Finance and Accounting Outsourcing- Necessity or Choice?
Are you torn between accounting outsourcing services or in-house? Are you not sure about adopting finance and accounting outsourcing services? Then, don’t be – because outsourcing has been a prominent part of business trends since 1989.
Yep, outsourcing services is not a new or undeveloped trend – it has been practiced for more than three decades now. Thus, if you want to adopt accounting outsourcing services for your business today, this might be a profitable decision.
In the present scenario, when twenty-five to thirty percent of the companies are expected to be working from home multiple days a week throughout 2021, hiring an in-house accounting team is more of a necessity than a choice. From the strict norms of social distancing to the productivity factors – finance and accounting outsourcing is emerging as a perfect solution for small and big companies.
A Study Narrating Finance and Accounting Outsourcing Need
The Client Accounting Services Survey was conducted in 2018 by Bill.com and CPA.com collectively to know how accounting services affect businesses and the impact of outsourcing accounting services? The findings of the study have brought the topic of accounting outsourcing services in a better vision. Top findings include –
- 80% of participants claimed that they have more time to focus on their business after hiring outsourced accounting services.
- 79% of companies advocated that they will refer their outsource accounting service providers.
- 68% of businesses found accounting easier and effective with an outsourcing solution.
- 50% of the CAS represents that clients worry less about mistakes after outsourcing services.
- 30% of companies that have outsourced accounting services – received helpful advice from their accounting outsourcing companies.
In a nutshell, the study concluded that outsourcing accounting firms help with better financial insight, saves time, and provides professional assistance. Thus, it is clear that finance and accounting outsourcing isn’t a choice anymore.
Why Is Accounting Outsourcing Services Necessary?
At CapActix, we always keep a keen eye on the changing dynamics of the accounting industry. Lately, we have observed that accounting outsourcing services are gaining more momentum because from a luxury option to timely need – the journey of outsourcing accounting services has been significantly monitored by our experts.
Even before the pandemic crisis, need for the outsourcing accounting services can be seen due to the multiple benefits of accounting outsourcing such as –
Helps in Prioritising your Time
Being a business owner, you have to prioritize your time smartly. You have to find a way to save your time so that you can focus on pressing issues. Daily, you spend hours on sending invoices, paying bills, preparing ledgers, and much more. So many hours go waste on monotone tasks, which you can utilize to meet new clients, prepare marketing strategies, work on improving your leadership skills, etc.
Thus, by using the accounting outsourcing services, you can appoint professional bookkeepers and accountants to manage your tedious tasks. In return, you will receive plenty of free time to focus on important aspects of your business.
Avoiding Recruitment Hassles
When you are building an in-house accounting team, you have to go through multiple recruitment hassles. From advertising the job post, conducting interviews, and shortlisting candidates to providing initial training – you have days of work cut out for you. To perform all the recruitment functions – you have to appoint an HR person, or you have to invest your time – in both scenarios, the loss is yours.
In this situation, if you hire a professional accounting outsourcing company, you just have to share your requirements, and the company will automatically get work done. No hassle of finding the right or providing adequate training – everything will be handled by the outsourcing company.
One of the core benefits of having accounting outsourcing services is high confidentiality and security. When you have an in-house accounting team, you have limited resources to provide high-end security. There’s always a risk of maintaining proper privacy is present. Furthermore, in house team can show biased judgment towards certain financial statements such as payroll management, invoice generation, etc.
Thus, when you outsource accounting services from the big company, you eliminate the risk of privacy and confidentiality breach—additionally, outsourced accounting companies invest in the cybersecurity and cloud technologies to provide an extra safety layer. So, when you can provide a full confidentiality guarantee to your clients, it is definitely going to boost your profits.
Take Leverage from Technology
The present accounting scenario is revolving around technology. Today, plenty of different types of accounting software are available in the market that can bring accuracy and authentication to your accounting operations. From aligning the payroll process to mitigating risk, you can buy accounting software to perform vivid services.
But, for a small business or business that doesn’t offer core accounting services, it is not feasible to invest in the latest accounting software. From regular updates to training staff, there are so many technical layers that accountants have to consider nowadays.
So, if you have a small in-house accounting team, it won’t be possible for them to keep a tab on the changing dynamics of technology. In this situation, an outsourced accounting firm can provide high-tech services without spending a penny on the technology.
Better Adherence to Compliance
From the financial aspects, businesses have to maintain numerous budgetary and tax-related reports. For a small in house team, it will be so much hassle to meet all the legal compliance to run the business smoothly.
With the help of an outsourcing firm, you can effortlessly raise and generate numerous financial reports and statements. When professionals are maintaining your books, you will never have to worry about bypassing any legal compliance.
Professionals at your Disposal
If you hire an in house accountant, he or she might be good at maintaining tax return, but not at payroll or vice versa. This means that in your in-house team professionals possessing certain talents only. On the contrary, outsourced companies have a team full of professionals. They have tax experts, proficient bookkeepers, analytical auditors, and other accounting professionals.
When you use finance and accounting outsourcing services, you can use the skills of numerous professionals without paying special charges.
Necessity or Choice?
NECESSITY – in the big and bold letters, accounting outsourcing services are a necessity today. If you want to experience the best quality accounting services to revive your business in the pandemic, you need to opt for economical, accurate, and fast accounting services – outsourcing. Undoubtedly, outsourcing is the need of today and work style of tomorrow so embrace it as soon as you can.
To hire competent and professional accounting outsourcing services, you can drop queries at CapActix email – [email protected]. or can call on +201-778-0509.