO is the answer for many.

In an event where there is a loss of payroll, the PEO will help you understand the laws behind not paying the employees. The PEOs can even help you to take back legal action and prevent the penalties from occurring. As of now, employers with BCP have saved their businesses as far as seizing operations are concerned.

Now that the coronavirus pandemic have forced many employers to shut down their operations, those with a BCP is going to have an easier time continuing their operations.

BCP Vendor Costs

The cost of a Professional Employer Organization can be as low as $50 a month for each employee. This takes away all the need for planning continuity for your business. We highly recommend letting a PEO do their work while you sit back.

As for choosing a PEO company, you will have a lot of options. Just like how you shop for insurance, take the same approach with a PEO. There are giants in the industry like ADP TotalSource, Trinet, Justworks, and Paychex. See their pricing and decide for yourself. Each of the above should come at a different price and offerings and which one you’re going to work with comes down to your business and expectations from a PEO.

William Mayer

Hello, I'm William! I mostly write about financial topics such as stocks, investments, and small business ideas. I like to cover the hot entrepreneurship subjects where you and I can look forward to the future.

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