Payroll is one of those critical functions and task that is complicated and consumes a lot of time,especially for startups and small business. As if it is carried out poorly, it can put your business in a world of hurt. Large companies may have multiple staffs dedicated to taking care of payroll processing, but SMEs or companies may find it cost effective and efficient to hire an outside payroll processing company. Outsourcing payroll functions lessens the time employees spend calculating payroll, preparing checks, determining tax obligation and providing management reports.