How to outsource accounting work? Complete Guide

There’s an old quote which goes like this, “Do what you do the best and outsource the rest”. Well, adhering to the same thought, we at Key-CMS to believe that depriving yourself of outsourcing is like quitting the competition.

In the words of Azim Premji, “The most crucial thing about outsourcing is that it becomes an extremely powerful tool to elevate talent, improve productivity and reduce work loads”.

What is outsourced accounting?

In simple words, outsourced accounting is a method of entrusting accounting professionals from another country with bookkeeping, accounting and other compliance works.

In doing so, the business owner gets to network with the outsource accounting and bookkeeping service provider who presents their qualified candidates before him and allows him to choose the best. He screens and interviews them thoroughly before hiring.

Well, with the help of outsourced accounting you can allot the time-consuming tasks to the hired group and focus on the main parts of the business.

Tips and tricks to outsource accounting work

Slowly and gradually outsourcing is gaining popularity in this keenly competitive world. Well, when it comes to the success of your business, you should never simply choose the first firm that comes on the internet or just rely on recommendations.

So, to choose the best firm and network perfectly with your outsourcing partner consider these 5 simple tips.

• Always choose quality over expenses

Although the cost of accounting services in India is less than in other oversea countries, you should always prefer quality over competitive prices. Once you know the objectives of your business hire a professional considering both their strengths and weaknesses, wisely.

Do not forget that the best things are expensive so, in order to adjust your budget do not settle for less. Take this point as a long-term investment that will bring in sufficient profit.

• Prioritize your objectives

Well, it’s very important to know your needs before stepping out to hire. Once you are clear with your needs you can specifically choose your services instead of overspending on other outsourcing services that you may not need.

So, prioritize your needs and then select the tasks you need to outsource while keeping your budget in mind.

• Proper communication

When it comes to business, communication is the only key to get your work done.  Make sure that your outsourcing partner is well-versed with your company’s goal and objectives. Set your message out clearly and help them out whenever in doubt.

According to Key-CMS, holding regular meetings and communicating with them on regular basis on global level is really essential to build a strong network. Well, cultural differences can often stand as a barrier so it is advisable to be prepared beforehand.

• Have clarity in your expectations

By being clear with your expectations you can easily identify what irritates you the most in your accounting system. Knowing this much will not only show them the right direction to work but also will save them from any unwanted expectations.

Unarguably, many outsourcing projects fail because of unclear requirements and random scopes of work. So, to make your project stand, be clear with your goals and reasons why you are outsourcing.

• Data security should not be overlooked

Owing to the horrors of data leaks, millions of business owners are afraid to opt for outsourcing bookkeeping services.

Yes, data security is important but that doesn’t mean you won’t hire a firm at all. To maintain safe proceedings have a look at the encryption methods and network security they use on their portals and websites. Moreover, also talk about the measure they will take to locate or disseminate data.

Benefits of outsourcing accounting work

As a business owner, you might find the concept of outsourcing very fancy, but trust me when I say that it is one of the most beneficial aspects of the field of commerce.

Although there are many, these are a few most crucial ones:-

• Outsourcing accounting and financial work is a very cost-effective process as a foreign expert will charge less as compared to the internal employees.
• You can approach the best accounting and finance experts via outsourcing, who are highly skilled professionals and do not get distracted like normal individuals.
• The foreign professionals help you with business intelligence and allow you to take big business decisions effortlessly.
• By choosing a genuine accounting and bookkeeping service, you as a business owner can save a large amount of time to spend on other areas of your business.
• Hiring outsourced accountants ensures quick scaling up or down of your business.
• Outsourcing is the key to eliminate frustration from within the team and enhance its flexibility to meet the commercial needs.
• With outsourcing, you can get access to advanced tools and processes which your team members are not aware of.

Things to look for in an accounting outsourcing firm

Do not hire any or every service provider simply because someone recommended it. Research thoroughly and try to check these points before finalizing.

• Check the track record of the firm and hire only if you find positive reviews from clients.
• Go through the communication channels, workflow and procedural ethics before hiring.
• Make sure they use the latest technologies and modern accounting methods.
• Ensure that they deliver their projects on time with full client satisfaction.

Considering all the above-mentioned points, millions have concluded that Key-CMS is one of the best firms that provide the finest outsourced accounting services in India. From bookkeeping services to payroll processing they look after everything. They work closely with the clients and try to bring the best for your business.

Mistakes to be avoided in outsourcing

Outsourcing may not be as easy as it seems to be and often tends to fail due to several pitfalls which you should certainly avoid.

• Do not assign the most challenging task on the first day
• Hire a remote team and not just a single accountant.
• Create standardized workflow before proceeding
• Understand their convenience and culture before integrating them into your team

Final words

Outsourced accounting is both a trendy and beneficial concept that is prevailing in the present market. Although it comes with a few cons and risks, the right approach can turn them for your good.