4 Advantages of Outsourced Accounting
Can your organization benefit from outsourcing its accounting? Regardless of your industry, there are some general benefits you can gain from this service. Most companies experience four significant advantages after choosing to work with a high-quality outsourced accounting firm, not to mention a slew of benefits unique to each business’s situation. These four main perks are pretty simple, but they combine to have powerful effects that will change the way you work. When you’re done, also check out our blog post on how outsourced accounting works to learn more.
1. Cost Savings
This might surprise you at first glance, but the fact is that outsourced accounting will probably save money for your business. Think about it – hiring an internal employee for your accounting requires not only paying their salary, but also processing additional payroll taxes, providing them with benefits, and fulfilling the obligation to manage them. With outsourced accounting, you’ll typically pay the firm a flat rate based on the volume of work, without all of the additional expenses created by an internal hire. Plus, with outsourcing, you never again have to worry about your employee leaving and creating a backlog of work while you search for and train a qualified replacement.
2. Time Savings
Because an outsourced accounting firm specializes exclusively in managing finances, their systems and processes are already positioned for efficiency and automation. This helps your business save by reducing the time needed for tasks, as well as the time needed to fix errors common in manual or outdated accounting. It also means easier processes for whichever aspects of accounting you choose to do yourself, such as viewing dashboards and tracking KPIs. In total, this gives you and your company a significant amount of time back that was previously spent working through administrative accounting tasks.
3. Expert Service
The employees at an outsourced accounting firm have worked with many other small businesses, and they’ve discovered some best practices along the way. In addition to simply helping reduce workload, the accounting specialists from the firm can provide unique insight and value-added analysis so you don’t have to learn things the hard way.
You can depend on an outsourced accounting firm to set up your financial systems using best-in-class software and proven practices that will help your business stay ahead of the curve. The owners of outsourcing firms are typically seasoned CPAs, which means that processes, technology, and controls are optimally designed to meet your needs and provide real-time financial visibility.
It’s often difficult to find bookkeepers, controllers, or CFOs as you grow, and hiring and managing them can add up to be almost a full-time job. When outsourcing your finances, the firm you choose will scale with you and allocate new resources as necessary. You’ll never have to worry about anticipating growth by hiring in advance, deciding whether you need part- or full-time help, or laying off an accounting employee if your business experiences a setback.
Want to know more about outsourcing your accounting?
If you’re still wondering whether outsourcing is the best choice for your organization, we’d love to help assess your unique business needs. If you want to learn more, we hope you will contact us here at SAOS to talk through how we can help.