10 Reasons to Outsource Your Accounting Operations

While the sales and marketing departments are at the forefront of driving numbers forward with their client engagement efforts, the accounting department is another sector essential to every company’s daily operations.

As finances need to be organised in a streamlined manner all year round, accounting is one of the most labour-intensive tasks in a business. With piles of documents to work on, a reliable team of accountants and bookkeepers is necessary to keep a brand and its overall workflow in order.

If your business is planning to expand your accounting department or perhaps assemble one for the first time, you might want to consider outsourcing. Whether you are looking to grow your organisation or simply intend to outsource accounting tasks, this post is for you. 

Read on to learn more about the benefits you can expect when partnering with an outsourcing provider for your accounting needs.

1. Time Efficiency

   There is more to accounting than number crunching. Keeping track of the income and expenses, the accounting team helps evaluate the performance of the business, ensure statutory compliance, and create budget and projections plans, which are vital in running a business.

   With all this work and more, outsourcing your accounting operations gives you better use of your time and energy scaling your business instead of managing your finances.

2. Cost Reduction

   Aside from saving time, outsourcing can also aid in cutting down on operational costs. Unlike hiring in-house employees who require a fixed monthly salary, benefits, and occasional bonuses, outsourcing allows you to pay for the actual accounting work and nothing else.

   Your business can also forgo the expenses that come with recruiting the right candidate, as your outsourcing partner is the one in charge of those.

3. Profitability Increase

   To outsource is to save. With your time and resources in accounting managed better, your business can focus on its strengths and start earning more. In your more flexible schedule, you can concentrate on formulating strategies that can improve your organisation’s level of service, ultimately transforming your brand to become more profitable than ever.

4. Skills Expertise

   Compared to an in-house recruitment team, an outsourcing company has access to a large pool of global talents qualified to meet the needs of any organisation. When it comes to accounting, they are experts at scouting highly skilled professionals that can assist your business for the following:

   • Accounts payable
   • Budget reports and financial statements
   • Cash collection and record-keeping
   • Inventory cost management
   • Legal compliance
   • Monthly payroll

5. Risk Reduction

   Any errors in a financial report can be costly for the business. For instance, a miscalculation in the payroll and income tax can cause conflicts with your resources and penalties from the authorities. To avoid such risks and more, team up with an outsourcing firm who will keep your business’ accounting work in check and free from oversight.

    

   ➜ Related Blog: Challenges of an Offshore Team and How to Overcome Them

6. Fraud Reduction

   According to a global study on occupational fraud and abuse, 42% of fraud cases in small businesses are caused by a lack of internal controls. Because of this, companies need dependable employees on board for all things finance.

   Enter: an outsourcing partner. They can help you thoroughly filter candidates and find certified auditors to prevent fraud and other costly accounting scandals in your business.

7. Data Security

   Data is now the world’s most valuable resource, which is why you need to safeguard the particulars in your business, especially when it matters to your cash flow and financial performance.

   Unlike managing in-house accountants, who could have default access to confidential documents, working with outsourced talents is more controlled, enabling you to limit exposure of any sensitive information about your organisation or clients.

8. Technological Advancement

   Today, businesses could choose from a vast selection of accounting automation tools to help their staff effectively and efficiently get the job done.

   While others may be unfamiliar with the industry’s latest software, outsourced accountants and bookkeepers specialise in one or more of these applications. With expert accounting services accomplished in no time, you are sure to get more bang for your buck!

9. Information Updates

   With outsourcing, you have the option to curate a group of well-versed accountants to work on your books, ensuring that all loopholes and exemptions are identified and covered.

   Apart from doing accounting operations, these outsourced assets can keep your business up-to-date with the most recent news on the ever-changing world of finance and its legislation, which are always helpful for future strategies.

10. Scalability

    Outsourcing is all about business scalability. When you outsource for accounting support, your company gets more room for growth and savings all at the same time.

    Without the need for an intensive recruitment process, you can score extra hands to handle multiple functions on the job and valuable financial advice to help achieve your profit goals. You can also charge your extended unit of accountants and bookkeepers per hour or project, giving you better control over your spending.

➜ Related Blog: Business Process Outsourcing: A Guide to BPO Types, Market Trends & More 

Outsource the Right People for Your Accounting Needs

Communication is key for every industry, and as the “language of business,” so is accounting. To fulfill your company’s financial responsibilities like clockwork, you need skilled people for the job, preferably with a seal of approval from another firm.

Now that you know the advantages of outsourcing your accounting operations, the next step is to find an outsourcing partner fit for your organisation. If you’re on the lookout to outsource in the Philippines, check out optiBPO and its unique service offerings.

Delivering business process outsourcing as a managed service, optiBPO can help you plan, build, and manage your dream accounting team. Find the new extension of your organisation today, and contact optiBPO to know more!