How Outsourcing Internal Accounting Benefits Your Business
Outsourcing business processes is an effective way to minimize your costs and maximize your operations. Whether you’re scaling your business or looking to delegate important tasks, outsourcing your accounting can have long-term advantages for your company’s revenue and growth.
7 Benefits of Outsourcing Your Accounting
1. Free Up Your Time & Improve Operations
Accountants have a wealth of resources and technologies that can save you time and money. These experts have relationships with the best breed of software vendors, ensuring your accounting processes are as efficient as possible.
By using technologies to solve manual accounting processes, accountants ultimately free up your time. At BGM, we prioritize the three accounting cycles all businesses typically need to address:
- Expense management
- Customer/client billing and cash receipt management
- Payroll Management
When you free up your time, you’re able to focus on what matters, such as your day-to-day business operations and company growth.
2. Improve Cash Flow Visibility With Accurate, On-Time Reports
Accuracy is the name of the game when it comes to gauging your profits. Since accounting services can streamline your financial processes with automation and technology, you’ll have access to analysis of your month-over-month financial statements. These statements are provided as monthly reports to keep you informed and up-to-date on your business performance and profit margins.
3. Reduce Risk
Hiring qualified accounting professionals will help lower the risk of a fraud event. First, trained accountants are up-to-date on compliance regulations, tax codes, and laws. They’ll ensure that regulatory requirements are followed, and stay current on relevant laws.
In addition, they design segregation of duties controls within the accounting workflows. These controls greatly lower the risk of a fraud event.
When you know your accounting is being taken care of by qualified professionals, you’ll be able to focus your attention on your company vision and business operations without concern.
4. Scale (GROW) Your Business
Accurate historical financials and future income projections are critical in scaling your Business the RIGHT WAY. Many businesses can implement strategies to grow, but don’t recognize some growth may not be as profitable as other types of growth.
By measuring past performance you’ll be able to determine the best path for the company’s growth plans.
A solid accounting service will provide you with the support you need for your business’ finances. They’ll give you an accurate financial picture of your business performance and help you proactively determine profit strategy.
With the help of an accounting service, you’ll be able to strengthen your focus on scaling your business.
5. Make Informed Financial Decisions
Accountants are experts at what they do. They’re on top of best practices, changes in legislation and regulations, and the best technology for your business. As a result, you get experienced financial consulting to help you improve your business performance and address complex situations.
Your accounting service can provide you with many types of information to help inform your business decisions such as:
- Current financial performance and advice on profit improvements
- Comparison of performance to market leaders in your industry
- Contribute to the right business strategy for the company going forward
- Best of breed business software recommendations
- Establish accounting standards and continuous process improvement guidance
6. Get the Maximum Tax Benefits
There are a lot of year-end considerations when it comes to doing your business taxes. From separating various expenses to independent contractor payments, it’s a challenge to access your tax benefit potential.
When you outsource your accounting, you’ll have a team of experts who are well-versed in helping businesses manage their end-of-year and quarterly tax filings. They’ll be up-to-date on any recent IRS form changes, check your deduction eligibility and help you attain any maximum benefits.
7. Navigate Inflation & Economic Uncertainty
Inflation is at an all-time high, and businesses everywhere are having to adjust their prices and growth strategies. With an accounting service behind you, you’ll have expert guidance on handling the rising inflation cost.
Since accountants keep up to date on recent governmental actions to economic conditions along with your financial conditions, they’ll be able to help you assess your situation and advise you on how to move forward.
Questions to Ask Yourself Before Choosing an Accounting Service
There are several factors to consider when selecting an accounting service. It will depend on your current situation including your internal accounting knowledge, business performance goals and objectives. To get started, ask yourself the following questions:
What are my business needs?
As you look at accounting providers, think about the kinds of services you require. Do you need tax preparation services, budget management, or oversight to accounting processes?
What is my budget?
Determine your budget before meeting with potential accounting firms. Even though you’ll be saving on costs in the long run, you’ll want to make sure you can initially afford to hire professional accountants.
Is location important?
Technology has allowed many businesses to meet remotely. Ask yourself if meeting in person is important, or whether you’re at ease with hiring a service that isn’t local to your area.
What are my business goals?
Think about your objectives and how an accounting service aligns with those objectives. Are you hoping to streamline your process, reduce the risk of fraud or get profit strategy advice? Focusing on your goals will inform your decision about which accounting service is right for you.
What is my industry?
When it comes to choosing an accounting service, you’ll want one with experience in your industry. Whether you’re a real estate developer or in the automotive industry, examine an accounting service’s industries to determine whether they have the correct, relevant expertise to work with your business.
In Need of Accounting Services? We Can Help.
Whether you’re growing a small business or need financial advice, our experts are standing by. Boeckermann Grafstrom & Mayer offers comprehensive outsourced accounting tailored to your specific needs. Our experienced team will get to know you and your business, and help guide you forward with qualified expertise.
Schedule a complimentary consultation with us today by sending us a message