What is an Agent of Record (AOR)?
An Agent of Record (AOR) is a service through which businesses can hire and manage independent contractors while ensuring the strictest adherence to legal and regulatory requirements.
An AOR service provides guidance on compliance with labor laws and tax regulations, as well as services to verify worker classification, streamline onboarding processes, manage payment processing, mitigate risks associated with contractor relationships, and maintain comprehensive records for auditing purposes.
What’s the difference between EOR and AOR?
An Employer of Record is a solution designed for businesses that are looking to hire a full-time employee in a country in which they don’t have a legal entity.
An Agent of Record is a solution designed for businesses that are looking to hire an independent contractor while mitigating misclassification risks and guaranteeing strict adherence to local laws.
Why should I hire through an AOR?
An AOR brings expertise in navigating the complex landscape of labor laws, tax regulations, and compliance requirements in each country, safeguarding your company from potential liabilities and reducing the risk of legal complications and misclassification issues.
Additionally, an AOR streamlines contractor management, handling documentation and verification, payment processing, and record-keeping, thereby alleviating the administrative burden on your end.