Tuesday, June 22, 2010

Score over your competitors by outsourcing accounting services

 Accounting is undoubtedly an integral part of running and developing a business successfully. In addition to helping run the day-to-day functions smoothly, accounting also ensures that the financial picture is clear in case you are looking for an acquisition or a buyer for your business. However, taking care of the accounting functions is no small task. After all, you are not an accounting expert. That is why outsourcing accounting services may be the best decision to achieve your business goals. Hiring an expert for accounting services not only ensures that your finances are in the right hands, it also frees you to take care of strategic decisions so that you can stay competitive in the business.

Outsourcing accounting services to an expert

Many business owners try to take care of their accounting functions by hiring a full-time in-house accounting staff. This is a very expensive option, as hiring, training and retention takes up a lot of business resources. But now, in the cut-throat business scenario, it is financially more viable to use a professional accounting service provider who has the potential to save 40-60% of accounting costs. When you outsource accounting, your work is done by expert accountants, reducing the chances of errors and producing impeccable records. Due to the growing popularity of outsourcing, the number of accounting service providers has also increased exponentially. If outsourcing accounting services can save you significant costs as compared to in-house hiring as well as get the work done efficiently, why would you want to have an in-house accounting department?

What you can expect from accounting services

When you outsource accounting, you will have a team of accountants working dedicatedly on your business financials. Most companies provide custom services, tailored to meet your business requirements, so that you do not have to pay for any service you don't require. Such custom solutions are also scalable, you so can change your workload at any time. However, discuss the details with your accounting service provider so that you know the details beforehand. When you are outsourcing accounting services, also check out other services of the company like bookkeeping, tax preparation, payroll etc. which could be useful to your business. Also iron out the other details with your accounting service provider and discuss how your financial information will be protected and which firewalls and encryption are used by the company.

When you are outsourcing accounting services to a professional company, you can focus completely on your business activities and get a competitive edge that sets you apart in the market.

Wednesday, June 9, 2010

Outsourcing bookkeeping: Is it the right decision for your business

 To outsource or not to outsource bookkeeping is the question today for a lot of businesses. With the focus on saving costs in the tough economy we have today, a lot of businesses are turning to outsourcing for their non-core activities like bookkeeping and accounting. While most trust a bookkeeping service provider to maintain their books of accounts efficiently, some are still in the dilemma of whether to outsource bookkeeping or not. If you are one of those business owners still doubting the feasibility of outsourcing your financial functions, read on.

Most business owners are not experts in accounting and bookkeeping and hence find tasks related to their business finance cumbersome and tedious. Moreover, as they are not experts in bookkeeping, they might end up making mistakes which might affect the business bottom line. Hiring in-house staff becomes an expensive option, with payments related to office space and bonuses eating up business profits. In such a situation, outsourcing bookkeeping to a professional firm may be the best decision a business owner can make.

Some reasons you can outsource bookkeeping to an experienced bookkeeping firm are:
  1. Many businesses like restaurants operate on very thin profit margins. A single error in their books of accounts can mess up a lot of their business functionality. When you select an online accounting bookkeeping firm, you are handing over all your bookkeeping functions to experienced professionals. You can hence outsource bookkeeping and then quit worrying about mistakes in your finances, knowing that a professional is taking care of them. You can also ensure that your bookkeeping is being done correctly by having 24/7 access to your books.
  2. There are a lot of firms to which you can outsource bookkeeping functions to. Such fierce competition has resulted in online accounting bookkeeping services being available at very low rates, which saves significant costs to small and mid-sized businesses. It is also easier to find out the most reputable and experienced service provider by asking current clients of the bookkeeping firm in question and inquiring about the firm's reputation in general. The costs which are saved through outsourcing bookkeeping can then be re-invested into the business for expansion or diversification.
  3. Outsourcing bookkeeping functions to a professional bookkeeping firm ensures that your books are up-to-date at any given period of time. With such impeccable financial records, you can take strategic decisions with ease. Such updated records also give the true financial picture of your business, so you can run it efficiently.
As a business owner, the decision to outsource bookkeeping will benefit you the most. You can save costs as well as get your non-core work done without spending time on it personally. Just look for a reputable bookkeeping firm, and outsourcing bookkeeping will work well for you.