Running a business is a demanding job. Especially when first starting out. When it takes off, most business owners first thought is to start looking for an employee to take some of the admin and day to day off their hands. After all, that used to be the only option available.
But what if I told you there was another option, other than bringing in temporary staff or hiring an employee?
According to Investopedia, “a virtual assistant is an independent contractor who provides administrative services to clients while operating outside of the client’s office. A virtual assistant typically operates from a home office but can access the necessary planning documents, such as shared calendars, remotely.”
Here we are going to go through the Pro’s and Con’s of each option.
Employee
Pro’s
- Meeting prospective employees in person is a great way to assess their capabilities and overall character, especially their work ethic.
- Many employers prefer to work and interact with employees in person to facilitate mutually beneficial relationships. This is invaluable for productivity, a smooth workflow, and business success.
- When your employees are physically present, it’s easier to keep track of their productivity and identify any areas for improvement.
- Having an in-house assistant can lead to more effective communication, as it’s easier to promptly address any misunderstandings and mistakes.
Con’s
- Hiring a full-time employee is a substantial investment. There are costs associated with maintaining an office space and providing benefits.
- Your company is responsible for any training the employee needs to acquire more knowledge and skills. In addition to costs, this means time away from the routine work.
- An in-house assistant typically expects only to complete a fixed set of tasks per day. Although you can move tasks around if your priorities change, the assistant may not be able to easily accommodate last-minute changes if day-to-day business operations rely on an established schedule. As a result, work quality may suffer.
- You’ll need to pay the employee a regular salary, regardless of workload. This may be a major disadvantage if you have long periods during which there is little for the employee to do. In addition, you’ll need to pay the employee overtime if you need work completed outside of regular working hours.
- If you need to replace the employee, you’ll incur costs from lost productivity during the turnover period and from advertising costs or recruiter fees.
Virtual Assistant
- Most virtual assistants have a diverse set of skills. In addition to carrying out administrative duties, some are experts in social media marketing, SEO, content writing, photo and video editing, logistics, and even technical support.
- Depending on your needs, you can contract a VA with a flexible work schedule. This means you’ll only pay the VA for actual hours worked or per project completed. Alternatively, you can agree on a monthly retainer, which means you pay the VA a minimum fee, regardless of the amount of work done.
- For part-time, short-term, or project-based contracts, a freelance virtual assistant is ideal because you won’t need to invest in overhead and you can ensure you stay within your budget.
- Virtual assistants level up their knowledge and skills in their own time to become more competitive. This means that you will not need to pay for any training.
- You can contract a virtual assistant on an as-needed basis, such as during peak season or if you need help to complete work over a weekend, at night, or during a holiday.
- You have access to a much bigger talent pool when you choose a virtual assistant, as your VA can be based anywhere in the world. This increases the chance you’ll find the best fit for your needs.
- If you need to find a new VA, financial losses are limited to lost productivity during the turnover period. The costs associated with contracting a VA online platform are also minimal.
Con’s
- Depending on the platform you use, tracking hours and confirming actual work done can either highly accurate or quite unreliable. If your VA has a flexible but hourly work schedule, there may be room for deceitful practices.
- Since virtual assistants work remotely, regular communication may be a problem. If you have a task that requires immediate attention and your VA does not have fixed working hours, there’s no guarantee that your VA will be immediate available.
- Technical difficulties on the VA’s end are out of your control and may affect productivity.
The Cost of Employee Vs Virtual Assistant
Employee
This is assuming a 35-hour week, 9-to-5 work schedule on the UK average salary. Working out to be 1,820 hours a year.
Salary: £28,677
Employers NI: £2,766
Pension: £676
Total per year: £32,119
Although you’ll be paying your employees every week (or every month) they won’t actually be working every day as they’ll be entitled to:
Holiday Pay, Sick Pay, Maternity/Paternity Pay
Virtual Assistant
This is assuming a 20-hour week, Working out to be 1,040 hours a year on an average UK rate of £27 per hour.
Salary: £28,080
Employers NI: £0
Pension: £0
Total per year: £28,080
You also will not need to provide equipment, an office or associated costs. You will also usually be covered during any holiday period (VA’s usually get someone to cover their clients while away). It also mean you don’t have to worry about:
Holiday Pay, Sick Pay, Maternity/Paternity Pay
Each and every business is different. And the approach to which option best suits your business is different.
There is no right or wrong way. Just the right way for YOU.
Virtual Assistants come in a variety of skill sets. Executive, Personal, Tech, Finance, Project Management, Marketing, the list goes on. You can find a VA that can specialise in all sorts of different areas, being able to have a tailored member of the team focussing on what you need, when you need it. They can use their network to find other specialist services and experts.
If you want to start reaching out to find a VA, ask another business owner for a recommendation or ask in your local business networking group. Personal recommendations are the best way to find that next member of your team.