Five reasons to consider outsourcing your accounting function:
Outsourcing has become really popular over the past couple of years whether that be outsourcing your HR, IT, or your Legal department whatever it might be. To become a really good option for small to medium-sized businesses who don’t really have the funds or the need to hire someone full-time in-house but they can get a lot of the same expertise by outsourcing it to a company. That can provide that role for them so accounting is no different than any of the other ones so let’s dive into five reasons that you should look to do this for your accounting department.
Outsourcing is the first one is the big one it’s all about money hiring a controller or a CFO-level person for your business is really expensive. And it’s not just the salary cost there are benefits there’s training if they have any downtime you know you’re paying for that when you outsource it you eliminated a lot of these. And you’re basically just paying for what you need so the idea behind outsourcing is to get the service at the level. That you need to get the expertise that you need but at a fraction of the cost number.
Outsourcing is turnover for any business owner is a killer there’s so much time bringing someone new in catching them up to speed training them going through everything to understand your business. That if you hire somebody in-house there’s always the risk of them leaving or something happening and then having to do that deal with turnover if you outsource the function the company should be there with you no matter what happens. If an employee leaves or someone else steps right up and takes their place you should have a partner at your at the firm you’re working with. That’s kind of your point of contact so that if anything does happen they always know what’s going on they’re able to step in and handle things. And that way there’s just continuity with your accounting function which is really important it’s important to avoid that turnover. And the headaches that come with it.
Outsourcing means outsourced company typically we’ll have a little more skin in the game as you grow, as you build all right their success is kind of hinged on your success because they can grow with you. Employees typically don’t have a lot of skin in the game they’re just kind of coming in doing their work doing their nine-to-five and heading home. And anytime you have somebody with skin in the game and a little bit more to lose there’s more incentive there typically you’ll find that they’re gonna do a better job for you they’re gonna work harder for you. Outsourcing gonna have your back more and we found that that outsourcing your accounting function allows them allows that company to have more skin in the game. And even have your back more especially from the financial side of your business.
Outsourcing supports and when you have an outsourced company that’s handling specifically the accounting function in your business you should have to support just about 24/7. If the person in the main contact on your account may be going on vacation. There should be someone else in the company that can step up if they can’t get to a question. There should be someone else that can step up if you hire one employee in-house if they’re not there if they get sick if they go on vacation. You don’t have any support for the time that they’re going so this is a huge disadvantage when hiring in-house so if you need that constant support.
Somebody always there to help you outsource your accounting function might be the way to go and the last one experiences if you hire in-house. You’re going to get somebody that has a limited experience they’re gonna have work that may be a couple of different companies and be able to bring those to you it could be a really good experience. But if you work with an outsourced company they’ve worked with businesses all across the board in different industries of different sizes. And they can bring a lot of those things from the different companies into your company to help you grow they’ve seen a lot more and typically they’ve done a lot more so that experience is something that can really propel growth in your business.
Obviously, this is a topic that I’m really passionate about you know running an outsourced accounting controller and CFO practice but you know whether you give us a shot or not I think it’s really important that you consider outsourcing the accounting function in your business.