Article
9 min read
Easy Visa Sponsorship for Exploring New International Markets
Immigration
Global expansion
Author
Jemima Owen-Jones
Published
August 22, 2024
Last Update
September 23, 2024
Table of Contents
What is a worker visa?
What is an EOR-sponsored visa?
Who can benefit from visa sponsorship in international markets?
Employer of record use cases
Unlock the power of EOR-backed visas with Deel
Key takeaways
- EOR-sponsored visas are an effective strategy for reducing risk when testing new markets.
- Employers of record sponsors serve as a fast-track solution for acquiring visas, handling immigration compliance, and HR admin.
- Partnering with a payroll and HR platform offering EOR visa services unlocks immense potential for entering new markets and deploying international talent.
Acquiring visa sponsorship in international markets is a major hurdle for employees and employers alike. Crossing borders for business is no small feat, whether you’re looking to hire international talent, export goods, or expand your presence into new markets.
The reason is simple: Operating in multiple jurisdictions means you must navigate multiple sets of laws and regulations. But what if you didn’t have to?
Using an EOR (or Employer of Record) visa sponsor is a quicker route through the work visa process, unlocking international opportunities for companies of all sizes. In this article, we will explain what an EOR-sponsored visa is, who can benefit from using one, and invaluable strategies for expanding your company on a global scale.
What is a worker visa?
Worker visas are legally binding contracts issued by a government body that permits foreign nationals to live and work in their country. Unlike tourism visas, employment visas tend to be more complicated and expensive. To acquire a work visa for a worker, you generally need:
- A local entity in the destination country
- The correct sponsorship infrastructure and licensing
- A valid reason why your company needs to hire internationally
- A full-time job offer and job description
- A plan for how long the worker will remain in the country
- Other visa requirements like tax documents and background checks
- Travel and work authorization documents for the worker
Companies looking to expand into new markets can expedite this process by acquiring visas for talent through an employer of record in a target country. Rather than starting from scratch by opening a local entity, hiring local employees, establishing payroll infrastructure, and complying with local laws and regulations, current employees can be sent to investigate the market via EOR-sponsored work visas.
Simply put, the EOR sponsor “hires” employees to satisfy local employment requirements and sponsors their work visas on your behalf. They then handle administrative duties like work contracts, payroll, and taxes for those personnel according to local laws and regulations. This approach greatly reduces the time and financial risk of expanding into a market that may not be a good fit.
Types of visas
There are many different visa options depending on your target country. In the US, for example, there are over a dozen different categories of employment-based visas. Other common examples include student visas, tourism or holiday visas, and family-sponsorship visas.
For a more complete list of United States visas, see the US Department of State - Bureau of Consular Affairs.
You need to have the right sponsorship infrastructure to sponsor a visa. You need to be audited, you need to keep up with HR and compliance, you need to report taxes on it at the end of the year (if you’re a US company), so the ability to just being able to hire anyone anywhere without having to set up infrastructure is a game changer for our companies.
—Alex Bouaziz,
Co-founder and CEO, Deel
What is an EOR-sponsored visa?
Essentially, an employer of record is a third-party entity that takes on the burden of HR, payroll, and legal compliance for an employee, in lieu of the company that hired them. In other words, the EOR sponsor is the legal employer and sponsor when acquiring the visa and handles many of the legal aspects for you.
This can be invaluable for small businesses that want to deploy talent globally but lack the resources to form local entities and handle visa applications internally. Your EOR sponsor will handle the complicated stuff so you can operate seamlessly across borders.
Is an EOR-sponsored visa legal?
Yes! While the concept may sound like circumventing the law, it is actually quite the opposite. An EOR sponsor ensures all of the T’s are crossed and I’s are dotted so the visa process goes smoothly for everyone. The last thing a potential employer or employee wants is a mistake on a form that leads to a visa being denied or career opportunities being cut short. Nor does the government want that.
Your EOR serves as a middleman between your company and the host country, similar to legal counsel. An employer on record is familiar with the local laws and regulations to ensure frictionless business operation for international workers. They should be experts on the entire process and able to answer any questions you may have.
Losing out on a candidate or offer stage because we can't support their visa or immigration needs feels really tough. So that was a really good one for us to get over the line because he’s joined and is great.
—Leanne Schofield,
Head of People, FORM3
Who can benefit from visa sponsorship in international markets?
Accessing untapped potential in foreign markets is one of the most impactful ways a company can expand. EOR-backed visas are especially valuable to startups and small businesses that may not have the resources to globalize on their own. With EOR visa sponsorship, immigrating or emigrating skilled workers is easy, regardless of your growth stage.
Beyond the strategy of sending employees to foreign markets via an EOR-sponsored employment visa, employers on record can also be used to acquire visas when hiring international talent. This allows your company to hire talent from job markets anywhere in the world, whether they remain remote workers in their home nation or immigrate with permanent residency.
👉 See how Deel streamlined employee relocation for Revolut.
An employer on record not only streamlines the visa sponsorship process but also handles complex compliance issues regarding payroll, taxes, and other aspects of employment regulations for visa holders. For example, Deel has the tools to support payroll anywhere in the world, including currency conversion and complying with all local and foreign laws.
“Deel saves us around two to four months to hire and relocate in any country where we don’t own an entity. We’ve been able to hire more than 150 people and have also relocated more than 10 employees.
—Luka Besling,
HR Manager, Revolut
How to find an employer of record visa sponsor?
Choosing who to partner with as an EOR sponsor is an important decision. You will likely be bound to this company for the length of any active visas they have assisted with, for better or worse. Of course, you want to hire a professional and established company you trust to comply with all laws and regulations. But beyond reading their reviews, you need to check if they offer the array of services you need and have a presence in the right regions.
For example, if a US-based company is looking to expand into the Australian market, it would ideally partner with an employer of record with a presence in both the US and Australia. This way the EOR backer is familiar with the laws in both countries and has the infrastructure to handle payroll and taxes with ease.
Additionally, you want a sponsor that provides the services you are interested in now and may be interested in in the future. These may include:
- Emigration visas for sending your employees to other regions
- Immigration visas for bringing international talent to you
- International payroll and HR administration
- Legal compliance and counsel
In short, make sure your EOR sponsor is dependable, located in the regions you want to expand to or hire from, and offers the services you need with scalability for the future.
Deel’s hands-on-support, its speed to get things done and its global presence are what sets them apart. We use Deel for support with visas, onboarding, paying our international teams and providing them with localized benefits.
—Chantal Madi,
Head of People Operations, ImmutableX
Employer of record use cases
Let’s take a closer look at the services and benefits of using an EOR.
Immigrating workers
Employment visas are often used to enable foreign employees to immigrate to another country for work. Employers of record make this process much easier, saving local companies time and potentially costly mistakes by acting as the legal employer.
The EOR will handle aspects of HR, payroll, and the visa paperwork for that employee. In effect, you can treat that employee like a local employee, letting your EOR deal with compliance.
Expanding your global presence
Establishing employees in a foreign country is a costly and complex process. Learning a new set of business laws and hiring local talent is a huge investment, and the risks of the market not being a good fit are high.
For example, in 1997, Walmart tried to break into the German market by acquiring the Interspar and Wertkauf chains. Shockingly, the 85 German stores closed within a decade, costing Walmart an estimated one billion dollars. As one of the biggest markets in the European Union, this was unexpected.
Rather than investing heavily into a new market from scratch, sending employer-sponsored visa workers to assess the region’s potential is a safer bet. This tactic has significantly lower risk, and you have the advantage of sending experienced employees who are intimately familiar with your products, services, and business model. They can use their time in-country to experience the market first-hand and build relationships that will make the process easier if you decide to go further.
👉 Read how Deel helped SiteMinder expand globally while remaining compliant.
Outsourcing HR and compliance
Outside of visas, many EOR companies also simply handle local human resources duties. For example, Deel will help you handle payroll for your local talent or a remote employer on the opposite side of the planet.
Partnering with a payroll, HR, and compliance solution that offers EOR services provides scalability for future growth. EOR-sponsored visas are simply another category of service under the Deel umbrella.
We make mobility and immigration simple, transparent, and fun. We want our clients to be able to outsource the complexity to Deel and let Deel Immigration help them expand globally quickly and compliantly.
—Kamylle Mourão,
Senior Manager, Global Mobility, Deel
Unlock the power of EOR-backed visas with Deel
There are countless HR, payroll, and compliance platforms to choose from and plenty of EOR providers on the market. But only one global people platform consolidates everything under one roof: Deel.
Maybe you aren’t looking to expand into international markets at the moment, but you never know what the future might hold. Partnering with a provider that has these options is like having an ace up your sleeve in the future.
If you are actively looking to expand beyond your borders, Deel has over 100 entities worldwide, offering unparalleled reach for your business. Whether you’re sending workers overseas or recruiting employees to your home country, Deel makes the process effortless for everyone involved.
If you want to grow your business anywhere in the world, partnering with Deel provides a limitless opportunity without borders or a ceiling. EOR-sponsored visas allow for the globalization of businesses of all sizes, offering anyone the power of an international company.
Learn more about Deel’s visa and immigration services, or book 30 minutes with a product expert to get your questions answered.
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About the author
Jemima is a nomadic writer, journalist, and digital marketer with a decade of experience crafting compelling B2B content for a global audience. She is a strong advocate for equal opportunities and is dedicated to shaping the future of work. At Deel, she specializes in thought-leadership content covering global mobility, cross-border compliance, and workplace culture topics.