Outsourced Accounting: Assistance for growing businesses
As an integral part of running a business of any size, accounting is an ongoing process that requires training and experience to carry out the right way. Businesses without in-house accounting professionals may lack the local day-to-day bookkeeping know-how or the necessary skills for reviewing document sources promptly for their own activities or transaction processing.
Outsourced Accounting can help these businesses, as well as support the in-house accounting teams of larger businesses in the following ways:
- On an ad hoc or retainer basis
- On a seasonal or per project basis
- On a basis which is customised to the business’ specific needs
Outsourced Accounting is a cost-efficient way for businesses to make up for their manpower or man-hour deficiencies in maintaining the necessary records or complying with regulatory requirements. It saves them from having to hire and provide benefits for full-time accounting staff, as well as costly penalties incurred by not having the relevant competencies.
How to choose a firm.
Businesses in the process of selecting an accounting firm to outsource must bear in mind that the firm they choose will be handling its confidential financial information. The firm they choose must be able to inspire them with confidence that their records will be in safe and competent hands.
Business owners are responsible for finding out essential details such as the firm’s credentials, cloud accounting software, and fee structure. They may refer to reviews or recommendations from industry peers.
As one of the world’s leading business process outsourcing destinations, the Philippines is popular with the overseas business community for Outsourced Accounting. The country is home to a highly-skilled, English-proficient workforce in general, as well as over 188,000 CPAs (as of 2018) in particular; has low labor and living costs, and offers several incentives for global businesses.
How outsourcing helps.
Many businesses that outsource their accounting liken it to having their own or expanding their own accounting team, as they’re able to delegate tasks which include:
- Accounts payable and receivable
- Customer billing and vendor records
- Expense reviews and processing
- Financial report analysis
- General accounting
- Invoice processing
- Payroll processing
Communication is key to making the relationship work between a business and its Outsourced Accounting firm. Both must agree from the outset on the means and frequency of communication as well as the division of responsibilities, timelines, and accounting objectives.