Why a Small Business should outsource it's bookkeeping from the start
When you first start a company, every day is like groundhog day, a repeat of your long list of tasks that need to be completed. Some of those tasks may be within your area of expertise, while others are complete unknowns. Your schedule is a balancing act; you understand some and learn what you don't know as you complete tasks. And, if your budget doesn't allow you to hire someone to help, you might be stuck in this cyclone forever. However, bookkeeping is one important task you can outsource without breaking the bank.
What is outsourced bookkeeping?
Outsourced bookkeeping is when an outside person or company manages your company's bookkeeping tasks. Either of these options will offer a full range of bookkeeping services and provide you access to an expert (or team of experts) in all areas of accounting and bookkeeping. Most small business owners choose services that currently fit their company's needs but make sure the outsourced bookkeeping company can scale as needed.
Top 3 Reasons to Use Outsourced Bookkeeping Services from the Start
1. Expertise of more than one bookkeeper
Many businesses choose a common alternative to hiring a part-time or freelance bookkeeper. However, with expertly trained bookkeepers in high demand, you might have to settle for hiring someone who has limited expertise in some areas or is green. Even if a business can find a great bookkeeper willing to work unlimited hours, there is a potential risk of that person leaving and not having anyone who is trained or ready to step in.
Outsourced bookkeeping firms offer various services, including payroll, accounts receivable, accounts payable, financial reporting, budgeting, forecasting, and more. While each business owner may have a dedicated controller to speak with, experts often work in different areas behind the scenes to ensure everything is running smoothly.
2. Flexibility to Scale when needed
One challenge of traditional hiring is timing it to match the needs of a business. This is especially true for new companies that are scaling. For example, a business might need bookkeeping tasks completed before even paying an actual bookkeeper. With early growth, a part-time bookkeeper might become overworked before a company can look to grow its team. As the business expands, there is also a chance that the position will outgrow the current part-time bookkeeper's skill set.
Outsourced bookkeeping provides an aspect of just-in-time service, with many companies starting with a simple package that includes automated processes and limited guidance. Then, as the business grows and needs more advanced services such as payroll, invoicing, or others, it can be added by simply speaking with your controller.
3. Get Full-Time Access Without the Full-Time Cost
A business owner often needs an answer on the spot. For example, a customer might call about an invoice or a meeting about an important business decision that requires the latest accounting data. Unfortunately, a part-time bookkeeper might keep the business waiting until their next office hours or until they finish working for other clients. These delays create a poor experience, delay work, and force others to cover bookkeeping projects.
Outsourced bookkeeping companies offer full-time support during business hours. You can often reach your controller simply by picking up the phone or sending an email. Some unique situations may have an additional cost based on what is needed. Still, small business owners have the peace of mind knowing they can quickly add other services at already defined rates.
Why work with Basis 365?
We bring over 20+ years of collective expertise in accounting, compliance, and payroll. We leverage technology to proactively manage your outsourced accounting needs, whether suggesting a new app or automatically following up on A/R and A/P. Enjoy the peace of mind that comes from having a team of outsourced accounting experts looking down the line on your behalf. Contact us now to learn more about how we can help your business.
