Thinking About Outsourcing Your Accounting? 3 Benefits to Consider

by | Nov 24, 2015 | Small Business

Accounting plays an important role in any business. It supplies company owners and the C-suite with information that helps them make smart business decisions. Accurate financial data is essential for successful companies.

But although you have to have accounting, you don’t have to do your accounting in-house. More and more companies are choosing to outsource, for several reasons. CAP3 recently published a post that looked at three of those reasons—less expense, better effectiveness, and lower risk.

  1. Less Expense — Internal financial departments are expensive. There are the salaries, work space, equipment, software, and supplies that all go into a functioning department. With outsourced accounting, you only pay for what you use. When it comes to software and supplies, you share the cost with other companies who work with the external accounting firm you hire, saving you money.
  2. Better Effectiveness — In small businesses, typically there’s only one or two people who are in charge of reconciling accounts. And because these people often have other responsibilities that keep them busy, it’s easy for these people to make mistakes. They just don’t have the resources to focus only on the financials. External accounting firms, on the other hand, are 100% focused on financial tasks, and have the ability to make sure everything is accurate.
  3. Lower Risk — Hiring employees comes with risk. You’re investing time and resources to recruit, interview, and onboard, and you’re never sure exactly what you’re getting. When you hire, you’re committing to that person to a great extent. If you work with an outside firm, that firm shares the risk and responsibility of hiring and training employees.

Especially for small- to medium-sided companies, working with an outside firm is often a good decision, saving not only money but also the stress of maintaining a larger staff.  I know I have saved my clients thousands with our outsourced accounting services. If you are considering outsourcing your accounting for the coming year, get in touch with us and request a quote.