Why we chose in-country partners over direct entities for our Employer of Record solution

Working with in-country Employer of Record partners offers huge advantages over operating your own legal entities. Read why Lano decided to build a network of local partners across the globe to offer the best Employer of Record experience for our customers.

Setting up a local entity is the easy part. All it takes is some time and money and you can establish a legal entity in any country you want. But this alone doesn’t guarantee a first-class Employer of Record service. In order to protect ourselves and our clients from compliance risks, we work with in-country partners - local experts who have a deep understanding of all the complexities of the legal system in their respective country.

In most cases, direct entity models rely on regional teams that cover multiple countries instead of a local team in every country. While this approach may be cost-effective, it makes it almost impossible to gain a profound understanding of local requirements and navigate ever-changing legal regulations. We believe that there is no other way than to collaborate with real local experts to take the compliance burden off our clients’ shoulders.

We had our clients’ best interests in mind when deciding not to set up our own legal entities. In every country, we work with multiple Employer of Record providers, which allows us to choose the best in-country partner to suit the specific needs of every client. This allows us to focus on the interests of our clients and bring real support to their global growth.

Working with direct entities allows companies to hire and onboard candidates for their clients quickly. This is made possible through the use of generic templates for contracts and other agreements. However, it also means that there is only very little room for personalization or modifications. By using in-country partners, we are able to offer localized contracts tailored to client needs and to guarantee the highest compliance standards at the same time.

Through our network of Employer of Record partners, we can offer our services in many more countries than if we used our own entities. Our partners are well-established companies with HR expertise, local knowledge of employment laws and administrative procedures, and a proven track record. They are available at any given moment to provide us with country-specific information and advice, and thus help us guide our clients through their international expansion journey in full compliance.

Do you have questions about our Employer of Record solution, pricing or do you need a consultation?

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