Whatever the goal may be, businesses of all sizes and shapes are looking into outsourcing as business strategy. Outsourcing to the Philippines has created multiple benefits for businesses across nearly every industry. Now more than ever, particularly in small business, the goal is to minimize risks and costs to keep the lights on, and better service customers and outsourcing can play a key role in this.
But how exactly can an outsourced accountant and/or bookkeeper help small business owners? First, we need to define accountants and bookkeepers (yes, they’re different!)
Accountant vs. Bookkeeper
While these financial roles are often used interchangeably and whose functions are closely similar, accountants and bookkeepers have separate contributions to organizations. The first thing to know is that there is an accounting process in which both accountants and bookkeepers take part.
A bookkeeper typically “keeps” a company’s books clean — i.e. they record and classify transactions that include finances. They keep track of a company’s sales, payroll, bills payment, and other expenses. A keen eye for detail is possessed by a bookkeeper for their job requires a lot of accuracy and record keeping.
On the other hand, an accountant gives insights based on the information provided by a bookkeeper. Accountants also review the financial statements from the bookkeeper and draws conclusions & reports which a company’s senior management can use to make decisions. They (accountants) analyze and interpret financial information for the company.
Benefits of an outsourced accountant and bookkeeper for small businesses
Much like large enterprises, small to medium businesses can take advantage of outsourcing for business gains.
Change has been an ever constant, even in business. The COVID-19 pandemic clearly showed just how much impact change can bring to businesses of any type. Outsourcing can help businesses quickly pivot towards this change as quality service providers are experienced in matters of change and risk management.
Accurate reporting and record-keeping
Some small business owners may not have the time or resources to keep their books clean and record all transactions. Outsourcing the task to a bookkeeper and accountant will lessen the pressure on owners whilst they have access to insightful reports that will help them make better business decisions.
Freed up time and resources
Outsourcing accounting functions (or basically any business function) enables business owners to get back to what they do best, work on why they do it, and provide better service to their customers. The time and attention that goes into doing the accounting process themselves is then freed up and focused on their core business.
Many business owners are also looking to save on costs to keep the lights on whilst better servicing their customers. Outsourcing frees up the money that owners would otherwise spend on hiring directly. The fact of the matter is that accountants and bookkeepers in Australia cost significantly more than outsourcing to the Philippines.
Diverse talent pool of qualified professionals
Countries that offer quality outsourced professional services produce thousands and thousands of graduates of different professions. Outsource service providers hire college-educated talent, most of which will already be Certified Public Accountants (CPAs) or on the path to registration/licensure. Owners do not have to worry about hiring and retention either; service providers compete for fresh talent by providing attractive industry benefits that will not cost small business owners any additional fees.
No function is too small or too big to be outsourced. No business is too small or too big to outsource either. Whether simple monthly bank reconciliations, big taxation functions, or full-time finance staff, outsourcing can give any business owner the benefit of having these tasks done to free your time and level the playing field.
Small to mid-sized business owners need all the help they can get.
If we can help, we will.