WILL OUTSOURCING A CPA FIRM BENEFITS YOU?

 

It's difficult for small businesses, start-ups, and entrepreneurs to hire an accountant. Especially hiring the right accountant with excellent skills to prepare financial statements, manage bank account operations, analyse financial data, and prepare the invoices is a difficult task.  


At present, the accounting industry is highly competitive, way more than it was ever. To stay one step ahead of competitors, CPA firms need to enhance their skills and knowledge with time and need to be updated with new laws and regulations set by the Government. 


Even though many companies believe that doing accounting and bookkeeping must be done in-house. It is essential to ask whether the skill sets required & experience to tackle the situation is within you.


From this, the question arises can accounting be outsourced?

It sure can be, and it is - along with IT services, accounting services are most commonly outsourced tasks by small businesses, start-ups, and entrepreneurs.

 

Things to be considered before outsourcing accounting - 

But can accounting services outsourced by your particular firm? 

It depends on a few factors -

  • Objective for Outsourcing

  • Whether outsourcing is a good match for your firm

  • Whether you're able to communicate with an outsourcing team


Once you get clarity on all these three considerations, you're well on your way to know whether your firm is in a position to delegate its accounting to a global team. Let' see some more details about all three considerations to get better clarification. 

 

  1. The objective to outsource accounting


Pin down all the reasons why you need to delegate your accounting services to a global team. Identify all the essential points an outsourced accounting service can address with the solutions it offers you.


Let's see an example a small business owner located in a suburb might need accounting services but is unable to find a talented one and can’t find one who is willing to come to the suburb. So, he might turn to outsource accounting services. 


Like the example, everyone may have a distinct objective, and it's vital to clarify the things before you outsource accounting services. Once you choose the outsource accounting service, make sure they understand your goals as well as you do.

 

  1. Whether outsourcing service is a good fit

Some business owners may choose to do a trial run with a couple of outsourced accounting services. And it's important to take a test to find which will be better from them going forward. 


While choosing any accounting firm, it's essential to understand their working style, communication, performance, and then decide who is the best match for your firm. 


By taking tests and knowing their work style, communication, and performance it’s easy to decide whether they are a good fit, if not you may test other ones too. 

 

  1. Communication with the outsourcing team

If the outsourced accounting team you're considering works in a different time zone and a different part of the world, you need to consider when and how you can effectively communicate with them.


No doubt you will be communicating with them about the various financial data, financial statements, and other instructions. In short, daily communication is a must to get work done. 


Communication with a global team is essential not just for companies' financial information but it also helps to build a relationship and make them feel like a part of a CPA firm.


There are always emails, but it's good to have more than one communication channel in place. And of course, don't forget to prepare dedicated layout times to conduct video calls with your outsourced accounting team will help ensure they happen. 

 

Remember the three points before deciding whether or not to outsource accounting firm - 

  • Objective for outsourcing

  • Is outsourcing a good fit for your firm

  • Whether you can communicate with the global team regularly.


Neil Accountants can talk with you about your specific needs and help to identify anything else you need about or other points before deciding to outsource any accounting services.


Get in touch with us today and let us know what you think before selecting the outsourcing accounting team.

 

 

 

 

 

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