What is outsourcing?
Outsourcing is nothing but delegating some of your work to an external company specializing in the given field. This, generally, ensures that the work is done in a much more reliable manner. At the same time, it also clears up your schedule so that you can coordinate your tasks for greater convenience. Outsourcing can be done both internationally as well as domestically. It is especially very common among the startups and small enterprises to outsource bookkeeping services. This buys them the time to build their own skills till they are able to handle the given tasks internally.
Ditch the Doubt, Embrace the Benefits: Why Outsource Your Bookkeeping?
Feeling overwhelmed by financial tasks? Outsourcing your bookkeeping isn’t about losing control, it’s about gaining freedom and expertise.
Here’s why it’s time to let go:
- Resource crunch? You’re not alone. Insufficient staff, space, or expertise can hinder growth. Outsourcing fills the gaps, providing expert assistance without breaking the bank.
- Stop wasting time! Hiring a bookkeeping company means more time for strategic tasks, allowing you to focus on growing your business.
- Accuracy is key. Access highly trained professionals who use the latest tools and technology to ensure flawless records and reduced compliance risks.
- Need help but can’t justify a full-time hire? Outsource for flexible, cost-effective assistance, whether it’s daily tasks or temporary support.
- Peace of mind guaranteed. Get reliable help, even in urgent situations, and enjoy free time knowing your finances are in good hands.
Don’t overwork yourself! Outsourcing bookkeeping frees you to breathe, take vacations, and focus on what matters most. Let professionals handle the numbers while you steer your business to success.
Make the smart choice, outsource today!
Things to keep in mind while outsourcing
After you have made up your mind on outsourcing the bookkeeping services, the next challenge is to start looking for a reliable outsourcing company. As an accountant, you are required to be answerable regarding a large number of things within the accounts department. Any small mistake can prove to be very costly. So, you should make sure that you are only hiring from the best service provider. Quality and efficiency should remain your two main priorities when looking for a company.
Here are a few other things to keep in mind while hiring from an outsourced service provider
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Be very clear about the type of services you need
You can take maximum advantage from the service provider when they are equipped to provide you with the required services. Some of the common services offered by companies include payroll support, monthly and annual reports, accounts payables, receivables, and so on. So make sure that the company has the resources to fulfill your specific accounting needs.
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Cost
Different companies have different charging schemes. Often, the cost of bookkeeping small business does not go quite high. The payments are either made on an hourly or a monthly basis. So before hiring, consider the bookkeeping services fees and see how profitable it would be for you.
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Professionalism
Hiring from a company is only worth it if they are highly professional about their work. A company that abides by a strict code of discipline in the workplace is by itself an assurance of quality. They will be able to provide you with consistent results of high quality.
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Data security
This is one of the most important things to keep in mind when you are looking for a company for bookkeeping small business. Confidentiality is very important when it comes to financial data. So, make sure that the company you are hiring uses the best quality tools that strongly protect all your core data.
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Flexibility
This is another of the important factors that determine how useful a company really is for you. Always look for companies that are flexible, meaning the ones offering a large number of services under a single umbrella. This means that you do not have to jump from one company to the other as your requirements change.
What tasks can you assign to your assistant?
Even within the accounts department, the work is divided into several categories. If you have been hired as an accountant, it remains your responsibility to make sure that everything is running in a highly coordinated way. Given below are the 5 areas where the services of an outsourced assistant can come useful:
Bookkeeping
Bookkeeping is something that requires a lot of focus and tends to be very time-consuming. It should also be highly accurate and updated on a day-to-day basis. Your assistant can help you out in the following areas of bookkeeping:
- Journal entry
- Maintenance of the general ledger, expenses ledger, and the equipment or the assets ledger
- Keeping track of the trial balance
- Preparing balance sheets and profit/loss statements
- Daily accounting tasks
- Document storage
- Preparing of employee and customer reports on a day-to-day basis
Hence, you will be able to get a good amount of burden off your shoulders at a very cost effective bookkeeping salary.
Tax benefits
Taxes can be challenging to handle and greatly impact a company’s profitability. When taxes become overwhelming, seeking expert help from an accounting company can prevent financial collapse. By outsourcing to an accounting company, you can avoid these challenges and uncertainties by simply providing them with the necessary documents for tax returns. The turnaround time is quick, and local service providers offer reasonable fees for bookkeeping services.
Payroll Processing
Payroll processing is very crucial for all businesses. It is one of those factors that tend to have the maximum influence on the total balance. Many outsourced accounting companies offer payroll support at a highly reduced bookkeeping services fees. With this, you will have an assurance that the most important area within the finance department is not neglected. These companies take care of various things such as vendor payments, invoice processing, storing invoice related documents, making sanctions before a purchase, making reviews and updates on the payroll, and so on.
It is well known that payroll processing tends to be a highly time-consuming and labor intensive procedure. Furthermore, even the slightest mistake in the records can prove to be very costly. Outsourcing your work to the bookkeeping companies is the easiest way to keep this in check. They make sure that your data is free from all types of errors. Some of the common services offered by companies for payroll processing are:
- Validation of facts and figures included in the invoice
- Tallying the invoices and purchase orders
- Keeping track of how cash is being handled
- Extraction of relevant information from the header
- Preparation of receipts and invoices
- Scanning the invoice submitted through paper
- Logging of transactions
So, by paying a just a small bookkeeping salary, you will be able to get a lot of burden off your shoulders.
Accounts payable
The main benefit of outsourcing for accounts payable services for bookkeeping small business is that you get a chance to take advantages of skilled staff and great technology without having to go out and purchase expensive tools. You also do not have to worry about the cost of maintenance. Outsourcing only demands a small bookkeeping salary. However, you will be provided with a wide variety of services that can make your day to day accounting task much easier.
Some of the common services provided by accounting companies in this area are
- Document indexing
- Scanning
- Sorting
- Bach preparation
- Storage and retrieval of documents
- Processing the received mails
- Reconciliation and audit of invoices that have been scanned
- Verification of the data in hand
- A short closing process at the end of each month
- Audit trail
- Data entry
- Multiple database matching in order to detect duplicates
- Automation of the data entry
- Distribution of checks
- Online proofing for checks
- Maintaining a sufficient amount checks at all times
- Handling of checks that have been returned
Accounts receivables
Accounting companies can offer assistance in various areas that allow you to manage the cash flow effortlessly. This increases the amount of control you can directly exercise over the finances. You will be able to reap benefits like a quick payment, increased inflow of cash, detailed reports on the daily activities, and more. So, it is pretty much obvious that outsourcing is one of the most effective ways of ensuring flawless bookkeeping small business. Since the bookkeeping services fees are rather small, you also do not have to worry about how it is going to affect your budget. So, by outsourcing for accounts receivable services, you will be able to save time as well as money.
The common accounts receivable services offered by these companies are:
- Preparation of bills
- Recoding the daily revenue
- Making data entries to the accounting system regarding all the receivable transactions
- Releasing refund checks and credit memos
- Keeping an updated ledger for the subsidiary receivables
- Conducting customer approved process adjustments
- Resolving short pay issues
- Deduction management
Should you outsource your bookkeeping?
Yes, outsourcing your bookkeeping can be a smart move for businesses of all sizes. It can save you time and money, while also providing you with access to expert skills and technology.
What are the benefits of outsourcing bookkeeping?
There are many benefits to outsourcing bookkeeping, including:
- Cost savings: Outsourcing is often cheaper than hiring in-house staff.
- Expert skills: You gain access to professionals with the latest knowledge and technology.
- Time freedom: You can focus on strategic tasks while experts handle your bookkeeping.
- Peace of mind: You can enjoy accurate records and reduced compliance risks.
Conclusion
So, if you are an accountant looking to outsource your increasing workload, you can do so while still staying within an affordable bookkeeping salary structure. You will be able to gain instant access to much more resources that would have, otherwise, taken up a large amount of the company’s resources. This will ensure you safer, high-quality service while also ensuring that you are not overloaded with the work pressure. So, if you are in need of an accountant assistant, hire an outsourcing bookkeeping firm today and assure quality service and peace of mind.
Also Read: Why It Makes Sense For An Accountant To Outsource Bookkeeping