Acumen International stands with Ukraine and the country's people. Join us

Employ Candidates Compliantly in Uganda

Get Express Quote
  1. Overview: Uganda
  2. Global PEO and Payroll
  3. Global HR Compliance
  4. Work permit for hiring expats via PEO
  5. Expand without a company set up
  6. Contractor vs. employee: which is better?
Other counrtries

Global Employer of Record (EOR) in Uganda

What Is a Global Employer of Record?

A Global Employment of Record (GEOR) is a legal entity that removes employers’ employment burden. Global EORs are a way to manage your international workforce and comply with local labour laws and regulations. They can be used for local and remote employees, but they’re especially helpful if you have employees in multiple countries.

A Global Employer of Record (EOR) is an entity that provides payroll, benefits and tax reporting services for your company so that you can remain the actual employer and have full control of your business processes. You’re still liable for your employees’ employment rights, but the EOR allows you to concentrate on running your business. At the same time, they take care of all legal obligations related to employment law compliance and payroll processing.

The main advantage of using a global EOR is that it removes liability from your business. If something goes wrong with one of your employees, such as someone resigning without notice or being fired for misconduct, it will be up to the global EOR to deal with any claims made by that employee against their employer.

Get Express Quote

When You Should Use an Employer of Record

Organizations looking to expand internationally often face many challenges. One of the biggest challenges is finding a way to do so quickly and efficiently without sacrificing quality. In that case, a global EOR provider can be beneficial. A global Employer of Record provider specialises in helping organisations with their international expansion efforts. They have the knowledge and expertise necessary to help your organisation grow quickly and effectively. Here are some common situations where organisations like yours can turn to an EOR provider for assistance.

1. Using Global EORs to Explore and Evaluate International Markets

EORs are a great way to test the readiness of an international market for your products or services. Hiring workers in target countries allow you to get a feel for the market without committing time and resources to set up a local entity. This is a great way to gauge interest and potential demand before making a significant investment.

2. Avoid  Independent Contractor Non-compliance and Misclassification Issues

If you plan to grow your business by hiring international contractors, you could be at risk of violating employment and tax laws. An EOR can enhance compliance by hiring contractors on your behalf and following all local in-country labour requirements.

3. Quickly Enter New Markets without Overseas Entity Set-Up with GEO

Organizations looking to expand their business into new markets may find that establishing a new entity is the best course of action. However, setting up a new entity can be lengthy and complex. With an EOR (Employer of Record), businesses can have workers operational in the new country within weeks while your organization does the work of setting up the new entity in parallel.

4. A Global EOR Can Support Your M&A Processes

When an organisation acquires a workforce in a new country, the contracted workforce will often be expected to operate in a different jurisdiction with different local laws and tax and compliance regulations. In the business world, where time and cost are critical factors, it is essential to have a reliable and experienced EOR partner to facilitate and expedite your business acquisitions.

Get Express Quote

9 Global Employment Challenges to Consider

If you’re thinking about expanding your operations to a global level, you’ll want to consider all the details that go into that decision. That includes everything from choosing the most cost-effective country and the right entity type to preparing for the challenges of doing business across borders. Choosing a location that works with your overall strategy and offers lower taxes could be one way to help improve profitability.

As you prepare to expand internationally, it’s crucial to understand how each factor impacts the overall success of your business. Here are some global expansion challenges:

  1. Every country in the world has its own set of unique laws for businesses.
  2. The legislative and regulatory landscape is ever-evolving. Keeping track of changes is cumbersome.
  3. Global HR Compliance challenges
  4. Need to understand and keep track of ever-evolving local labor laws and tax regulations across multiple jurisdictions
  5. Need to understand the local labor market
  6. Need to understand local business practices pertinent to employment
  7. Need to adhere to the company’s global employment policies
  8. Need to understand local competition and benchmark against standard business practices
  9. Working with different languages, time zones, customs, and cultures.

No matter which countries you expand to or what type of operation you open, there are some significant issues you will always have to deal with.

Global expansion decisions come with a lot of moving parts. The decision to expand internationally can significantly impact your business, so it’s essential to make sure you handle it correctly.

Acumen International Complete Global EOR Solution

Acumen International is a leading provider of global HR services, offering secure and efficient solutions for businesses that need to manage international payroll, HR & benefits administration. Our full-service management solutions are tailored to each client’s needs and can include everything from legal talent employment to benefits management and compliance to payroll and taxation.

  1. Processing Immigration requirements
  2. Visa applications & extensions
  3. Work permit sponsorships 
  4. Streamline onboarding, benefits, payroll, PTO
  5. Local labour law compliance
  6. Audit-proof compliance requirements
  7. Employee benefits management
  8. Handling employment contracts, terminations, and compensation
  9. Processing medical insurances and benefits
  10. Payroll, including year-end tax statements 
  11. Relocation services & housing  
  12. Benefit management 
  13. Special needs or requirements  
  14. Multi-country employment without limitations 
  15. Handling contract workers and ex-pat workforce management
  16. Compliant employment or termination within 72 hours.

Get Express Quote

EOR vs PEO: What Is the Difference?

Hiring international workers can be a complicated and daunting task for any business. An EOR, in particular, can be a valuable asset to your company, taking on the administrative duties for a portion f your international workforce management.

Partnering with a global EOR can free your HR team to focus on more important tasks and ensure that all of your employees are taken care of.  Seasonal workers, contractors, project-specific hires, and foreign employees can all be handled by an EOR, making the workload lighter for your HR Department.

Several compliance and payroll issues must be considered when hiring staff from overseas. One way to overcome these difficulties is to work with an employment partner, such as an employer of record (EOR) or professional employer organization (PEO). These organizations can help businesses navigate the complexities of international law and make global employment a much easier process.

Business owners looking to expand globally should be aware of two types of organisations: PEO (Professional Employment Organization) and EOR (Employer of Record). While they may perform similar functions, it is essential to understand their differences to choose the right one for your company. Knowing which organization is right for your business can ensure you get the best results.

EOR (Employer of Record) vs. PEO (Professional Employment Organization) 

EOR (Employer of Record) PEO (Professional Employment Organization)
Serves as the legal employer Serves as a co-employer
Assumes all legal responsibilities and liabilities  Shares legal responsibilities and liabilities
Can take over a portion of HR functions Can take over the entire HR function
Can be used for a part of the workforce Can be used for the entire workforce
Allows companies to expand globally without setting up e local business entity Only works with clients that have established entities in all countries where they have employees.
Handles payment based on payment terms (provides payroll funding) Requires payment before payroll (no payroll funding)
Takes care of employee insurance The client needs to arrange insurance for payroll employees

Global EOR Helps Test Foreign Markets without Local Incorporation

As a business owner, you may feel overwhelmed by the tax implications of expanding your business overseas. However, new ideas exist to reduce complexity and ease the burden on busy entrepreneurs. In this article, we’ll explore some of the best ways to reduce the complexity of tax planning for international expansion.

If you’re thinking about using a Global Employer of Record (EOR) talent engagement model for your business, it’s becoming increasingly popular. Here’s how it works: a third-party company operates a local entity in each jurisdiction where it offers services. This can be a great way to comply with various laws and regulations.

Here’s how the Employer of Record arrangement works. A new business owner approaches a global EOR company with the intent of hiring a remote worker based in a different jurisdiction. Rather than the business owner having to establish a new company or register a branch in Uganda, the employee can be employed by our local EOR company in Uganda. All attendant costs associated with this arrangement are then charged to the client company for a fee. This can be a more efficient and cost-effective way of doing business for both the employer and the employee. Many start-ups like this idea because it gives them the flexibility to focus on getting their business up and running.

Get Express Quote

Save Up to 80% of Employment Management Cost with a Global EOR in Uganda

Average Cost & Time Our Solution *
Time to Market 10+ weeks 72 hours
Legal Advisors Fees $ 10 000 + ………….
Official Employment & Benefits $ 20 000 + ………….
Incorporation & Liquidation Costs $ 11 000 + ………….
Bank Account Setup $ 2 000 + ………….
Maintenance costs and in-house staff to manage the foreign entity, payroll set up, and administration. $ 25 000+ ………….
The approximate total cost of new market entry** $ 74 000 + $ 15 000

* Per one Employee

** Costs vary from country to country

Global Employment Services

A Global Employer of Record Can Handle Tax Reporting in Uganda

The Global Employer of Record is a risk-free and compliant tax reporting solution allowing employers to comply with tax obligations in multiple local jurisdictions. The Employer of Record is a strategic alternative to setting up local entities and paying local employment taxes and charges (payroll tax, social security contributions) in multiple countries worldwide. The onboarding of your international employees via EOR engagement takes simple steps; in most cases, it can be achieved within a couple of days, with no local entity setup costs and compliance risks.

Payroll Administration in Uganda

The Global Employer of Record processes the payroll across your multiple jurisdictions, which includes managing necessary tax withholdings and deductions, mandatory and voluntary benefits administration, expense reimbursements, and PTO (maternity, paternity, and sick leaves) entitlements to ensure full compliance with tax laws in Uganda and company regulations. The payment method and cycle will follow the client company’s requirements to comply with  Uganda ’s legal regulations.

Fully Compliant Social Contributions via Global EOR in Uganda

Compliance with payroll and social contributions laws in Uganda is complex and can be affected by changes in the law. The Global Employer of Record ensures 100% compliance as an international employment expert. Some tax issues, such as how to treat options granted to foreign employees, are particularly challenging. As an experienced compliance expert, an Employer of Record understands the ins and outs of payroll and social contributions law, leaving them immune to any non-compliance issues.

Spotlight on Uganda

  • Location: Uganda is a landlocked country in East Africa.
  • Capital: Uganda’s capital city is Kampala.
  • Population: Uganda has a population of about 44,758 million and an area of 236 040 sq. km.
  • Labor force: The labor force participation rate in Uganda is  about 70 percent.
  • Currency: The national currency of Uganda is Ugandan shilling.
  • Holidays: Uganda has 14 major public holidays: New Year’s Day, Liberation Day, Remembrance of Archbishop Janani Luwum, International Women’s Day, Good Friday, Easter Monday, Labour Day, Martyrs’ Day, Heroes Day, Eid al-Fitr (end of Ramadan), Eid al-Adha (Feast of the Sacrifice), Independence Day, Christmas Day, Boxing Day.
Ready to Get Started?
Get Express Quote