Outsourced accounting services are rapidly gaining popularity among businesses. More than two-thirds of large businesses outsource roughly 40% of their accounting and IT processes. And, accounting services and IT services are the top two outsourced categories.
Outsourcing client accounting services offer many benefits to business owners. Some may not realize all the advantages of handing your financial management to an external partner. This blog post will highlight some of those benefits.
The adoption of modern technology is still lagging in the accounting world
Businesses have been using cloud-based accounting software solutions for roughly twenty years. However, full adoption is still far from universal. One global survey showed that almost 4 out of 10 small business owners, including some entrepreneurs, still use paper-based accounting systems to manage their financial records. This number is only slightly higher than the number of businesses that report using spreadsheets to record financial transactions and generate budgets, expense reports, and financial statements.
Motivators driving the shift toward cloud-based accounting services
Business leaders who are hesitant to embrace cloud-based accounting services say that they worry about security and lack of control. Some say they cannot afford the steep financial investment necessary to update internal systems and processes. These same business owners have been using external bookkeeping and CPA services for years, handing off tax reporting and filing to local CPA firms. In reality, many of these professionals are using cloud-based QuickBooks and NetSuite solutions as they deliver cost-effective, accurate, and secure services to their clients.
The same motivators that drive professional financial experts to embrace technology – organizational efficiency, accuracy, tighter financial control, and enhanced security features should lead hesitant business leaders to consider outsourcing accounting services – who, by the way, also use the latest web-based technology to provide services aligned with a client's unique requirements and business model.
Exploring the benefits of NetSuite Solutions
While cloud-based adoption rates are lagging, it may be because some decision-makers do not realize how many pain points cloud-based outsourced accounting services relieve. Here is a quick snapshot of just some of the benefits of outsourcing your financial management to a firm that uses NetSuite solutions.
- The ability to scale effortlessly, without the expense of recruiting, hiring, and training new hires
- Increasing transparency with native on-demand report generation and real-time data
- User-friendly functionality that provides sophisticated workflow management
- Expanded client services that enable e-commerce and ancillary options for inventory control, project forecasting, and management, and CRM
- Cost-effective capabilities that reduce man hours and expenses associated with legacy bookkeeping systems
- Enhanced collaboration support for local, national, and global stakeholders
- Solutions for small to enterprise-class organizations with multiple layers of redundancy and industry-specific features that drive growth
- Gaining tighter control of finance and asset management
- Replacing legacy systems that your organization has outgrown
- Increasing accuracy and reducing time spent manually combining data from multiple spreadsheets or systems
- Eliminating bottlenecks and productivity barriers with optimized workflow patterns
Exploring the benefits of QuickBooks Solutions
Like NetSuite, web-based QuickBooks software offers a myriad of benefits. Using QuickBooks provides your local CPA or outsourcing partner with everything they need to ensure your financial health is accurately represented in operating statements, balance sheets, cash flow statements, and other financial reports.
Whether you maintain internal books using QuickBooks or your outsourcing firm assumes all accounting functions, using this technology will allow your controller or chief financial officer to:
- Organize and manage financial transactions according to industry standards
- Audit your bookkeeping records periodically to ensure regulatory compliance
- Recommend cost-saving opportunities that enhance internal workflow and productivity
- Provide financial advice for improving profits while reducing expenditures
- Explore changes in the tax code that could reduce tax liability
- Offer guidance related to long-term planning and capital investments
Outsourcing Accounting Services: Is It The Choice Right For You?
Finding the ideal outsourced provider depends on many things. You deserve a partner that has your best interests in mind. Services delivered usually provide an exceptional upgrade at lower costs than maintaining an in-house team.
Look for a forward-thinking partner that utilizes the best digital technology available today. If you currently use an in-house accounting software solution but still rely on pen and paper to record some financial transactions, consider the benefits of onboarding a unified solution that is fully integrated. You'll marvel as you see your labor-intensive financial management system evolve into a seamless system that makes report generation and collaboration effortless – and, you'll save money as your organization becomes leaner and stronger.
Ready to jump on the cloud-based accounting services bandwagon? Have more questions about the benefits and competitive advantages NetSuite offers? Contact a member of our client accounting service team today and ask for details about how cloud-based accounting services can help you achieve your financial goals.