UMBRELLA SERVICES

What does “Umbrella Company” do in Turkey?

An Umbrella Company offers PEO services to its clients who need to outsource their administrative works. (The PEO means Professional Employer Organizations.)

While the employer company takes the advantage of not being involved in the legal and administrative tasks; the employee, on the other hand, enjoys the benefits of salaried status, while retaining the flexibility of the self-employed worker. This status also allows the company to carry out an activity independently without having to create a legal structure.

For companies hire employees via an umbrella company, this is a simple and effective springboard for testing their economic activity in a new, risk-free market before undertaking implementation or development missions. It is also used to test the relevance of the market as well as the feasibility and success of an idea or a product.

The Umbrella Company Services in Turkey involve
three actors:

  • The client company which uses a workforce which has the capacity to carry out
    missions on the Turkish territory and which signs a contract of performance with
    the company of Umbrella Services.
  • The payroll company, here it’s us, ERAI Turkey, which intervenes by having the
    employee sign an employment contract and by guaranteeing the client company
    a good performance of their activities on the spot.
  • The employee who has signed a contract with the payroll company,
    and who becomes his employer (through an employment contract).

What are the benefits of "Umbrella Company"?

Flexibility

  • Recruit more effectively by adapting the workforce according to the needs of the company
  • Outsourcing non-core tasks to the core of the market …
  • Respond to a temporary need or a peak of activity
  • Hire qualified personnel (sales expert, engineer, area manager …)

Easy Management

  • Security in the management to the employee
  • Takeover of the administrative tasks by the payroll company (expenses, car rental…)

More Control

  • Small financial investment and minimized risks
  • To benefit from a single interlocutor (here the payroll company ERAI Turkey) for your activities in Turkey

For companies to hire employees via an umbrella company, this is a simple and effective springboard for testing their economic activity in a new, risk-free market before undertaking implementation or development missions. It is also used to test the relevance of the market as well as the feasibility and success of an idea or a product.