People
Employer of record
Also known as EOR
An employer of record is a company that legally employs staff in a country on another company's behalf, handling local payroll, tax withholding, benefits and employment compliance. An EOR allows hiring in a country where the client has no legal entity.
In plain terms: A company that employs your team member in their country so you do not have to set up there.
Why it matters
The clean answer to hiring one person abroad. It costs meaningfully more than paying a contractor but removes both misclassification risk under local law and the possibility of creating a permanent establishment.
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