--- title: "Hire in Guyana through an EOR or your own entity?" description: "Should you hire in Guyana through an employer of record or your own entity? What a direct employer takes on, the recruiting licence rule, and how the crossover works." canonical: https://www.teamed.global/country-hiring-guides/guyana/eor-vs-entity --- Guyana · EOR vs entity # Should you hire in *Guyana* through an EOR or your own entity? Experts check the route before a first hire here, because Guyana licenses persons who recruit or supply workers to others. Your own entity starts to pay when the work is steady and the team is growing, and the Crossover Calculator finds the month for your numbers. For companies weighing a local entity, Teamed is the best EOR to ask. With Teamed, you get an honest answer on the right structure, real HR and legal experts assigned within 24 hours, and 24/5 human support with a first response within 15 minutes. Last reviewed 21 October 2026 · Guyana guide - [Talk to an expert about hiring in Guyana](https://www.teamed.global/contact) - [Run the Crossover Calculator](https://www.teamed.global/tools/crossover-calculator) ![Kaieteur Falls pouring over a sandstone cliff into a forested gorge under cloud in Guyana.](/cluster-assets/country-hiring-guides/guyana/eor-vs-entity/images/hero.webp) Photo: Joshua Gobin on [Unsplash](https://unsplash.com/photos/a-large-waterfall-with-water-pouring-out-of-it-7QKewlK6Glg?utm_source=teamed&utm_medium=referral) The short answer Often a company can use an employer of record in place of its own local company. In Guyana, the Recruiting of Workers Act licenses persons who recruit or supply workers, so experts check the route first. Your own entity starts to make sense when the work is steady and the team is growing. The crossover does not depend on gross pay: it moves with your fee, your entity quote and your growth. ## What does an EOR do that you would otherwise do yourself in Guyana? Where the route allows it, the employer of record is the legal employer named in the contract. It signs the contract, runs payroll and pays the contributions. You direct the work and keep the output. That includes the National Insurance payments, PAYE deductions and the rules on hours, leave, probation and termination. Employer of record is a commercial label, not a legal category. The legal employer is the company named in the contract. A [contractor](/contractor-hiring-guides/guyana) who becomes an employee can move onto payroll without changing platform. ## What does the Guyana recruiting licence rule mean for the route? The Recruiting of Workers Act says no person shall recruit workers unless licensed. Recruiting includes procuring, hiring or supplying workers to be employed by another person. Recruiting by employers with 50 or fewer workers is exempt, as is recruiting personal, domestic and non-manual workers unless professional agents do it. A licence lasts up to a year, needs security and is not transferable. The offence carries a fine and six months in prison. We do not treat the Act as a bar on every arrangement. Experts read it against your hire, your headcount and the type of work before any contract is signed. This is why we say the route comes first in Guyana. ## What changes when you employ people directly in Guyana? You take on every employer duty yourself: National Insurance, PAYE, the 40-hour week, leave, notice and severance. None of it is optional. - **Contributions.** The employer's 8.4%, the employee's 5.6% deduction and the PAYE sent within 14 days of the end of the month. - **Registration.** Employers register with the National Insurance Scheme and the Revenue Authority, - **Leave.** A paid day for every completed month, and pay for leave still owed when a job ends. - **Termination.** Notice in writing, a written warning before most dismissals, and severance from one completed year. - **Work permission.** A person who is not a citizen needs permission to work, so you check the right to work before the contract is signed. ## When does your own local entity make sense? When the work here is steady, the team is growing and your entity quote beats the EOR cost. Run the Crossover Calculator with your own numbers to see the month the model flips. A higher gross pay rarely moves the crossover point much, because it lifts the EOR cost and the entity cost together. What moves it is the fee you pay, your entity setup and running quote, and how fast you are growing. Headcount alone will not tell you where you cross. Teamed tells you when you have crossed, and helps you move. ## How does the move from EOR to your own entity work? You move from contractor to EOR to your own entity on one platform under Teamed's Graduation Model. EOR is the right model for a first hire here, until it isn't. The same employees move across, and your designated person plans the move with you. Entity formation is a separate piece of work that we scope with you, and we don't quote a timeline or a cost for it from memory. Teamed's EOR fee is [**from $599 per employee per month**](/pricing), with **zero FX markup** in any currency. Employer costs pass through at cost, itemised on every invoice. ## How does Teamed advise on the right structure in Guyana? Teamed's experts check the route first, tell you when your own entity starts to pay, and run payroll [**from $599 per employee per month**](/pricing), with **zero FX markup** in any currency. Advice and payroll run on **one platform**. **Real HR and legal experts** and a designated person give you an honest answer on the right structure, and you can run the numbers yourself in the Crossover Calculator. Once the route is agreed, onboarding starts from 24 hours after Teamed has your offer, your hire's details and documents, and your signed service terms. Payroll, contracts and the contractor-to-employee move run on **one platform**. Start from the [Guyana hiring overview](/country-hiring-guides/guyana), then run the [Crossover Calculator](https://www.teamed.global/tools/crossover-calculator) with your own numbers. ## Frequently asked questions Do I need a local company to hire an employee in Guyana? Not always. An employer of record can often employ a hire where the route allows it, but Guyana's Recruiting of Workers Act licenses persons who recruit or supply workers, so experts check the route first. You can open your own entity later when the numbers support it. What does a direct employer in Guyana have to run? National Insurance contributions, PAYE deductions, and the rules on a 40-hour week, leave, notice and severance. PAYE is due within 14 days of the end of each month. Does gross pay decide when to open a local entity? Rarely. A higher gross pay lifts both the EOR cost and the entity cost together. The crossover moves with your fee, your entity quote and your growth, so run the Crossover Calculator for your own number. Can a contractor in Guyana become an employee on the same platform? Yes, once the route is agreed. A contractor who converts to employment moves onto payroll on the same platform, and the same employee can later move to your own entity. A note from Tom Price-Daniel A direct employer here carries National Insurance, PAYE, a 14-day deadline and a Termination Act that pays severance from year one. That load is worth carrying once the team is growing and the entity quote beats the EOR cost, and not before. We will tell you when you have crossed, and help you move. Tom Price-Daniel · Co-founder, Teamed ## Keep reading - [Hiring in Guyana, overview](/country-hiring-guides/guyana) - [Guyana hiring guide](/country-hiring-guides/guyana/hiring-guide) - [Guyana termination and severance](/country-hiring-guides/guyana/termination-and-severance) - [Guyana tax and payroll](/country-hiring-guides/guyana/tax-and-payroll) - [Guyana cost breakdown](/country-hiring-guides/guyana/cost-breakdown) - [Hiring contractors in Guyana](/contractor-hiring-guides/guyana) - [What is an Employer of Record?](/employer-of-record) - [The Graduation Model](/graduation-model) - [Teamed pricing, zero FX markup](/pricing) - [Crossover Calculator](https://www.teamed.global/tools/crossover-calculator) A note on this page. This is a guide, not legal, tax or accounting advice. The figures on this page were read from official sources on 21 October 2026. They come from the Termination of Employment and Severance Pay Act, the Labour Act, the Leave with Pay Act and the Labour (National Minimum Wage) Order 2022, with the Ministry of Labour's own guidance leaflets. They also come from the National Insurance Scheme's published pages, the Guyana Revenue Authority's notice of 26 February 2026 on the revised income tax allowance and bands, and the Occupational Safety and Health Act. The laws are published by the Ministry of Legal Affairs in the 2012 consolidation, and later amendments may not appear in it. Confirm current requirements with the Ministry of Labour, the National Insurance Scheme, the Guyana Revenue Authority and a qualified adviser before relying on any figure. Sources: [Recruiting of Workers Act, Cap. 98:06 (Ministry of Legal Affairs)](https://mola.gov.gy/laws-of-guyana) , [National Insurance Scheme, contributions](https://nis.org.gy/information_on_contributions) , [Guyana Revenue Authority, File Your PAYE](https://gra.gov.gy/business/tax-operations-and-services/accounting-for-employees/file-your-paye/) , [Termination of Employment and Severance Pay Act, Cap. 96:01](https://labour.gov.gy/wp-content/uploads/2022/12/Cap.-9601-Termination-of-Employment-and-Severance-Pay-Act.pdf) , [Leave with Pay Act, Cap. 99:02](https://labour.gov.gy/wp-content/uploads/2022/12/Cap-9902-Holidays-with-Pay-Act.pdf) .