Industry Analysis & Industry Trends
The Payroll and Other Office Administrative Services industry has benefited from higher demand for outsourced business services over the past five years. Demand has increased due to the perceived benefits of outsourcing ancillary or back office functions to specialist providers, which primarily involve reducing costs as it tends to be more expensive to perform these functions in-house. The industry comprises many small businesses that tend to service narrow regional markets. Larger players like ADP often service larger companies, but employ a small number of people due to software automation. The industry heavily relies on growth in downstream demand from markets such as financial and professional services firms... purchase to read more
Industry Report - Starting a New Business Chapter
Barriers to entry for the industry are low, largely due to the high level of fragmentation and the large number of small enterprises. The majority of operators have fewer than 20 employees, and often focus on serving small to medium enterprises. This means smaller potential players are not restricted from entering the market due to the presence of well-established industry firms. At the other end of the scale, large organisations use the services of large industry players such as Automatic Data Processing Limited, due to the breadth of services they offer.
Due to the low level of capital investment required in industry activities, potential entrants primarily require relevant software and skilled labour to start up operations... purchase to read more