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Why Hiring a VA Is More Cost Effective Than Hiring an Employee

A business owner sitting on a sofa writing in a notepad or journal and smiling.

When you reach the stage in your business where you need extra help, one of the biggest decisions you’ll face is whether to hire an employee or start working with a Virtual Assistant (VA). While having someone physically present in your office might seem like the natural choice, it comes with significant expenses, including salaries, benefits and overhead costs. Hiring a VA offers a flexible, cost effective solution that allows you to get the support you need without the financial burden of a full time employee.


Here are 5 reasons why hiring a VA is more cost effective than hiring an employee. 


You Only Pay for the Work You Need

When you hire a full time or part time employee, you’re committed to paying a set salary regardless of workload, you’ll pay the salary regardless of whether your business grows or shrinks. A VA works on an as needed basis. Whether you require assistance for a few hours a week on a retained basis, or on an ad hoc basis, you only pay for the actual time worked, therefore there are no wasted resources or unnecessary payroll expenses.


No Overhead Costs or Employee Benefits

Hiring an in house employee comes with additional costs beyond just the salary, such as office space, equipment, utilities and supplies. Additionally, employees require benefits like paid holiday and pension contributions, which add significant costs to your financial outgoings. VAs work remotely as independent contractors and provide their own equipment and we handle our own benefits and taxes, saving you money.


Reduced Training and Recruitment Expenses

Bringing a new employee onboard requires training, which can take weeks or even months before they reach full productivity. Hiring also involves posting the job, interviewing several candidates and a lengthy onboarding process. VAs often specialise in specific areas like administration, marketing, or bookkeeping for example, allowing us to jump in and start contributing immediately without the need for extensive training. You also skip the complicated recruitment process and can hire a VA after having a 30 minute discovery call with them. 


Reduce Your Expenses and Obligations

Hiring an employee means having payroll obligations, paying National Insurance contributions and having an active employee liability insurance policy. When you hire a VA, these financial and administrative burdens disappear, as we are responsible for handling our own taxes and compliance.


Increased Productivity and Flexibility

Employees are typically paid for a set number of hours per week, regardless of how efficiently they work. VAs are focused on delivering results and maximising productivity because they are paid for their output rather than just their time. VAs also offer flexibility - you can scale a VAs workload up or down depending on your business needs, avoiding incurring any unnecessary employment costs. 


If you’re looking for an efficient, cost effective way to scale your business without the high costs of hiring an employee, a VA is the perfect solution. Investing in a VA allows you to work smarter, not harder so you can focus on what truly moves the needle in your business - working in your zone of genius. Are you ready to explore further? Book a discovery call with me here.


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© 2024 In Tune Business Solutions

In Tune Business Solutions (trading name of Emily OBM Ltd) is a company registered in England and Wales, registered with Companies House under registration number 14041655 with a registered office address of 124 City Road, London, EC1V 2NX.

 

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