Expanding a business into a new country is exciting, but it comes with questions, responsibilities, and risks. For global companies eyeing Mexico, the real challenge is not the opportunity itself, but finding a trusted partner who understands the realities of hiring, payroll, compliance, and day-to-day employee support. That is where experience matters, stability matters, and having a partner who truly knows Mexico matters even more.

Human Resources Mexico (HRM) is that partner. The company stands as the most trusted Employer of Record (EOR) and Professional Employer Organization (PEO) dedicated exclusively to Mexico. With more than 16 years of proven success, the company has guided over 200 global businesses and supported 700+ employees across industries. Their focus is simple: make hiring and operating in Mexico easy, compliant, and stress-free for foreign companies.

As the only EOR/PEO firm that works solely in Mexico, Human Resources Mexico brings utmost expertise in federal labor laws, tax regulations, business culture, and local employment practices. Companies can hire talent quickly by placing employees under HRM’s employment umbrella, no setup fees, no deposits, and no complications.

Beyond payroll and compliance, HRM takes care of everything an employee might need: company cars, office space, laptops, medical insurance, travel arrangements, food and gas cards, and more. They even prepay employee travel so teams never waste time or face hassles. Third-party audited for full compliance, offering transparent pricing, and providing truly human support (never AI-generated responses), Human Resources Mexico delivers a “red carpet” service built on trust and accountability.

Franklin Delano Frith II, Principal and General Manager of Human Resources Mexico, spoke exclusively with Business Fortune. He shared how his company creates lasting, trust-driven partnerships, ensuring every business and every employee feels fully supported, respected, and secure at every stage of the journey.

Below is an excerpt from the interview.

Mr. Frith, when you founded HRM in 2009, what was the original spark or idea that made you believe there was a real need for a Mexico‑only PEO/EOR? Was there a specific moment or client case that motivated you?

I was in the PEO business in the USA for 20 years. In 2008, I saw the economic situation in the USA begin to worsen before the crash. Since I had done business in Mexico on and off for many years and knew the language, I decided to diversify and try something completely new. I knew that there were cultural and business differences between the USA and Mexico, not to mention the language barrier. I felt that I had a good chance of success by establishing an EOR in Mexico for USA companies, taking on full responsibility for employment in Mexico so the client would only need to focus on their business goals in the country.

Could you walk us through the early days: what were the biggest challenges you faced setting up the legal, operational and cultural infrastructure to serve foreign companies hiring in Mexico?

Getting the company started was a challenge. I knew nothing about Mexico’s federal labor law, social security law, and accounting practices in Mexico. I would visit lawyers and CPAs in an attempt to wrap my head around everything. I would receive different information and answers from different people. It was very challenging just figuring out what the employment costs were and how to calculate them.

The other challenge was, “How do I let people know that I can offer EOR services in Mexico?” I started Google Ads keyword advertising in the summer of 2009 in the top five worst economically hit states in the USA. I got my first client, and the rest is history.

HRM emphasizes ‘red carpet service’ and that you treat both the company and the employee as clients. Can you elaborate on how that dual‑client mindset plays out in your day‑to‑day operations and why it matters?

It is not as complicated as one would think when talking about “dual loyalty.” Here in Mexico, as the employer, we have a legal obligation to protect all the rights of the employees in accordance with the Mexican Constitution and Federal Labor Law. On the other hand, we have a contractual obligation to provide the best service possible to the client company. We save the client company money by leveraging our expertise in Mexico so the client company doesn’t incur unnecessary expenses or risks. When delivering our services on a daily basis, we know that without the employees, we don’t have a business, and without the companies, we don’t have a business. They are both equally important and both are provided with red-carpet service.

Compliance in Mexico is a continual challenge: labor laws, social security, tax, termination rules. How does HRM stay ahead of evolving regulations, and what internal systems do you have in place to ensure full compliance for clients?

The most important focus for HRM is to stay on top of new laws and regulations. We don’t wait for a new law or regulation to take effect. We constantly monitor the Senate, Congress, and the Secretaria del Trabajo y Prevision Social (STPS), the Secretariat of Economy, and the Immigration Department. We are also the only EOR in Mexico that undergoes the “Dictamen Fiscal,” the yearly tax opinion audit. This places HRM at a level of compliance unmatched by any other provider.

Many global PEO/EORs rely heavily on digital platforms and automation. HRM emphasizes human support and says ‘No AI responses for clients or employees’. How do you balance service scalability with the human touch and how will that evolve?

I always remind our team that the existence of our company is to be an employer. The most important human aspects and tasks of an employer revolve around creating a fair, safe, and productive environment where employees feel valued and supported. These responsibilities go beyond just legal compliance and form the foundation of a successful, engaged workforce. I personally believe that apps and AI responses can’t adequately deliver the real human resource support and personal attention that employees need, especially employees who are working in Mexico through HRM for clients abroad.

My plan for HRM is to continue providing its human support indefinitely. Client companies and client employees will always receive our expert, personal human support. That said, we do utilize AI and automation for internal activities to streamline daily operations so our team has more time to provide direct human support services.

We have the best five-star ratings from our client companies and client employees in the industry because we deliver expert human support and attention.

How do you see the competitive landscape in the Mexico PEO/EOR market evolving? With increasing remote work and global workforce models, how do you stay differentiated and defend your niche?

This is a great question. When we started in Mexico over 16 years ago, HRM was the only EOR/PEO offering services to foreign companies that were looking to hire in Mexico. The landscape has changed immensely. Competitors have been entering the market constantly. Global EORs sell technology and their platforms. That may be fine for a large company entering many different countries at the same time. However, if a company wants to hire sales managers, software engineers, and other mission-critical positions, they need more personalized, on-the-ground, local services so employees have access to public-facing human resource services.

I personally don’t see a big change in the future with remote work or global workforce models. One reason is that for over 16 years, we have rarely met a client company or a client employee in person. Everything has been and is handled remotely.

Looking ahead, what are the biggest opportunities you see for HRM in the next 3‑5 years? Are you planning geographic expansion (beyond Mexico), new service lines, strategic partnerships or technology platforms?

I see HRM evolving over the next few years through internal automation and the constant improvement of internal processes, removing as much internal “friction” as possible to be more efficient. We do not plan on providing new services; we plan on continuing to be the “boutique service firm” for clients that want the employees hired in Mexico to receive top-notch services. This is where I believe the HRM opportunities exist. Regardless of technology, an employer will always need to provide human services to humans. Employees have more needs than just getting paid. Remember that a happy, secure, and confident employee will put a positive face forward for the clients of our clients.

Franklin Delano Frith II: 40+ Years of Cross-Border Business Expertise

Franklin Delano Frith II is a seasoned professional whose career spans over four decades of diverse business operations, beginning with a singular focus on compliant business expansion in Texas, quickly followed by a pivotal 1988 role in Detroit as a material control specialist—a position that directly connected him with a major Mexican manufacturing group. This early exposure to cross-border logistics set his trajectory.

Since 1991, Franklin has been deeply entrenched in the staffing and PEO industry. After successfully launching and running a parallel business development and web design firm from 2000 to 2005, he pivoted his focus entirely to Mexico in 2008.

With 16+ years of specialized experience in HR, payroll, finance, and compliance within Mexico, Franklin leads the most trusted EOR/PEO in Mexico. His firm is unique, offering EOR/PEO services in Mexico only, ensuring clients benefit from unparalleled expertise in local federal labor and tax laws. Franklin and his top-tier team are recognized as definitive experts, ready to streamline your business focus and help you achieve your expansion goals in Mexico.

“We are the only EOR in Mexico that undergoes the “Dictamen Fiscal,” the yearly tax opinion audit. This places HRM at a level of compliance unmatched by any other provider.”