The Magic of Low Multiple + Growth

And to your point that peos one of the reasons that they are sought is to save on health insurance which I think is kind of the legacy PEO value prop which was will we the PEO will aggregate all of these our client businesses and to get. To get group purchasing power basically and negotiate better rates from let's say a health. Health insurance provider.

But it has a. The PEO model and value prop has evolved to what we just heard from you where they're essentially an outsourced HR function. They're doing payroll as well. They're doing benefits management 401k time or out of office tracking.

So it's, it's. Yeah it's. It's really all of the above. Yeah.

Anytime I Absolutely right. All that's all the above is true. Anytime I have a question, I reach out to our contact at Aspen and we get very, very prompt responses.

Anytime there's something sticky like oh, an employee is requesting. I'm just making this up but hypothetically an employee is requesting a medical exception or there's a workers comp concern, you know, maybe someone is got injured. Not that that's happened, but it could happen, right?

Or there's a. We did a layoff or termination. I'm always consulting them on any type of people decisions that are significant like that they can consult on how to protect Dan hard how to be fair to the employees. You know, all of those things.

It's like if I didn't have that I would have to make my best guess. I'd have to go online and research employment law. They do all the tax withholdings and everything for us including state, you know, unemployment tax services.

We don't even have an active account with the state anymore. It's fantastic. It's just easy.

And David, when you look shopped around for a PEO do they all essentially offer a similar basket of services and it comes down to kind of price and feel and service or are the offer. Do the offerings vary a lot from peo to peo?

My impression was that there are certainly like higher end, more fulfilled, more high priced, higher featured ones and vice versa. But my impression is that most of the stuff I was looking for is going to be covered by most peos. Ultimately it came down to like reputation and trust.

For me, there was another peo I won't name. I actually went to high school with the sales manager, so I had a personal connection there. And so I was working with one of his sales reps on the deal and I ultimately just couldn't get behind what I was reading online about this peo, unfortunately.