Small businesses tend to be a one-does-all powerhouse, and it’s not unlikely that you as the business owner will also be your own accountant. While there are many pros to doing it yourself, there comes a time when being buried in your accounting books is not a good use of your time. Thankfully, the option for outsourced bookkeeping, income tax services or financial reports gives you a reprieve. Heed the signs of when you should probably send your accounting to an outsourced firm:
You Are Needed Elsewhere
As the business owner, your primary job is to make sure that your business thrives. This means that the time you spend hunkered down trying to manage the books is wasted compared to other things in your business that need your attention.
Manage your time better by letting accountants deal with accounting. In this way, you have a better overview of what your business needs, instead of being bogged down by small accounting details.
You Need To Cut Down On Cost
It is a myth that outsourcing costs more than doing it in-house. While you need to pay another business to take care of your books, in the long run, you have better savings on payroll because you cut your overhead by as much as 40%. Not to mention the savings on productivity as you allocate your staff to do more income-generating tasks.
You Need Protection Against Fraud
There is a cost to outsourcing, but there is a bigger cost to fraud, whether intentional or just an honest mistake in the books. Accounting is about the little details, and when you’re spread thinly across all aspects of your business, it’s easy for mistakes to fall through the cracks.
Outsourcing your accounting to a reputable firm lets you have the peace of mind that your books are managed well. It also means that you have a third party looking over discrepancies in your books, making sure that your business is compliant and maximising its profits.
You Need To Scale Up
When your business hits its first million, or if you’ve been growing your staff to accommodate growing demand, it’s time to get help from experts. Not only will an outsourced accounting firm help you navigate the extra work, they can also give you options on how to better manage your finances, with insights on better spending and maximising profits.
Expanding your business may also mean that the processes you use as a small business may not work as well. Outsourced accounting can give you a better overview of your business, with reports on scalability and flexibility of your finances.
You Need The Expertise
At the end of the day, it’s best to leave the accounting to accountants. Professional accountants are more than encoders of your finances — they are equipped with the ins and outs of taxation, business laws and are up-to-date with any changes in procedures and compliance. Hiring professionals lets you have the confidence of having experts on your side, allowing you to focus on what you do best: growing your company.
At SCS Accounting, we understand your need to be competitive while remaining compliant. This is why we offer one-stop financial solution services, whether you need Income Tax or Bookkeeping services, Audit or XBLR Financial Report Services. Visit scs-cpa.com to find out more!