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. See fractional HR cost for detailed pricing.
| 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
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