Since the pandemic, CPA firms are increasingly opting for outsourcing and focusing mainly on skillsets and tasks that in-house teams can handle.
To understand why Outsourced Bookkeeping Services can be the best way to grow your accounting firm, you must understand why leading firms opt for it.
Out of the many accounting services provided by CPA firms, bookkeeping gets the least priority. Even though bookkeeping is a simple task for a qualified accountant, accurately managing accounts takes time and concentration.
Let’s take a look at some of the most common reasons CPA firms of all sizes outsource their bookkeeping services.
1. Save Time to Focus on Scaling Business
As your company grows, you’ll find yourself spending more time completing tasks and less time scaling your business.
As a result, outsourcing tasks such as bookkeeping allows you to concentrate your time and resources on developing business strategies. It will also help to increase revenue and give you time to improve your relationship with clients.
With outsourcing, you will save the time of recruiting, managing, and maintaining the resources.
Many firms do not consider the time it takes to find a professional accountant, but it is equally correlated with costs.
2. Reduce Cost & Pay As You Go
Hiring and training an in-house team of bookkeepers can be one of the most time-consuming and expensive processes in CPA firms regardless of its size.
Outsourcing allows you to gain access to top talent and their expertise without incurring the costs of hiring and training them. You’ll also save money on infrastructure, software, and maintenance with office supplies, taxes, insurance, and other benefits for full-time or part-time employees.
Outsourced bookkeeping companies provide a variety of engagement models to meet your needs. As per your firm’s requirement, you can choose between hiring a full-time employee or pay only for the services you outsource.
3. Get Advanced Bookkeeping Professionals with Latest Technology
You can hire a professional bookkeeper with a higher level of expertise at a lower cost by outsourcing.
Outsourced bookkeeping and accounting service companies constantly improve their skills and qualifications to remain competitive in the market.
These companies also constantly train their resources with the latest software. Their professional accountants are adhere to the zero-error principle.
Furthermore, they ensure exceptional turnaround time while managing clients’ accounts on behalf of your CPA firm by utilising the most recent accounting tools.
These outsourced bookkeeping resources can create more detailed financial models than ever before with the latest technology.
With their technical expertise in bookkeeping, the outsourced team can assist you in accurately anticipating future results and developing an accounting plan by building financial models with a wide range of data.
4. Be Prepared for the Tax Season in Advance
Having outsourced full-time or part-time bookkeepers will lay the groundwork for trouble-free tax preparation and filing experience.
They have a lot of experience preparing documents for business taxes and will have enough time to prepare your clients’ books ahead of time.
Your outsourced bookkeeping team will ensure that your clients’ transactions are properly documented and accessible for you and your tax accountants.
Outsourcing accounting will also spare you time to interact with your clients. You can get all the documents from them and be prepared for the tax season well in advance.
5. Opportunity to Grow Rapidly
Once you outsource bookkeeping, you can focus on more important tasks and growing your business.
Your outsourced bookkeeping team will handle your clients’ bookkeeping and with your internal team working on the core operations, you can expand your business without impacting the work function.
Internal team working with workload increases the chances of errors that could result in costly consequences. Outsourced bookkeeping will help your CPA firm prevent these errors and allow you to focus on other responsibilities and growth strategies.
It may be difficult to determine when it is appropriate to outsource your bookkeeping services. However, now that you are aware of its advantages, you will be able to make a more informed decision. Outsourcing your bookkeeping services will undoubtedly help you optimise your business and streamline your operations.