Why Do Accountants Need To Hire a Remote Bookkeeping Agency?

bookkeeping agency
Toni Ristovski

Toni Ristovski
Founder of Next Generation Company
May 11, 2020

Delegating bookkeeping to third party bookkeeping agency emerges as a number one priority for the modern accountants. In the first place, this process was complicated and expensive, only a few years ago. Today, the development of cloud accounting, completely changed this industry, providing an excellent opportunity for accountants who embrace the technology.

Therefore, thousands of businesses are shifting to outsource to get access to extra skill-sets, resources, and better business outcomes. Accordingly, to stand competitive and relevant in the accounting industry – your accounting practice must find more cost-effective yet reliable ways of providing services to their clients.

There are many benefits for accountants who delegate their bookkeeping. For this reason, in this blog post we are covering six compelling reasons to consider outsourcing as part of your business model.

1. Practical HR solution

Growing your business usually means bringing new team members on board. As a consequence, training and on-boarding them can be a slow and painful process. Moreover, many accountants are saying that this is their most significant obstacle to expanding their business.

Including a bookkeeping agency in your growth strategy is releasing you from this barrier. 

Outsourcing to the experts ensures you gain access to a world-class talent workforce with global knowledge expertise. With this intention, specialized bookkeeping agencies are focusing on one job at the time, getting you the best results possible.

2. Bookkeeping agency is cost-effective

It’s cheaper to employ a provider who specializes in offering a particular service, rather than attempting to provide the solution in-house and face a higher wage cost. That being the case, outsourcing provides you with predictability around payroll or operational costs. Under those circumstances, you can operate your budget and forecast better, and focus on strategic financial growth.

On the other hand, one of the main advantages that this partnership with bookkeeping agencies offers, it’s that you’re utilizing the labor difference on the market. Thus, it’s not a secret that offshore bookkeeping teams are twice as competitive with their pricing than onshore. 

An additional benefit is that you’ll have access to teams with expertise that otherwise you wouldn’t be able to afford. And so, when considered everything above, this partnership could improve your profit margins for up to 60%-70%.

3. Security measures and Segregation of duties

Very often, CPAs have just one person in-house that does everything around bookkeeping. On the other hand, good outsourcing firms separate duties to maintain better control over the whole process. This includes approval, record keeping, and reconciliation. In other words, if your staff is paying the bills and reconciling the bank account, you have a greater risk of errors.

Firms that offer outsource most likely have rigorous safety measures in place to ensure that data is protected. Even more, they are keeping your data stored on secure cloud-based servers that only you and the outsourced agency have access to. Much like your bank or credit card, if there is any type of suspicious activity detected, fraud alerts would be sent to both you and the agency. Although, tothing goes on the right track without multiple people monitoring and receiving alerts if something were to happen.

4. Gain back control over your time again

By “clearing” your schedule from day-to-day bookkeeping, you will be able to focus your attention on your clients and provide them with more meaningful service than before. Now you can genuinely be an advisor to your clients and increase your rates at the end of the day.

Accordingly, tasks that a CPA chooses to outsource are generally taking the time and resource away from the root business. In contrast, by outsourcing “the noise,” accounting practice can instead work on business development and client satisfaction.

5. Bookkeeping agency provides scalable and flexible solution

The most outsourcing agencies today are providing their services in the “On-Demand” model, which means no long term contract anymore. As a result, you can plan your in-house resources more efficiently, knowing that your back-office is here only when you need them.

From a strategic point of view, this helps to build great capacity, delivery and set the firm on track for long term growth. As a final point, many accounting firms who have embraced this approach are winning on many fronts.

6. Clients are in the center of your focus

If the top executives focus on production and small tasks, they would never be able to think about company growth. Further, concerned with day to day operational tasks, they will be distracted from the big picture and the ability to focus on the future of the firm. With this intention, here outsourcing bookkeeping agency is playing the central role.

With the additional capacity, talents, and flexible contract terms, your practice is prepared to grow. Moreover, your key employees in the firm can invest their expertise in what matters the most: your clients, your processes, and your growth strategy.

The benefits of outsourcing to a specialized bookkeeping agency will drive your accounting practice to the next level. What is more, you will achieve client retention, satisfaction scores, referrals, and greater internal levels of satisfaction from within the firm. 

Discover about the benefits of outsourcing or find out everything you need to know about the outsourcing process, only by contacting us. Feel free to reach us. We’re happy to help!

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