Most of the small and medium scale businesses are looking for the best way to save their financial resources as they are already very short on them. They try all the different methods to save some extra bucks and one of the most frequently used methods is hiring online bookkeeping services. It has been observed by businesses that by using virtual bookkeeping services, they can save more money as compared to hiring an in-house accounting team.
Does Outsourced Bookkeeping Services Save your Money?
This question has been disturbing small business bookkeeping management very much. That’s because they are new and want quality services at highly affordable rates. So, if you are a small business owner and wondering whether to hire an in-house accountant or go for online bookkeeping services. Well, then let’s clear your confusion with an example.
Most businesses hire an unqualified person to handle their accounts or they delegate bookkeeping work to their other employees. This is a big mistake as your employees might be intelligent, but they are not trained to handle invoices, taxation reports, etc., So, this will affect the quality of your accounting work and set back your success.
On the other hand, if you appoint a full-time accountant, then it will averagely be going to cost around $45,000 a year. Plus, this is only the cost of hiring an accountant if you want to hire a taxation expert, then this will further cost $50,000 a year. So, an in-house team of accountants and taxation experts will add around $100,000 extra burden on your company which is very high for small businesses.
If you decide to go with the online bookkeeping services company, then you will be able to cut down the cost quite a bit. At CapActix, our goal is to reduce almost 40-60% of the bookkeeping budget of the organization. If you compare the quality and money saved by using online accounting services with the in-house team, then you will see a drastic difference.
Different Ways in Which Online Accounting Services Can Save Money
Okay, as we have already explained that the outsourced bookkeeping services can easily reduce your accounts department budget by 40-60% directly. But, apart from this straight saving, online services can help you in reducing further business costs in the following ways that you might not even realize.
1. Paperless accounting
If you are planning to save the cost of your bookkeeping services by keeping the system traditional, then you are eventually spending more money on maintaining your important accounting, taxation and audit files physically. But, when you adopt the virtual bookkeeping services, then they will maintain all your books on the latest software and store them in the computer that can be easily transferred using the internet connection or the USB drive. Moreover, your data will be preserved better in the software form as compared to the physical form.
2. The assistance of the latest technology
When you have an in-house accountant, then you have to provide the latest accounting software and computer system to them. The bookkeeping software is very expensive and they become obsolete shortly. Plus, you need to provide a stable internet connection and high-performing computer or laptop to your employees so that they can work effectively. And, all this is additional to the salary of the accountant. With the online accounting services, you won’t have to worry about providing the latest bookkeeping tools to your team as outsourcing companies offers them in their final payment.
3. Professional services
Most businesses think that the duty of the bookkeepers is to only record transactions and balance the accounts. Well, that’s a misconception because the work of the accountant is bigger than this. It is the responsibility of the accountant to provide information about the present financial position of the company, aware about the upcoming financial crisis, help businesses in making investments, reducing their tax burden, and much more.
And, this also true that all these functions can’t be performed by one accountant, to perform various activities different accounting experts are required like tax experts, auditors, consultants, etc., which isn’t feasible for small businesses. But, when small business bookkeeping hires online service providers, then they will enjoy the services of different offshore accounting professionals at a fixed price which is an exception for small businesses.
4. Miscellaneous expenses
Having a full-time employee can lead to numerous miscellaneous expenses that companies forget to think about like rent, lighting bills, furniture, lunch expenses, and much more. These miscellaneous expenses can be completely saved by companies when they outsource their entire bookkeeping services.
There’s no doubt that online bookkeeping services can save lots of costs for businesses and provide them quality work. But, all this is possible only when business owners hire the best-outsourced bookkeeping services. That’s because today plenty of unqualified service providers are also available who are just wasting the money of the people.
So, if you are searching for the best quality bookkeeping services company that can reduce your business expenses, then you can trust the capable team of CapActix. We have a team of professional accountants that understand U.S. accounting standards and speak English and aims to deliver high-quality services at lower rates. If you are interested in saving some money, then drop your queries at [email protected] or can call on +201-778-0509.