Now is the perfect time to consider outsourcing financial processes and appreciate the many benefits of delegating accounting tasks to a specialized professional.
Accounting functions are among the most commonly outsourced business operations, next to call centers, web design, and computer programming.
Organizations of all sizes across a wide range of industries are outsourcing their accounting and bookkeeping.
Technological advances and innovations by third-party providers have made outsourced accounting and bookkeeping practical and affordable for businesses of all sizes.
According to the publication CPA Practice Advisor, about 71% of small businesses outsource at least one financial job.
The most commonly outsourced financial functions in the United States are payroll, accounts payable, billing, and benefits and claims administration.
Delegating bookkeeping and other accounting tasks to a company like Sherman Oaks Accounting & Bookkeeping powered by One Source Services, Inc. will benefit an organization with:
> Having more eyes on the job. A team of professionals puts more eyes on your finances. They double-check each other’s work, greatly increasing accuracy and quality. Visualize the potential for improvement by working this way instead of using one overworked bookkeeper, as some businesses do.
> More focus on your core mission. Many entrepreneurs find their time gobbled up by number crunching instead of developing new ideas and finding ways to grow their business. By transferring the accounting from in-house to an outside company, you can devote more internal people and resources to the business aspects you are most passionate about. This is especially true for small businesses that may have fewer resources than their larger competitors. Imagine being released from the distractions of back-office functions and renewing your enthusiasm for your work.
> Employing expertise. Hiring a third-party accounting company puts your accounts in the hands of experienced professionals who specialize in accounting. Sometimes in-house bookkeepers and accountants have other duties, in some cases bookkeeping may not even be their primary duty and they may only be minimally trained for accounting work. Sherman Oaks Accounting & Bookkeeping assigns a highly trained professional to clients, and their only job is the accounting.
> Cutting-edge vetted technology. How current is your accounting and bookkeeping software? Does it integrate with other applications? A professional accounting firm will have tested the latest applications and implemented the best ones to improve accuracy, organization, efficiency, and accessibility. They provide better controls, more meaningful financial data to analyze, and better CPA and audit readiness.
> Cost Savings. Hiring employees can be expensive. There are salary costs, payroll taxes, benefits. training costs, space and supplies for them to work, more hardware and software. Avoid these additional costs, and more, by outsourcing the work to a third-party company like Sherman Oaks Accounting & Bookkeeping. Plus, a professional will reduce or eliminate unnecessary profit-bleeding costs like late fees, overdraft fees, bank charges, tax penalties, and more.
Finding the right accounting firm can be a challenge. With so many third-party providers out there, how do you choose one? Here are some things to consider when shopping around for accounting and bookkeeping services:
> Professionalism. Working with a well-established, experienced provider is very important. Choose a firm that has the depth and breadth to provide the services you need. The closer a firm’s experience is to your individual business, the better they will be able to understand your specific needs.
> Technological capabilities. What accounting software do they use? Is their technology compatible with yours? What level of training and support do they offer? How do they secure client information? Do they have a disaster recovery plan for their technology infrastructure? Ask questions and avoid costly technological glitches that delay essential work.
> Service. It is critical that your chosen accounting firm has a strong customer service ethic and is easy to reach. They must be responsive, friendly and helpful. It’s important to find a provider that you are comfortable dealing with and who is there for you when you need them.
> Pricing. Ask for a personalized quote. There should be no surprises about how much the service will cost. Find out if there will be additional fees and what the service termination terms are. The goal is to save money and improve service, so it would not be worth it if costs were excessive or you were locked in a restrictive contract. Sherman Oaks Accounting & Bookkeeping powered by One Source Services, Inc. and other providers let clients know up front how much their accounting will cost each month with fixed-price contracts. We charge a pre-determined monthly price tailored to a client’s specific needs and there are no surprises or unexpected costs, ever.
If you are smart and deliberate about hiring the right accounting or bookkeeping provider, you will reap the many cost and productivity benefits of outsourced bookkeeping and accounting.