Individuals do not step into the businesses in order to gain financial and accounting expertise. They bid on their flipping coin with a vision of its growth at every step rather than focusing on the accounting processes. But small businesses, startups, etc. not always find it easy to find an appropriate or competent accountant or can afford a complete team of accountants for their day to day accounting processes and yearly finalizations.
The primitive approach of having in-house accounts department was never wrong. But, the growing demands of skilled individuals has made them either unaffordable or hiring them or a team of them is not into consideration at the early stages of business or small business enterprises.
More than 4/6th of the Small Business Taxpayers are in a doubt of paying taxes more than their actual liability due to lack of the expertise.
Outsourced Accounting is not a bad investment, if you can go through the below given benefits:
1. Cost Effective: We continue here with our boast regarding the cost effectiveness of hiring an outsourced accounting service. The associated cost of an hired employee like during job and post retirement perquisites, unprecedented holidays, etc., makes in-house hiring more expensive. An expertized team brings more value than an individual or a couple of them which further reduces the compliance issues and provides finances on which you can rely on.
2. Ensures Proactivity: An outsourced team for accounting ensures your proactivity and focus on the business growth rather than making your brain occupied into the accounting and financial processes. Having expert supervision on your finances gives you a relaxed corner to your business and helps you take confident financial decisions.
3. Scalability of accounting: With your increasing business you might need an extra employee or a couple of them in order to cope-up with the accounting requirements and in this complete process you need to add on “0” stress since you can easily scale up or scale down the accounting cost when it comes to outsourced accounting services.
4. Automation is future: Automated Accounting Softwares like RealBooks are used by most of the businesses in order to increase efficiency and accuracy. Our software is not only used by the businesses but also by the Outsourced Accounting Service Providers through which you can get real time reports and you will be also saved from internal frauds.
5. Your personal experts: An employee or a group’s professional development is dependent on the organization and their processes. But, an organization specialized in accounting and finances would have a better expertize in the area. Since the businesses are the trust builders and revenue givers of these outsourced accounting service providers, best service will be ensured.
Every pro brings a con along, so are the benefits of Outsourced Accounting:
1.Undercover cost: Every service business in the industry also has their trade secrets and none in the planet display their flaw before the benefits. Certain hidden costs are not initially revealed while getting the client on board but later on the charges add on month on month.
2. Lack of control: If your service provider is using RealBooks, then you can ignore this disadvantage as on RealBooks the service provider can give you view rights so that you can refer your accounts anytime and anywhere. Non-RealBooks using service provider might need a few calls for each and every requirement and you will have to wait for them to send you the reports weekly or monthly basis.
3. Security Risk & Confidentiality: Again, if your service provider is using RealBooks, then you can ignore this disadvantage as on RealBooks the data is stored in Amazon AWS secured clouds in which the data is stored with multiple layer security. Data security is a risk for the business relying on their service providers. Every trade has their secrets and they do not want to lose the confidentiality of the same so some of the businesses even hesitate to move towards outsourcing.
Not only startups and small businesses, but also the big businesses are shifting to Outsourced Accounting Service Provider since the employee cost is high and the hiring cost towards those hiring are high as well. In this fast moving world you might hire an employee but the retention is a challenge as well.
Outsourced Accounting makes you lead your business hassle free and RealBooks will be available to help you at both the sides of your decision coin.
It’s time to choose RealBooks and take your visionary organization towards a smarter and greener tomorrow.