For companies paying contractors abroad · Employer of record
You can convert international contractors to employees without opening a company in each country: an employer of record employs them, runs payroll and handles local obligations while your team keeps directing the work. Send your contractor list and we tell you in writing who should move, what it costs and when.
Reviewed by the XCAILE hiring and employment team, October 8, 2026
Already have people working across countries? Send the countries, team size and current setup. XCAILE compares the employment, contractor and outsourcing options, then scopes the agreements, payroll and transition responsibilities.
Get the country model comparison, cost inputs and transition responsibilities in writing.
Free contractor risk check: we review how your current contractors are engaged and move them to a compliant setup if needed. Your written cost breakdown within 24 hours once we have the country, role and salary range.
We never share your details.
Because a team that started as a few contractors often grows into people who work full time, on your schedule, inside your tools. When the work looks like employment, local rules in many countries can treat it as employment, and the company paying them carries the exposure: back contributions, benefits and penalties.
Moving them to a compliant setup protects the company, keeps the people you already trained, and makes your contracts ready for investors, audits and enterprise customers.
Every month a contractor works like an employee adds to the period a local authority can look back on. Waiting also risks losing good people to employers that offer local benefits. The fix is simpler before you scale the team further.
How many people, in which countries, what they do and how they are engaged today. Two lines is enough to start.
Which setup fits each country and role, the cost components and who handles each step of the move.
Same people, same work. We issue the local contracts, run payroll and benefits, and handle the local obligations.
| Question | Employer of record (EOR) | Agent of record (AOR) |
|---|---|---|
| Best when | The person works full time, on your schedule, as part of your team | The person runs independent, defined projects for you |
| Legal relationship | Local employment contract with the EOR | Compliant independent contract, reviewed and paid by the AOR |
| Benefits and contributions | Paid as local law requires | Handled by the contractor |
| Who directs the work | You | The contractor, against agreed deliverables |
Not sure which fits each person? That is exactly what the written review answers. Read the full EOR vs AOR comparison.
Most existing teams fit one of four setups. The right one depends on the country and on how each person actually works, so we confirm it per country in writing. Changing the provider does not by itself fix a contractor who already works like an employee; the setup has to match the real working relationship.
| Setup | Fits when | Contracts with the people | Directs the work | Pays them | Local obligations |
|---|---|---|---|---|---|
| Employer of record (EOR) | People work for you full time and follow your direction | XCAILE, through a local employment contract | You | XCAILE runs payroll, benefits and employer contributions | XCAILE, as the legal employer |
| Agent of record (AOR / COR) | Genuinely independent contractors with defined deliverables | XCAILE, through a compliant contractor agreement | The contractor, against agreed deliverables | XCAILE pays the contractor; the contractor handles own taxes | Shared as the agreement sets out |
| Managed outsourcing or SOW | You want agreed work delivered, not just people employed | XCAILE employs or engages the team | XCAILE manages delivery against the agreed scope | XCAILE | XCAILE |
| Payroll for your own company | You already have, or will open, your own entity in that country | Your company | You | XCAILE runs payroll for your entity | Your company, with XCAILE support |
Every component appears as its own line, so you can compare like for like. No rate is assumed before we have your countries, roles and pay.
Start with us as the employer. Move your people to your own company later, with no penalty. Many companies start with an employer of record, then open their own entity once a country has enough people.
Check the rules for a specific country in our country hiring guides, or compare contractor vs employee.
Yes. An employer of record (EOR) becomes the legal employer in each country, runs payroll, benefits and local obligations, and your team keeps directing the work. You keep the same people.
An employer of record is a company that legally employs people on your behalf in a country where you have no entity. It issues the local contract, pays salary and employer contributions, and handles the employment obligations, while you manage the daily work.
Not always. Some people are correctly engaged as independent contractors. We review how each person works and tell you in writing who should move to employment and who can stay a contractor through an agent of record (AOR).
Yes. We work in 150+ countries, and hire in all 33 countries of latin america and the caribbean. One partner, one contract and one written plan covers every country on your list.
Start with us as the employer. Move your people to your own company later, with no penalty.
Month to month. No minimum term.
It depends on how each group works. EOR suits people who work for you full time and follow your direction. AOR suits genuinely independent contractors with defined deliverables. Managed outsourcing or a statement of work suits work where XCAILE takes responsibility for agreed outcomes. We compare the options for each country and role in writing; the right setup is confirmed per country, not assumed.
Yes. XCAILE employs or engages the people you already have, runs payroll and handles the agreed local obligations, country by country, under one agreement in 150+ countries. Your team keeps directing the work.
The countries, the number of people and their roles, how each person is engaged today, current pay with its currency and period, and your target timing. Two lines are enough to start; we ask for the rest after the first reply.
Your team, the countries and how people are engaged today. We reply within 1 business hour with the first model review and what we need to price the move.
We never share your details.