Outsourcing Accounting Work: One More Way to Save Money in Your Growing Business
The internet and cloud-based storage solutions offer a number of ways for business owners with revenues from $1 million to $25 million to save money. Outsourcing accounting work, along with other office work, saves your company money in:
• Unemployment taxes
• Hiring and training
• Health care benefits
• Infrastructure (desk space, office equipment, etc.)
Many companies and individuals in a variety of fields now offer U.S.-based outsourcing services for growing businesses. People who work from a central office or even from their own homes do the same tasks in-house employees used to do, at significant savings.
You might consider outsourcing one or more administrative and management tasks to individuals or firms. Here are just a few of the jobs you can outsource to reduce your overhead and save money.
SMB Outsourcing: What Services Are Available?
Here are three kinds of SMB outsourcing (that is, for small-to-mid-size businesses with revenues up to $25 million — not really small, at all!) that save money on important administrative and bookkeeping tasks.
1.) A Virtual Assistant – A VA (as it is called) can be an office manager, travel specialist, administrative assistant and more, all from a remote location. You have choices in VAs, including U.S.-based administrators or VAs who work for large firms off-shore. When you hire a U.S.-based VA, you should find someone who speaks English as their native language and works the same hours you do. This will make communication easier, and business owners know good communication is one key to success.
While many VAs also provide bookkeeping services, it’s best to leave outsourced accounting services to professional, trained bookkeepers.
Hiring a VA who knows bookkeeping may save your company money, but it’s not much better than having your in-house office manager do the bookkeeping. You won’t experience the same checks-and-balances a full-fledged virtual accounting firm provides, and you won’t know that you’re getting a bookkeeper who follows the right processes and procedures and adheres to GAAP principles of financial accounting.
2.) An Answering Service – An outside answering service, rather than a receptionist and switchboard located in your office building, can save your company substantial money on both technology infrastructure and employee salary and benefits. Relieve your office staff of the burden of answering phones so they can focus on their jobs and help increase your bottom line.
3.) Outsourcing Accounting Work – When you price outsourced accounting services, you’ll see all the money you can save. You can use our accounting cost calculator to see the real price — in time and money — you pay for an in-house accounting department. Then you can call AccountingDepartment.com for your free price quote to see how much it would cost for a full-fledged accounting department to manage your books from a remote location.
When you outsource, your bookkeeper is dedicated to your financial accounting services. That individual doesn’t answer phones, book trips, make coffee, or do anything else that administrators might do.
Your bookkeeper is devoted to keeping your books, generating financial reports and helping you get a better handle on your company’s cash flow, because knowledge is power.