# Fractional HR: Senior People Leadership for SMBs Without the Full-Time Cost

Fractional HR is the engagement of a senior HR leader on a part-time, ongoing basis — typically 8-40 hours per month — to handle strategic people work like compliance, performance, and talent. It's designed for companies that need experienced HR leadership but aren't ready for a full-time CHRO.

## What Fractional HR Covers

A fractional HR leader operates at the strategic level — not the administrative one. The scope typically includes:

- Compliance & employment law
- Compensation & benefits design
- Performance management systems
- Talent strategy & workforce planning
- Employee relations & investigations
- HRIS selection & implementation
- Culture & engagement design
- Org design & leadership development

## Who Fractional HR Is For

Sobo's fractional HR engagements serve SMBs with 10-200 employees and $1M-$100M in revenue, primarily in:

- Manufacturing
- Professional & technical services
- Industrial services
- Construction
- Logistics & distribution

Common pain points we solve:

- Owner burnout from running HR alongside the business
- Leadership gaps slowing growth
- Scaling chaos — hiring outpacing systems
- Compliance exposure from missing HR infrastructure
- Turnover and culture problems with no diagnosis

## Fractional HR vs Alternatives

Choosing the right HR model depends on company stage, scope, and the specific bottleneck.

| Model               | Cost                 | Speed            | Scope                          | Best For                      |
|---------------------|----------------------|-------------------|-------------------------------|-------------------------------|
| Fractional HR       | $2K-$10K/mo          | Days              | Strategic + tactical           | SMBs 10-200 employees         |
| Full-Time CHRO      | $135K-$205K/yr       | 3-6 months        | All HR strategy + ops         | 200+ employees                |
| PEO                 | $1K-$2K/employee/yr  | Weeks             | Payroll, benefits, compliance admin | Companies needing benefits scale|
| HR Consultant       | $5K-$25K project     | Weeks             | Single project                 | One-off audits or builds      |

## How Sobo's Fractional HR Engagement Works

### 1\. Diagnose

Run Sobo's free diagnostic. The engine reads your actual people data to identify the specific HR bottleneck.

### 2\. AI Match

Get matched to a vetted fractional HR leader whose track record fits your diagnosis — not a generalist.

### 3\. Intro Calls

Meet your matched leader within 48-72 hours. Confirm scope, hours, and engagement structure.

### 4\. Engage

Start in days, not months. Outcomes are tracked against the original diagnosis.

## Frequently Asked Questions

### What is fractional HR?  
### How much does fractional HR cost per month?  
### When should a company hire a fractional HR leader instead of a full-time CHRO?  
### How is fractional HR different from a PEO?  
### How fast can a fractional HR leader start?

## Ready to Transform Your Business?

Get in touch with our team to learn how Sobo can help you achieve your business goals.