HR Help for Self-Storage Operations: Should You Outsource Your Employee-Related Functions?HR Help for Self-Storage Operations: Should You Outsource Your Employee-Related Functions?

Self-storage is a fast-growing industry, but with rapid progress comes change, and with change often comes challenges. Facility operators are facing increased competition, rising operational costs and a seemingly endless cascade of technological advancements. To keep pace, owners will need to develop coping strategies, and outsourcing is a common one.

In particular, human resources (HR) functions can be time-consuming and even daunting, as there are laws to follow and severe consequences for non-compliance. By farming out these responsibilities to an experienced and competent third party, you can free up time to focus on your portfolio rather than get bogged down in staffing concerns. Let’s explore the key benefits and what an HR company may be able to provide, so you can determine if outsourcing is the right choice for you.

The Benefits

There are many benefits to outsourcing your self-storage operation’s HR tasks. At the top of the list is cost savings. According to Talent.com, the salary of an HR professional can range from $40,000 to 100,000 annually, depending on experience, staff size and other factors. While the cost to outsource can vary, it’s typically less than hiring a full-time employee. In general, you’ll pay 2% to 15% of your payroll, according to Zamp HR, a professional employer organization.

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Here are some additional benefits:

Freedom. HR tasks can be time-consuming and complex, especially if you don’t have expertise in this area. Hiring a third party frees you to focus on other aspects of your business.

Access to expertise. HR providers have specialized knowledge as well as systems, procedures and templates in place to support your company and its goals. They’re specialists in employee hiring and onboarding, work policies, payroll processing, and employee benefits.

Regulatory compliance. HR regulations and federal requirements are constantly changing, and noncompliance can result in costly penalties and legal issues. Outsourcing ensures you’re up to date with the different laws, which can vary by city and state. A good provider is also adept at handling unusual circumstances like unemployment-insurance claims.

Scalability. As your self-storage business grows, managing certain HR functions can become increasingly complex. For example, some regulations apply only once a company reaches a certain number of employees. Outsourcing allows for scalability, as the provider can easily adapt to changes in your business size and structure, whether you’re expanding or scaling back.

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Types of Support

There are three main types of HR support available to self-storage businesses. The first is employee management, which covers a range of staffing needs. A provider in this area can:

You can also hire a company specifically to assist with health insurance and other employee benefits. This can give you  access to better rates (group coverage) than what you’d get on your own. This support might include employee-assistance programs, retirement benefits, and administration for qualified life events and other changes.

Finally, there’s payroll administration, which often requires scrutiny. Outsourcing in this area ensures employees are paid efficiently and on time without errors. In addition, work schedules and paid time off can be better managed. You’ll also gain access to labor analytics and reporting , which is valuable for audits and budget reviews. Finally, you’ll have assistance with employee garnishments.

Finding a Partner

If HR outsourcing is something you’d like to pursue on behalf of your self-storage business, begin by considering what’s most important to you. Is it technology, service, cost or the relationship you’ll develop with your provider? From there, think about the tasks you currently do that take the most time and how you’d benefit from having that time back to focus on other areas your operation.

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Next, thoroughly evaluate your vendor prospects to see if their programs align with your goals. Ask about their fees for your existing staff but also determine how prices might change as your company grows or shrinks. Be clear about your expectations and communicate regularly.

Outsourcing your self-storage HR functions enables you to prioritize core business operation over administrative duties. By delegating staff-related responsibilities, you minimize the likelihood of errors and fraudulent activity. Service providers employ robust systems and procedures to guarantee precision and safeguard against costly mistakes. Additionally, outsourcing can enhance employee satisfaction by ensuring punctual and accurate payroll processing, along with providing access to expert assistance on matters like benefits and policies.

Ultimately, entrusting HR tasks to seasoned professionals empowers you to concentrate on your strengths in managing and growing your self-storage enterprise. Isn’t that what you really want?

Starr Harry is a senior client-success manager for G&A Partners, which offers a suite of human resources (HR) services including accounting, staff management, health insurance and benefits, and payroll. Starr joined the company in 2015 and has more than 15 years of HR experience in a variety of functions across multiple industries. For more information, call 888.392.1226.