by: Sarah Joson
Tuesday, May 20, 2014 |
Business owners and leaders of today are pre-occupied with various goals. Things sometimes get conflicted because executives don’t know which factor they should focus on first. Should they focus on saving money, improving efficiency, or complying with the government and industry standards? These are their goals aside from generating more revenue and drive business value up.
One of the most time-consuming and delicate tasks that business owners have to deal with is the financial aspect of the entire operation. It comprises several smaller tasks like payroll processing, compliance, internal audit, and risk management - all of these while surviving with what little resources they have. Business owners began outsourcing because not only are they able to finish accounting tasks faster, they are also able to control the challenges related to overhead and operation augmentation.
A post at CPAPracticeAdvisor.com shares the advantages of outsourcing accounting as told by ProNexus, a renowned management consulting and professional services firm.
1. Gain access to global accounting experts.
If you feel that your in-house accounting department will not do well once introduced to the public, consider outsourcing to a company that specializes only in accounting. The reason for this is because these organizations are built on accounting and numbers. They have to deliver their services properly or else they risk losing real-time business, or worse, taint their reputation.
2. You can be sure that global standards are met.
Regulatory requirements change occasionally and in order for accounting firms to stay relevant and above their competitors, they would have to keep up with these changes. As for non-accounting businesses, they would need to add this to their to-do list or end up facing charges.
3. Outsourcing accounting work will help you better manage costs.
Data released by the General Auditor Information Network (GAIN) indicate that businesses will only have to pay for the services that they actually need and implement. So you would no longer have to compute for the remaining hours once a project is done. You also no longer have to shell out huge sums of money since there will be no capital investment involved when outsourcing.
4. Streamline operations and distribute valuable resources accordingly.
Since your operations will be managed by experts, you no longer have to worry about failing to meet your deadlines. They also have a standard procedure in reporting and all the necessary skills to identify errors, even during the actual operation. When a problem occurs during operation, incident reports are duly created then submitted to the clients to be analyzed.
5. You will have more time to address important things.
Instead of worrying and wasting time in overseeing accounting functions, business are able to free up more time and focus on core functions of the business. Accounting service providers are known to offer services like treasury and cash management tasks, cash flow preparation, inventory of assets, debt compliance monitoring, credit facility analysis, and initial public offering (IPO) preparation.