Barrett Business Services (BBSI) Investor presentation summary

Business model and services

• Provides comprehensive PEO solutions, including HR, payroll, benefits, risk & safety, and business strategy for small businesses.

• High-touch, relationship-based approach with local service teams and national resources.

• Proprietary myBBSI technology platform offers centralized tools for payroll, benefits, onboarding, and reporting.

• Fully-insured health and workers' compensation programs minimize insurance risk for shareholders.

• Services are tailored for blue, gray, and white-collar businesses, expanding addressable market.

Market opportunity and growth

• Targets companies with fewer than 500 employees, representing 99% of firms and 44% of GDP.

• PEO industry penetration remains low, with only ~2% in mature markets.

• Industry is growing: PEO worksite employees increased 7% annually from 2020 to 2022.

• Significant white space remains in existing markets, with scalable branch model and asset-light expansion into new geographies.

• Currently serves client employees in all 50 states through established and virtual service teams.

Go-to-market and competitive differentiation

• Omni-channel strategy leverages referral partners, client referrals, and direct digital channels.

• Referral networks yield higher quality leads than traditional direct sales.

• Differentiated by local, high-touch service, minimal insurance risk, and focus on all business types.

• Primarily sells through trusted advisors such as brokers, accountants, and banks.