Outsourcing is the practice of hiring a third-party to perform some of the clients’ business functions. As businesses adapt to the new normal, more and more companies are embracing outsourcing as a business strategy.
While some outsource within their country, more companies turn to offshore outsourcing to fully benefit from this practice.
Here in the Philippines, one of the most popular outsourced services is accounting. Why do businesses outsource their accounting services? And when is the best time to do it?
When is the best time to outsource accounting?
Admittedly, finding a credible and qualified accountant might eat up a lot of time and effort on your end. Good thing there’s outsourcing. If you want to know when is the best time to outsource your accounting, here’s a quick guide:
The beginning of your fiscal year
You might need to prioritize accounting at the onset of the year. This is the time of the year when many firms are adding new changes to their systems.
Since your general ledger will be pretty empty, there will be little accounting work to do. This means that at the end of the year, when it’s time to close your books and file your tax returns, there’s an outsourced partner who can deliver the task who witnessed the in-and-outs of your business the whole year.
The end of your fiscal year
Apart from doing your accounting at the beginning of the year, you can opt to do it at the end of the fiscal year. Switching accounting solutions towards the end of the year might be too late for your accountant to correct any possible miscalculations from the current year.
However, this will give them a good angle of your organization’s financial activity,analyze the events of the entire year and create budget plans for the next year. Your outsourced accountant can help you prepare and file your taxes, as well as refine your finance reports.
After filing your taxes
If you’re planning to outsource an accounting partner, it’s also a great time to share your recent filed tax information with them. Having your most recent tax returns ready gives your accounting team a full picture of your finance operations.
In this scenario, they can familiarize themselves with the financial and operational aspects of your company in the best way possible.
Why should you outsource accounting?
Aside from the fact that outsourcing accountants can cut back on cost on your labor savings, here are the other reasons why offshoring accounting roles is a must upon growing your business:
Outsourcing can provide access to a range of professional offshore accounting staff!
To compete better in the market, accountants today must know advanced business practices, as well as soft skills in accounting. These skills make them more in-demand.
Through outsourcing, you’ll get access to a wide pool of talented and skilled accountants – you just need to decide who’s the most suitable and qualified for your organization.
You can save up to 60% on employment costs
Compared to hiring in-house, outsourced finance and accounting experts possess the same certifications and qualifications needed to suit your demands and preferences. Since they have the same educational background as your in-house accounting staff, you can outsource your accounting team offshore – at a fraction of the price!
Outsourcing helps companies of all sizes to save up to 60% on labor costs without risking the quality of the job’s performance. Through this strategy, you can ensure that your company’s books and finances are well taken care of, without the hefty overhead costs.
Focus on your core operations
Accounting is an in-demand profession that is highly regarded and sought by many companies. Almost every kind of business will need accountants to analyze and interpret numbers for you; however, this department tends to be a little tedious and repetitive.
This then takes a lot of time and effort away from your in-house and more senior staff. Outsourcing your accounting operations helps your core team focus on your company’s revenue-generating, growth-inducing processes.
Since you’ll be teaming up with a trusted outsourcing provider, you can also ensure that the work will be accurate and submitted on time.
Outsource your accounting with Staff Domain
To achieve cost savings while ensuring the growth of your business, it is best to strike a partnership with a trusted offshore staffing services provider like Staff Domain. Staff Domain offers customized staffing solutions depending on your business’ needs and targets.
In addition, the firm prides itself on having well-versed Filipino accountants that share best practices, accounting software, and the right expertise to deliver only the best results in the business.
With their trustworthy record of producing a dedicated financial team, Staff Domain can assure you that your business is in good hands.