As a startup, you have lots of things on your plate. You’re probably worried about finances, marketing and sales, hiring the right people, and so much more. So it’s understandable if you don’t have time to do accounting or bookkeeping, but it’s also crucial for your business to handle these responsibilities well. One way to ensure that happens is by outsourcing them to specialists who can take care of these tasks for you (and save you some precious time). Here are five reasons outsourcing bookkeeping and accounting matters for any growing business!
Outsourcing is cost-effective
When compared to hiring your bookkeeper, outsourcing is often less expensive. For example, if you hire a full-time employee for $50,000 a year and expect them to work 40 hours per week for 52 weeks of the year, you’re looking at the cost of $20/hour. That’s not including benefits like health insurance or paid vacation days. If you outsource those same tasks instead of hiring an employee, the outsourcing service will charge a base rate without the extras such as a pension, medical, or paid vacations.
There are also other costs associated with hiring someone full-time as opposed to outsourcing: overhead expenses such as equipment, office space rental fees (if applicable), payroll taxes & filing fees…
Outsourcing frees up time to focus on your core competencies
Your business is unique, and so are the challenges that you face. It would be ideal if you could focus on what you do best; however, many tasks associated with running a small business take up valuable time.
Outsourcing can provide an alternative solution if you have limited resources or cannot hire staff to support your bookkeeping and accounting needs. This is, in fact, a strategic outsourcing technique that can level you up compared to the competition. You can focus on what matters most for your business: growing your company by focusing on its core competencies or vision and goals while outsourcing all other administrative processes to experts in accounting who will work seamlessly with the banks (if applicable) to help keep up-to-date financial records.
Outsourcing lets you access expertise
Outsourcing your bookkeeping and accounting gives you access to expertise in various areas. This includes:
- Knowledge of tax laws.
- Experience with small businesses.
- Knowledge of accounting software, including how to use it and what information it can provide.
- Expertise in bookkeeping, including accounting practices and procedures specific to your industry or business type (such as medical billing).
- A deep understanding of financial statements (e.g., balance sheets) that allow you to better analyze the health of your company’s finances at any given time—and make informed decisions about future growth opportunities or operations costs based on real-time data rather than estimates or experience alone.
Outsourcing enables you to remain competitive
Outsourcing bookkeeping and accounting to a professional service provider mean that you can concentrate on what’s most important for your company’s growth and expansion. You will no longer be bogged down by the day-to-day operational tasks that take away from your ability to focus on what makes you unique: your products and services, marketing, sales, etc. By using an outsourced accounting team, you can devote more time and energy to developing these aspects of your business.
Outsourcing is a game-changer for your company
Outsourcing is a game-changer for your company because it will allow you to focus on your core competencies, access expertise, and remain competitive.
- First, outsourcing frees up time so that you can focus on the things that matter most for your business. This includes managing your team or building new products or services. It also means being able to keep an eye on the market and adjust accordingly when needed—in other words, staying agile as a startup.
- Second, outsourcing lets you tap into external talent where necessary so that you can increase efficiency while lowering costs at the same time. This means saving money while making sure any project gets done right—without having to worry about whether the person who’s doing it knows what they’re doing!
- Finally (and perhaps most importantly), outsourcing helps ensure competitiveness in an increasingly competitive industry by providing profitability after overhead expenses have been covered—which lowers risk levels significantly since these items are taken care of by experts instead of end users themselves.”
Summary of the 5 reasons why you should outsource your bookkeeping and accounting responsibilities
- You can focus on your core competencies
- Also, you get access to expertise
- You can remain competitive in the marketplace
- Outsourcing is cost-effective
- Plus, outsourcing is a game changer for your company
The bottom line
It’s time to leap. Outsource bookkeeping and accounting so you can focus on what’s most important for your company’s growth and expansion.