Clients
often ask, Is it worth the admin hassle to have contractors? Followed
by, What benefit is there to employing 1099ers as a strategy? Good
questions for sure, but not a lot of resources out there providing answers.
Why? Because this labor pool has sort of crept up on us as a viable,
resourceful and adaptable workforce segment.

1099ers offer flexibility to a workforce and, often, bring with
them specific talent that a company may not need full time or be able to otherwise
afford. Given workplace shifts and employee work preferences, some level of
flexibility has become almost necessary for companies to keep their staff
motivated. And the contractor models is attractive to nearly every demographic,
even the most senior among us.

Mark Davis, CEO/co-founder of Kohort,
wrote
a post about the elder set:

Finding
a balance between people who can offer fresh perspectives and those who can
leverage their experience is important.  For many, however, hiring a
seasoned executive into a full-time biz dev role isn’t an option as executives
can command higher salaries than your credit cards or seed round budget will
support.  A cost effective solution to this is to hire these veterans on a
part-time basis, in which veterans provide some coaching and open some doors. 
Like any other resource experienced human capital can be shared across
companies.

It is in this context that he mentions 1099 Partners,
a firm that places seasoned executives who no longer seek full time employment
but want to stay active in the workplace. It was started by a mutual friend,
Peter Kestenbaum.

So adding 1099ers gets you access to senior-level talent you might
not otherwise have access to. What else?

·        
Cost-efficiency:
Incorporating 1099ers into a workforce saves money. Utilizing a
1099er on an as-needed basis reduces costs associated with the hiring process.
It is almost the only option for a small to mid-size company to grow initially.
They can be brought into the fold on an as-needed basis so companies can avoid
the seasonal downtime that exists among some positions.

·        
Time
savings: Because 1099ers can respond immediately to requests for their specific
services, companies aren’t involved in time-consuming employee searches that
can literally take months. Companies also save time by eliminating the need for
constant recruiting and training.

·        
Innovation:
1099ers can bring new perspective and fresh ideas to an
organization because they are specialized in many aspects of a number of
businesses. They provide a wealth of experience along with an innovative,
almost entrepreneurial, mindset. This differing view can spur innovation as
well as the implementation of more cost- and time-efficient practices.

While there are many benefits to employing 1099 workers, make sure
you are well-versed on the legalities of this type of employment. We will touch
on that subject in an upcoming post.