How Impel Streamlined its Global EoR to Entity Transition with HSP Group
About Impel
Impel offers auto dealers, wholesalers, OEMs, and marketplaces the industry’s most advanced AI-powered customer lifecycle management platform. Its omnichannel solution leverages proprietary customer data and AI technology to deliver highly personalized interactions at every customer touchpoint. With a vision to revolutionize automotive retail through AI-driven dealership operations, Impel empowers dealerships globally to enhance customer experience, conversion, and retention.
At a Glance
As Impel rapidly expanded globally—currently operating across 51 countries—the company increasingly recognized limitations in its existing international employment arrangements. Impel initially relied on an Employer of Record (EoR) model to manage its employees in Australia and Canada, but eventually reached a point where the company’s growth required it to establish legal entities. The transition from EoR setup to entity posed significant operational, legal, and HR complexities, however.
To add to the challenge, the company was using an outdated HRIS system that failed to meet the demands of their growing overseas workforce. Staying in compliance with diverse local labor laws and requirements, maintaining employee satisfaction, and avoiding disruptions to their operations became critical concerns. Thus, Impel required an expert partner capable of navigating all of these diverse challenges seamlessly.
“What has impressed us most about working with HSP Group is the team's exceptional resourcefulness and ability to serve as a true one-stop shop for all aspects of global expansion. From the very beginning, HSP demonstrated a deep understanding of what it takes to stand up international operations—from transitioning employees off an EoR model to helping us establish compliant, fully operational legal entities.”
The Challenge
Impel’s rapid international growth, accelerated by strategic acquisitions—including Pulsar AI in Georgia, CarLabs.ai in Los Angeles, and Outsell in Minneapolis—required an increasingly sophisticated and efficient approach to global workforce management. As the company scaled its operations overseas, it saw that its EoR model, while an effective short-term solution, presented constraints to its growing international operations. However, transitioning employees from EoR to newly formed legal entities also posed challenges to the company, some of which included compliance issues and disruptions to employee benefits.
To prevent loss of goodwill among its employees, Impel also needed to ensure that the transition was handled transparently and proactively. Each jurisdiction also presented its own unique rules around employee transitions, particularly around the preservation of benefits, service continuity, and regulatory compliance. Thus, understanding country-specific statutory requirements, local labor laws, and implications for employee contracts was essential to Impel.
“Beyond these operational needs, we also wanted to ensure full compliance with local labor laws and legal requirements in each region where we have employees, making it essential to partner with an experienced provider like HSP.”
These operational challenges were magnified by limitations with the company’s legacy HRIS system, which was outdated and incapable of effectively supporting the complexities inherent in HR management during global expansion. Impel required a modern, agile infrastructure capable of managing the transition smoothly, accurately, and compliantly, particularly in Australia and Canada, its countries of focus.
In order to maintain employee satisfaction and prevent turnover, the company also needed to match or exceed the benefits previously provided by the EoR—all of which required detailed benchmarking of healthcare and employee benefits in new markets.
“Working with the HSP team has been a very positive experience, particularly with our HR Consultant Ying Zhao, who has been (and continues to be) an outstanding partner. She consistently demonstrates deep subject matter expertise and has been an invaluable resource to our team.”
The Solution
Impel engaged HSP to manage the full scope of their transition, from EoR arrangements to fully operational legal entities. HSP provided comprehensive HR consulting, developed tailored employee handbooks and employment contracts, delivered legal consultations, and created robust onboarding processes. Additionally, HSP benchmarked healthcare and employee benefits to ensure competitive and compliant offerings across all regions involved.
The Results
Impel’s transition from EoR to fully compliant, operational entities was a notable success, largely measured through positive employee experiences and internal stakeholder feedback. Internal surveys conducted post-transition indicated overwhelmingly positive perceptions of the process, highlighting effective communication, seamless integration, and minimal disruption to employee benefits.
HSP’s comprehensive support significantly reduced Impel’s operational burden, enabling smooth and compliant expansion into new international markets. Impel highlighted specific gains resulting from their collaboration with HSP:
- Successful transition to legally compliant entities in Australia and Canada
- Consistent and competitive employee benefits across regions
- Positive feedback from internal stakeholders and employees
- Strengthened internal HR capabilities through partnership with HSP experts
“Based on recent internal surveys conducted following the transition from EoR to Impel legal entities, the process was widely viewed as seamless, with positive feedback from both employees and internal stakeholders.”