· Third party accounting services enforce systems of checks and balances that drastically cut back on the opportunity for fraudulent activity. The vast majority also perform thorough background checks of their bookkeepers, with extra attention paid to past instances of fraud with previous employers.

· Elimination of paperwork. Going paperless has a far more beneficial impact on your company’s financial security than you might think, including more efficient documentation tracking and the elimination of lost invoices and bills, which could put your company at risk for information theft.

· Fraud protection is increased by the separation of duties, which essentially ensures that no one person will be responsible for the completion of a task. Separation of duties is an invaluable benefit of outsourced cloud accounting services, and one that many small business owners simply can’t afford without hiring two to three employees.

· Frequently scheduled audits are a must to safeguard against fraud, but many small companies simply can’t afford the time or manpower to perform these on a regular basis. Outsourced accounting services, on the other hand, use automated systems to run audits frequently, more accurately, and faster than would otherwise be possible.

If worry over fraud risk is preventing you from hiring a third party bookkeeping firm, you may be guilty of buying into a myth without verifying the facts first. To learn about some of the security procedures offered by cloud accounting services, visit AccountingDepartment.com.

So go our thoughts about outsourcing accounting. But the fact is, unless you’re adept at bookkeeping yourself and know how to use simple accounting software to balance your company’s books, you’re eventually going to have to hire someone else to do it. Ultimately, the question comes down to: is it smart to hire an outsourced bookkeeping firm? Your common sense – the part of you that understands that outsourcing is far cheaper than keeping a fulltime employee on the books – is probably urging you to take the outsourced route, but your fears are likely screaming at you to trust no one.

When this happens, you have to learn how to separate logic from fear. The fact is, most people have been lied to about the safety and security of outsourced accounting. You may have even heard some of these unfortunately effective zingers:

· Cloud accounting is risky; you can’t trust the technology.

· Change is bad – if it works, don’t fix it.

· Small business bookkeeping requires no special skills, so might as well do it yourself.

· Simple accounting software can ably handle all of your bookkeeping needs.

· Computer security compliance shouldn’t concern you if you’re a small business.

All of the above are outright fallacies. Cloud accounting via remote channels is only as risky as your failure to verify the security procedures of the outsourced company. Bookkeeping requires skill and experience, and software is no replacement for that. As for computer security compliance, it’s critical whether you’re a sole proprietor or a major corporation – and change, as much as some of us may detest it, is inevitable.

To learn more about qualified cloud accounting services, visit AccountingDepartment.com.

If that thought isn’t scary enough to make you race to find an online bookkeeping company to handle your accounting and financial data, maybe this will: with an online bookkeeping service, not only is your financial data stored offsite in remote servers that are protected against flood, fires, natural disasters and power surges, but it’s also insured.

There’s one catch, of course. Not all online bookkeeping companies offer insurance for lost data. Many can offer you reasonable assurance that your business accounting information will be safely stored, but it’s critical when you’re going about your selection process that you only look at firms that have unambiguous language written into their contracts that spell out how much insurance money will be paid and what types of incidents are covered.

Getting protection from lost data is critical, but did you know it’s also not the only reason to outsource your bookkeeping and accounting needs? To find out more about the benefits of outsourcing and other things to look for in a third party bookkeeping firm, visit AccountingDepartment.com.

- Company A shuns the idea of outsourcing accounting services over concerns that third party bookkeeping employees can’t be trusted with their sensitive information. Meanwhile, Company A hires an onsite bookkeeper without performing a criminal background check, and six months down the line discover that they’ve been bilked for tens of thousands of dollars in bogus checks.

- Company B, having learned from Company A’s mistake, hires an onsite bookkeeper only after performing a thorough background check. All’s well that ends well, until one dark day the office is destroyed in a fire and everything – including all of the financial data Company B had stored in their onsite server – is lost.

We’re not trying to scare you. Well, maybe we are. Regardless, the above scenarios aren’t out of the realm of possibility, and have happened to far too many companies to count. Simply put, you’re much better off in the hands of an outsourced bookkeeping firm that performs extensive employee background checks and keeps your sensitive financial data stored in secure servers. If you buy into the myth that outsourcing accounting services are a shady path to ruin, you’re essentially betting on your own abilities to prevent bad things from happening under your nose. In the end, you’re much better off betting on the pros than on yourself.

One of the primary reasons for the sudden surge in remote professional bookkeeping opportunities relates to simple math. Small businesses struggling to survive the recession were forced to reexamine their onsite staff, and many cuts were made and positions consolidated to accommodate a “leaner, meaner” budget. Unfortunately, in many cases bookkeepers were the first to go. To fill the void left behind, an increasing number of companies are opting to contract that work elsewhere.

Another reason for the surge lies in recent technological leaps and the increased availability of high speed internet, which is enabling greater numbers of professionals to work from the comfort of their home offices. Businesses are also cashing in on the proliferation of contracted remote employees, enjoying the budgetary savings of not having to provide benefits or valuable office space.

However, experts are quick to warn small business owners that not all third party bookkeeping services will offer the same levels of security or accuracy. Companies interested in exploring the numerous benefits of outsourcing bookkeeping services are advised to do business only with third party firms that can ensure encrypted transfer of data, in addition to those who utilize top accounting software. This will enable small business owners to easily move from one service to the next if they’re not satisfied with the quality of work, in addition to not having to learn new systems each time a change is made.

For more information on finding the third party bookkeeping firm that’s right for your business, visit AccountingDepartment.com.

So how do you know where the line between myth and fact lies? To help you find it, we’ve rounded up the top three most pervasive myths about cloud accounting. Let the debunking begin.

· Myth: Storing and transmitting financial data via the cloud leads to information theft. Fact: Most third party accounting firms that offer business process outsourcing use top of the line security encryption to keep your company’s financial data safe via transit, and the same level of security is given to the storage of that data.

· Myth: Moving from a traditional system of bookkeeping to cloud accounting requires a company to revamp its existing accounting infrastructure. Fact: The transfer of duties from an onsite bookkeeper to a remote bookkeeping firm is a simple process that won’t require you to make big changes. In fact, some outsourced accounting companies like AccountingDepartment.com operate with a variety of different software programs that you may already be using, making the switchover painless.

· Myth: Cloud accounting services are too expensive. Fact: Most of the time, businesses actually save money by outsourcing their accounting through the cloud. The reasons why are simple: one less fulltime employee on the payroll, one less employee drawing costly benefits, and decreased expenditure on overhead and equipment.

Outsourced accounting is a tool that can be used by business of all sizes, from sole proprietorships to large corporations. To learn more, and to read up on the various benefits of cloud accounting, visit AccountingDepartment.com.

· Business bookkeeping services help you make better use of your office space. Let’s face it, commercial real estate isn’t getting any cheaper. Even in light of the sagging real estate market, the cost of office space remains high enough to drive savvy business owners to seek new and creative ways of cutting corners. Outsourcing your accounting department will eliminate the need for extra physical space within your organization, enabling you to downgrade to smaller digs to save big.

· Increase employee morale. If you think this is a stretch, consider how slow payroll can impact your worker base’s enthusiasm for performing. When payday rolls around and checks still haven’t been cut, this can be the source of serious lost morale and defections to businesses that pay on a more timely schedule. One of the many benefits of outsourcing bookkeeping and payroll is that paychecks will always be on time, keeping your workforce happy.

· An outsourced accounting department takes the heat off of you with respect to compliance issues that could cost you some serious fines if your bookkeeper drops the ball. What’s even better, many business bookkeeping services offer insurance against their failure to perform, putting you in the unique position of being able to benefit – not suffer – in the highly unlikely event that a foul-up of epic proportions gets you in hot water with tax authorities.

Insurance against such blunders is one of the most important benefits of outsourcing bookkeeping, but not all third party accounting firms offer this. When you’re shopping around, put this requirement at the top of your list to help you narrow down your choices of where to bring your business. To learn more about one bookkeeping firm that offers all of the above, visit AccountingDepartment.com.

- Language Barriers. When you outsource bookkeeping services, one of the greatest concerns you’ll face is that the individual with whom you’re communicating won’t understand your instructions completely. These kinds of misunderstandings can be costly.

- Security Issues. Outsourced bookkeeping services have to be able to provide top-notch security for the transmission and the storage of your company’s sensitive financial information. If that’s compromised, it could result in serious damage to your company. Third party accounting firms not located in the United States may not be held to the same legal standard as in-country companies, which is a grave risk.

- Lack of Resources. Reliability and quality of work are two factors that fall under the general umbrella of companies that operate with limited resources. Just because you may be saving a bundle certainly doesn’t mean that you’ll be getting the same quality or reliability from an outsourced bookkeeping company.

Always take a close look at the company you plan on doing business with before handing over control of your company’s sensitive financial information. Ensure they offer well rounded services that will not only serve you well now, but that can continue to do so in the future as your company grows. There’s nothing wrong with doing commerce with companies in other countries. Just think long and hard before extending that commerce to include your company’s financial workings.

· If your company’s needs go well above and beyond simple bookkeeping, consider starting slow and small. Hire a virtual bookkeeping firm to handle a small portion of your accounting and keep a close watch on the numbers to ensure everything is done accurately.

· Once you’ve grown comfortable with the online bookkeeping company’s ability to perform rudimentary accounting tasks, discuss branching out services to include accounts receivable and accounts payable duties. Most third party bookkeeping firms will offer graduated levels of service.

· Compare the fees charged by the bookkeeping firm against the costs that you would have incurred paying an hourly wage to an on-site employee, but don’t just look at earnings. Also consider your out of pocket expenses for healthcare benefits, time off, and potential lost productivity when an on-site employee is out sick.

· Move beyond the simple virtual bookkeeping services offered and investigate the performance of the third party when it comes to the creation of financial reports, as well as the more complex and comprehensive duties of controller services.

Trust is something that’s tough to come by these days, and it’s in every business owner’s best interest – as well as that of his or her employees – to take pains to ensure that trust is duly earned. If you’re not ready to take the plunge with a virtual bookkeeping firm, consider it a sign of your prudence where the lifeblood of your enterprise is concerned. Taking the above mentioned baby steps is sometimes the best way to guarantee that the outsourced firm you’re working with will be able to deliver security and quality performance. To learn more, visit AccountingDepartment.com.

A lot of people would just as soon offend their own mother than utter the word “offshoring” in a professional capacity. Whether that’s a questionable thing or an honorable thing really depends on the relationship that individual has with the one who gave them birth. Regardless, offshoring should never, ever be confused with yet another “O” word that is for some reason equally as offensive to the ears of many business owners: outsourcing. Alas, there’s an enormous difference between hiring outsourced bookkeeping and offshoring your accounting needs. And outsourcing should never be looked on as a dirty word.

For one, there are stark differences between the two that can be expressed simply and succinctly. Offshoring equals job losses in the United States. It’s essentially telling your existing workforce to take a hike, that you’re moving operations to another country where you can get labor real cheap, and then doing exactly that in pursuit of a higher profit margin.

Outsourcing, on the other hand, is a practice that should be held in high regard by small and medium sized business owners as something that not only creates jobs, but that can enable companies to operate more efficiently at lower cost.

When a company takes the outsourced bookkeeping route, they’re not killing jobs. They’re handing off the very important work of their company’s accounting to a small business bookkeeping service that’s staffed with professionals who know what they’re doing and who do their job well. While it is possible to find third party accounting firms that aren’t located in the good old U.S. of A., these are strongly discouraged by tax authorities for their lack of security and limited experience with U.S. tax laws.

Outsourced bookkeeping takes the burden off of businesses so they can concentrate on what they do best, instead of having to spend precious time and valuable resources to ensure they’re in accordance with confusing tax regulations. If you want to look into an outsourced bookkeeping service that’s owned and operated within the United States, visit AccountingDepartment.com.