Of course, bookkeeping can be done remotely - We're the best at it! Remote bookkeeping is an option for business owners that is growing rapidly in popularity. Many companies have made the switch from in-house bookkeeping to remote bookkeeping since the COVID-19 pandemic and even now with offices and businesses opening back up, the benefits to remote bookkeeping outweigh an in-person option so significantly that many businesses are sticking with it.
What is Remote Bookkeeping?
Simply put, remote bookkeeping is when a company outsources its bookkeeping needs. It can be done by a remote, but local, bookkeeping company or it can be done from anywhere in the world by a remote, virtual bookkeeping company. Outsourced bookkeeping services provide the same services as traditional bookkeepers, but often can accomplish more and offer a host of other benefits. Services can include but are not limited to, payroll, account reconciliation, paying bills, financial reporting, and more.
The Benefits of Remote Bookkeeping
There are many benefits of remote booking for businesses. First of all, there is greater flexibility with remote bookkeeping than in-house bookkeepers. You can get in touch with your remote bookkeeper at any time and with AccountingDepartment.com, you have your own dedicated Accounting Specialist that is assigned to your account. This way there is always someone that is familiar with your books.
Secondly, there is a lot of cost savings for companies when they opt for remote bookkeeping services. Rather than paying for a full-time salaried employee, the company only pays for the time billed by the outsourcing company. Companies no longer have to pay for health benefits, paid vacations, and overtime. Plus, companies save on IT costs and other overhead expenses.
Another benefit of remote bookkeeping is companies get more time to take care of business. The time wasted with taking care of late payments and hassling with due dates is eliminated. Companies have more time to take care of what really matters. They can now focus on growth.
For any business, forecasting and accuracy are critical. Companies need real-time data and accurate figures to make wise decisions. If a bookkeeper isn't top-notch, this can fall by the wayside. Keep in mind that forecasting cannot be accomplished with guesswork. Investing in remote bookkeeping services is a surefire way to get real-time data and accuracy. A bank can only tell you so much. Reports on balance sheets and profit and loss give a company updated data and a true picture of the company's financial health.
Remote bookkeeping services also help companies to reduce fraud. Unfortunately, fraud does occur from time to time with bookkeepers. They just may not have the company's best interest in mind. Remote bookkeepers are unbiased and well known for their honesty. In addition, they double-check their books before sending reports to their clients.
With remote bookkeeping services, companies get top-notch talent. They are also very experienced in their field. That equates to high-quality work and fewer errors. Companies can leverage this benefit to optimize business.
Lastly, a benefit of remote bookkeeping services is improved business management. Remote bookkeeping helps keep a business organized, increases productivity, and reduces inefficiencies. Companies know where their money is going and can tweak the budget accordingly.
Bookkeepers and Accountants
Bookkeepers are not required to have any formal education. Accountants are required to have a bachelor's degree in either finance or accounting. Accountants can go further and attain the certification of a Certified Public Accountant (CPA). The roles of a bookkeeper and an accountant also differ. Bookkeepers gather data regarding daily financial transactions. They prepare payroll, maintain ledgers, post invoices, complete financial reports, and record financial transactions. All of this information is needed in order to operate a successful business.
An accountant uses the data compiled by a bookkeeper. Accounting is more of a subjective process and gives a snapshot of the company's financial health. Accountants review financial statements, analyze cost operations, prepare to adjust entries, and help business owners better understand the impact of their financial decisions. While the role of an accountant and bookkeeper differ, the goal is the same.
Finding a Good Virtual Bookkeeping Service
A good virtual bookkeeping service will be using social media platforms and be very open with their operations to a prospective client. Check out the forums on sites like LinkedIn and Facebook. There should be content that establishes them as a leader in the industry. Take a look at what previous clients have to say about them. Do they demonstrate knowledge and expertise? Doing all of this should give you a good idea of whether or not a virtual bookkeeping service is a good fit for your company.
If you are seeking an excellent virtual bookkeeping service, turn to us at AccountingDepartment.com. We are long-time leaders in the industry. In addition, we have experience in a wide array of industries. Be sure to contact us today - you'll be glad you did. We are always happy to answer all of your questions - no question is too big or too small.