10 Ways Fractional HR Can Boost Your Profits in 2024

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Can investing in fractional HR services really elevate your business in multiple ways?

You might ask yourself this as you juggle a dozen HR-related tasks… or, maybe as you delegate them to an unlucky, non-HR employee…

(Did we say that out loud? We meant to say, ‘You delegate them to a member of your team who is unqualified but willing/excited to help with HR.’…)

Let’s cut to the chase: DIY HR can harm your business and stunt your growth in either scenario.

HR strategies can help companies achieve wins all across the board, but you’ll need an expert to help you get there. The solution? Well, as we always say, the future is fractional.

With modern HR strategies and the help of a seasoned fractional HR expert, businesses like yours can thrive as you scale.

A chart showing an increase in profits is off to the right. On the left, a distorted image of 3 business people high-fiving.

As we near the halfway point of 2024, it’s time to rethink how we manage human resources and how you, as a startup or small business leader, navigate your HR challenges and implement strategies.

Today, we’re sharing the secret sauce – 10 ways fractional HR can streamline your operations, benefit you and your team, and significantly boost your profits.

Ready to dive in?

What is Fractional HR?

In layman’s terms, Fractional HR means you get a fraction of your HR Professional’s time each week, for a fraction of the cost of making an internal HR hire.

With our fractional HR services, you’ll have a senior HR expert (with at least 10 years of experience, woohoo!) in your corner, following a battle-tested roadmap and accomplishing a TON in less time. They’ll get to know your HR landscape and come to you with an action plan.

Imagine what you could accomplish at your business if you only spent 1 hour a week focusing on HR…

At Castle HR, we require one hour each week to touch base with you. Then, your HR Professional will be off to the races designing and implementing your custom employee handbook, retention strategies, talent acquisition playbook, and more. You’ll be kept in the loop and can rest assured that your HR tasks have been delegated to a capable expert.

Let’s get one thing straight – other outsourced HR options with a cold call centre vibe (and loads of templates) are what we’d consider less impactful and ‘old school.’

(Dare we even say medieval?)

…You won’t find that here.  We’re focused on proactively helping you protect your business, enhance your team, and meet your growth goals.

“When you get the right people in the right seats [at your business], it’s hard NOT to be successful!” –Tom Nickalls, CEO at Castle HR

10 Ways Fractional HR Can Boost Your Profits in 2024

There are MANY ways that fractional HR can boost profits and positively impact your business.

Let’s explore 10 of them:

1. On-Demand Expertise

One of the most apparent benefits of fractional HR is that it brings top-tier HR expertise to your table without the cost of hiring a full-time executive…or a lawyer.

It’s like having a senior HR pro in your back pocket– saving you big bucks, offering unlimited HR advice, and working quickly to establish and implement your HR strategies within a short time (which means more money sooner for your business).

2. Only Hire All-Stars

Fractional HR helps attract all-stars who are eager to join your team and stay for the long haul. This reduces turnover costs and enhances productivity…ultimately boosting profits as a result!

We teach you how to fish; it’s all about implementing strategies to get the right people in the right seats. If you’re hoping to build a winning team, then it’s time to say goodbye to cookie-cutter recruitment that results in less-than-stellar hires and quick turnover.

Do you know what your current turnover rate is? Click here to find out!

3. Right People, Right Seats

Fractional HR can boost retention and keep your team aligned. Our quarterly modern performance review process focuses on growth and development, directly contributing to a more efficient, engaged, and productive workforce.

Simply put, it’s not just about hiring top performers…it’s about keeping them. If your team members don’t know where they are going internally, they will look externally. (Hello, rising turnover costs and wasted time, goodbye, A-Players…we know you don’t want that!)

Castle HR not only helped us build a better People and Culture based business but also saved us a staggering amount in turnover costs in just one year – the numbers speak for themselves.
Leonard Drimmer, CEO at Property Vista

4. No Expensive Lawyers

Navigating the legal labyrinth of employment laws can be daunting. Fractional HR keeps you compliant, avoiding costly legal pitfalls.

Our team is up-to-speed on all regulations and laws, meaning we can update your policies in real-time. This means less sticky situations…like dealing with expensive lawyers and potential lawsuits.

5. Delegate To Elevate

Your HR strategies should be unique to you AND implemented quickly…so you can earn more money sooner. With fractional HR, your designated HR Professional will provide an action plan and sprints tailored to your needs…and they’ll get to work.

You won’t have to wait years to see results or endure any ‘trial and error’ sessions like you would with an inexperienced hire. At Castle HR, we use a scorecard to see how we impact your company and bring a battle-tested ‘modern HR’ roadmap to the table.

6. Automation: The Key To Efficiency

Nobody wants to track vacation on an Excel Spreadsheet or stress over disorganization! When daily tasks are simplified, your team feels organized; you’ll only boost efficiency, team morale, and profits. 

Automation can make your life and your team’s lives MUCH easier. Fractional HR can help integrate your HR tech stack seamlessly.

7. Happy Employees = Profitable Business

Piggybacking off of point #6 above…happy employees work harder. This leads to happy customers/clients, which means a profit boost for your business. 

From onboarding to offboarding, creating job descriptions to drafting remote work policies (and everything in between), we can ensure every HR touchpoint is positive and strive to enhance the employee experience.

8. Make Data-Driven Decisions

No more guesswork – that can lead to financial losses!
Our HR data and analytics provide insights into workforce trends, helping you make informed decisions that drive profitability.

9. Future-Proof Your Business

As your business evolves, so do your HR needs. Fractional HR adapts, providing scalable solutions that grow with you. 

Whether you hope to grow your business in terms of headcount or profits (or both), we can implement proactive strategies now so you don’t face costly reactivity later. We understand each company’s unique challenges and growth goals.

10. Building a Winning Culture

Culture is the heart of your business. A poor (or toxic) culture = unhappy employees, lots of risk and potential for financial shortcomings.

Fear not –  fractional HR expertise can help you craft a culture that resonates with your values, attracting top talent and driving performance.

When Do You Need Fractional HR Support?

Now that you know how fractional HR can boost your profits, you might be curious about when a business might require fractional HR services.

Businesses with a headcount of 15-75 benefit the most from fractional HR.

This doesn’t mean your business can’t benefit from fractional HR if you fall outside of that range; the easiest way to determine if fractional HR is right for you is to sit down for a (free) chat with our CEO to discuss your HR landscape.

In general, 15-75 tends to be the ‘sweet spot’ where businesses have a product-market fit, and leaders are eager to hand the HR reigns to an expert and focus on running their business and meeting their growth goals (whatever those goals might be).

But, as we mentioned earlier, hiring an internal HR generalist can be expensive, and there probably isn’t enough work on deck to keep them busy full-time when a business is at this stage. This is where fractional HR becomes a fantastic solution.

The bottom line? Fractional HR is more than just a cost-saving measure; it’s a strategic tool that can significantly boost your profits. In 2024, let Castle HR guide you to a more profitable, efficient, and employee-friendly HR strategy. 

Ready for fractional HR to boost your profits? Click HERE!


Castle HR High Five Knights


What is the most significant advantage of choosing fractional HR over a full-time, internal HR hire?

Fractional HR offers the expertise of seasoned HR professionals without the overhead costs of a full-time internal hire with the same experience level. It’s a cost-effective way to access top-tier HR skills tailored to your business needs.

How does fractional HR support talent acquisition and retention?

Our approach to fractional HR involves developing customized talent acquisition strategies that fit your unique company culture and needs. This leads to better employee retention as we focus on hiring the right people and nurturing their growth within your organization.

Can small businesses or startups really benefit from fractional HR?

Absolutely! Fractional HR is particularly beneficial for small businesses and startups that need expert HR guidance but may not have the resources for a full-time HR department. It provides scalable solutions that grow with your business.

How does fractional HR ensure compliance with employment laws?

Our fractional HR services include staying up-to-date with the latest employment laws and regulations, ensuring that your business remains compliant and avoids costly legal issues.

Is fractional HR a solution for me?

If you have a team of (approximately) 15-75, you’re in what we call the ‘sweet spot’ for fractional HR candidacy. We might be the solution if you require HR expertise and would like to implement HR processes and strategies to help your business grow (and protect all that you’ve built) but don’t yet have a senior-level internal HR hire.

Can I still benefit from fractional HR if I have made an internal HR hire?

Yes! If you have hired a Junior HR person, they likely don’t have enough experience to build strategies from the ground up. Our experts bring an HR arsenal and decades of experience – we can supercharge and work with them!

How long can I utilize fractional HR?

Fractional HR isn’t a forever solution. We work with our clients for 12-18 months on average, but everyone is unique…that’s why we don’t do lengthy contracts.

What makes Castle HR’s approach to fractional HR unique?

At Castle HR, we go beyond traditional HR services by following our modern HR roadmap, offering tailored action plans and customized solutions, and utilizing impact scorecards and data-driven strategies.

We focus on proactively enhancing your team, protecting your business, and supporting your growth goals. Our HR experts boast at least 10 years of experience; many have owned businesses and/or have industry-specific experience! You won’t find templates (or junior HR people) here. Curious to learn more? Book a free consultation today!

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