If you’re in the market for a new car, you have two purchase options—you can buy or lease. There’s a similar choice when you’re looking for administrative help for your growing small business—you can bring on a new employee or virtual assistant (VA). Read on to learn about the pros and cons for each of these choices.

What’s the Difference?

An “employee” is an individual you hire as a permanent member of your staff to perform a specific service in exchange for wages or salary.

In contrast, most “virtual assistants” are self-employed, contract or freelance workers. They typically work remotely and perform specific administrative tasks. This might include: bookkeeping, online research, data entry, making customer service calls, sending thank you notes to customers, coordinating order fulfillment, scheduling, or managing calendars.

How Do They Stack Up?

There are distinct advantages and disadvantages to adding either an employee or VA. The charts below help you compare the two options based on key aspects.

*Check with your insurance professional or legal consultant to determine what is required in your state.

So which is better? The answer depends on your needs. If you require on-site staff at specific hours, you likely need to hire an employee, especially if you plan to expand the responsibilities over time. But if you need administrative support that can be handled virtually with a flexible schedule (and you don’t want the payroll hassle), then a VA might fit the bill.