Employer of record in China--A shortcut to the Chinese market
What is an Employer of Record?
An Employer of Record (EOR) is a service provider that acts as the legal employer of workers employed by their client companies. In China, an EOR can help foreign companies navigate the complex and ever-changing regulations and requirements for hiring and managing employees. With an EOR, client companies can outsource the administrative burden of compliance, payroll, taxes, and other HR functions, freeing up resources to focus on their core business.
China's EOR model is particularly attractive to foreign companies looking to expand into China. It allows companies to avoid the time and expense of setting up a legal entity in China, which can be an arduous and expensive process. Instead, an EOR can provide a turnkey solution for managing the legal and administrative requirements of hiring employees in China. This model can also provide flexibility for companies with limited resources, seasonal or project-based needs, or who want to test the waters before going fully operational. Overall, an EOR can be a valuable partner.
Why Use an Employer of Record?
In some cases, we see foreign companies wanting to use an employer registered in China. These include:
· Companies that need local staff to handle field operations, customer meetings, or vendor management. But the workload or corporate strategy is not suitable for setting up a representative office or a WFOE.
· Those who are new to the Chinese market looking to hire local staff for early market research or exploration.
· Companies that have overseas contractors and want to set up a base in China
· Companies that intend to open an office in China (usually a representative office or a WFOE) but want to hire employees during the transition period during setup.
Of course, there is no need to set up or open a company in China in order to hire employees. Companies are legally allowed to use an authorized Employer of Record, such as GOMAX China, to handle staffing. We have years of experience in assisting companies of all sizes with recruiting and hiring both local and expatriate employees.
Hiring is fast, flexible and low-cost:
· We can employ both local and expatriate staff.
· There is no limit to how many employees we can hire on your behalf.
· Employees can work from anywhere in China and even work from home. We can assist in providing office space if required.
· GOMAX China ensures that all employment is fully in line with the current requirements and laws of China.
· We have a legal responsibility to our employees.
· For domestic workers, the recruitment process can be completed in a few days at the earliest. It takes longer for foreign employees to apply for a visa.
· The monthly serivce fee is as low as $300 compared to running a company in China.