The Best Way to Pay Freelancers and Independent Contractors
November 10, 2020
Looking for the best way to pay independent contractors or pay freelancers? Enterprise payment solutions to reduce your payout costs at scale.
Does your company struggle with the best way to pay independent contractors, gig workers, freelancers and 1099 workers? With up to 35 percent of the U.S. workforce freelancing and up to 57 million gig economy workers nationwide, many companies—particularly large enterprises—need to know how to pay freelancers, gig workers and independent contractors quickly and cost effectively.
Companies like streaming and content-creation platforms are paying a lot of influencers and creators, while other large businesses are managing a high volume of payments to part-time and seasonal contractors. This means more business expenses in the form of ACH and check costs, as well as more staff resources needed to manage payment to this workforce as people they come and go. Far too often, large enterprises deal with outdated, time-consuming and resource-intensive payouts. And, traditional payment methods like cutting and mailing checks or frequent ACH transfers are time-consuming for staff to payout and expensive—especially at high volume. Meanwhile, rather than provide gig workers instant payments and immediate access to their earnings, these outdated payment methods mean many gig workers need to wait as long as three months for their 1099 payments. We get it: In many organizations, especially large ones, change is hard and implementing new systems can be an uphill battle.
That’s why we created Galileo Instant, an easy and cost-effective enterprise payments services for paying independent contractors and wage earners. Galileo Instant enables large enterprises that need to figure out how to pay freelancers to replace legacy payment methods with turnkey 1099 payments that deliver cost savings, drive loyalty with your contractors and create new revenue opportunities. With Galileo Instant, you can set up a white-label debit card program in as few as 14 days.
That means your contractors are both your best brand ambassadors and walking billboards every time they use your branded debit card. It’s the best way to pay independent contractors, because they get paid fast, and they benefit from the convenience, security and safety of payments made to a debit card or mobile wallet, which helps to keep them happy and returning for more work. It benefits your company and team members too.
One of the biggest burdens and overhead costs for large enterprises is often getting people paid. It is time- and resource-intensive. With COVID-19 accelerating the shift to remote work and an already large (and frequently changing) number of remote workers, gig workers and independent contractors, paying independent contractors has become even more burdensome for companies. By using Galileo Instant, your company reduces payout expenses by cutting the cost of checks and ACH payments, saving on time and back-office expenses and you have more visibility and better access to payments tracking. It also gives large enterprises more flexibility in paying large workforces on time, no matter where those workers are. Need one more reason to sign up for Galileo Instant?
It also helps your bottom line by providing incremental income for your business. Each transaction generates interchange revenue, and you earn and keep a share of that revenue. The more your cardholders use their card to make purchases and pay bills, the more interchange revenue you earn. Ready to benefit your bottom line and provide gig workers with immediate access to their earned wages with your own branded payment card?
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