Should I use an EOR or set up a local entity?

For fewer than 15–25 employees in a single country, an EOR is almost always more cost-effective than entity setup, which typically costs $25,000–$100,000+ per market and takes 3–6 months. Once headcount in one market exceeds that threshold, the calculus shifts — a local entity becomes more cost-effective long-term. Our global expansion guide covers this decision in detail.