Financial Review
Financial Review Article 14/03/2006
- + Payroll contract eases high growth pains
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Daniel Isbester sighed with relief two months ago when his business surged and the one area he didn't have to stretch himself over was the payroll for his extra staff.
Late last year Isbester, director of Fit for a King Catering Services, signed an outsourcing contract with Nationwide Payroll Services to take care of all the details of payments. That included managing the various rates of pay for the flexible job roles among his 15 full-time employees and 40 casual staff, including issuing pay slips, paying wages into bank accounts and tracking entitlements such as superannuation, holiday and sick leave. It's a job that Isbester had to tackle himself in the past.
"I couldn't let anyone else do it because it's sensitive data," said Isbester, who was spending around 15 hours a week on payroll before he decided to outsource this function. The move has cut his running costs by around 20 per cent.
"The biggest thing that it's done is save me time and stress. With the new super compliance, it's a big thing to keep on top of. This way I can just focus on generating revenue," says Isbester, whose major clients include NSW Police and Manly Sea Eagles. In an industry notorious for ad hoc and irregular wage payments to staff, the efficiency introduced to payroll has helped the company improve its retention of staff.
The outsourcing of payroll meant that Isbester has handed the last of his company's non-core functions to specialists, including cleaning, graphic design and accounting.
