Accounting is an integral part of every business, whether big or small. It helps track the economic transactions and ensure that your business is moving in the desired direction. Usually, accountants and their teams cater to business accounting needs. It might be possible for established businesses to bear the cost of hiring these many people, but certainly not for small businesses.
Additionally, managing and training the accounting team can lead to unnecessary overhead costs that most small business owners prefer to avoid. So, to avoid the cost and effort of hiring/training, small business owners should outsource their accounting services.
But this isn’t the only way in which these services are empowering startups. In this article, we will closely look at how accounting services are helping small business owners, along with other necessary details.
Empower Your Small Business with Outsourced Accounting Services
Accounting requires skill and precision, and it is not everyone’s cup of tea. It is crucial for business as it helps you track your business growth along with other necessary parameters. Hence, each and every business needs some level of accounting assistance. But whether one should hire full-time employees for this job or outsource the work is a popular question.
Well, the smart way is to outsource the work. Why? Let’s find out:
According to indeed.com, the average base salary of an account in the US is $54,015, and that of a CFO is $122,862. That’s quite a hefty sum, right? Now add the additional benefits and think if you will be able to afford one when your business is budding. Probably not, and this is one big reason for hiring an outsourced CFO or Accountant.
Variety of Services
Accounting services have a pool of talented people who can take care of all your financial chores. You can assign everything to a single company, from bookkeeping to cash flow forecasting.
So, you will be able to save yourself from the hassle of delegating work to different people.
Better Financial Tracking
There are several ways in which businesses lose out on money, like late payments or inaccurately drafted fees. And the main reason behind such losses is the lack of experience and cross-checking by accounting personnel.
However, this isn’t the case with outsourced accounting services, as it is usually a team of people with an exemplary experience. Additionally, they ensure to cross-check every step because a single error can jeopardize their goodwill.
Wise use of Saved Money
As mentioned previously, a good and reputed accounting service will help you save money from getting wasted. You can use this money wisely and strategically in advertising, marketing, or enhancing productivity.
In this way, you will make no extra expenses and yet get the needful done. It wouldn’t have been possible if you had hired a full-time accountant and his team.
Choice of skill
It’s possible that you only require assistance with a specific financial task, but finding the best person for full-time work is challenging. However, when you outsource accounting tasks, you get the liberty to choose and hire people of a particular skill set. And the best thing is that you won’t have to put in much effort to verify their potential in this case.
Pay Only for What you Want.
You might not require a full-time employee if your firm has a low transaction volume. But it isn’t possible to pay them just for the time their services are required. You also can’t assign them any other work as it will be out of their job and skill scope.
However, if you outsource your accounting needs, you won’t have to worry about such issues as you will pay just for what you need. So, it will give you the freedom to choose when accounting assistance is required.
One of our previous points clearly shows that hiring full-time accountants and CFOs is expensive. But how and why are outsourced accounting services cheap if they do the same work? Well, it is cheap because of competitive pricing.
There are many freelance accounting service companies on the market, and each of them wants to attract more customers. What is a better bait than low prices for the same service?
While handling business transactions and accounting, several confidential details also come to the surface. And it is important that the information doesn’t leak anywhere. While this can be tough to achieve with full-time accounting staff, it is much easier when you outsource. It is so because the outsourced accounting companies sign a legally binding contract to maintain confidentiality.
Outsourced Accounting services will not only save you from hassle but also streamline your financial processes. You can take your business to great heights with their help while saving money.
And if you are planning to hire one for your business, check out Stamos and Stamos CPA firm. They are one of the best in the market and provide a wide range of services.
All the best!