Did you know that you can have an effective accounting department without having to hire new talents in-house? Outsourcing accounting services makes it possible.
In this article, we enumerate the five (5) best types of accounting services you can outsource — whether it’s to handle your entire accounting function or to assist your in-house accountants.
Aside from giving you access to qualified talents, outsourcing your accounting also brings you the following benefits:
- Timely financial reports
- Guaranteed compliance statutory requirements
- Higher cost savings
- Improved focus on your strategic duties
To obtain these benefits, below is the list of accounting services you can outsource based on the current needs and situation of your business.
Top accounting services to outsource
Best for: Businesses that need to focus on more strategic and high-level accounting tasks like financial analysis and budget management. It’s also best for those who want to let go of repetitive and time-consuming accounting duties.
If you fit the description above, then it can be a sign to outsource your bookkeeping tasks.
Working with an outsourced bookkeeper helps you keep your books and reports in order. Among the key functions it covers are:
- Daily, weekly and/or monthly bookkeeping
- Reconciliation
- Accounts payable and accounts receivable management
- Preparation of financial statements
- Cash flow monitoring
Best for: Businesses with no in-house chief financial officer (CFO) and that need expert guidance in developing robust financial strategies and making informed decisions.
CFOs are the financial strategists of a business. Their deep knowledge of financial systems, accounting regulations and industry trends can help you analyse your company’s financial health and develop effective business plans.
CFO solutions include, but are not limited to, these services:
- Financial modelling
- Financial governance
- Board reporting
- Finance transformation
- Debt advice
- Expansion strategy and advice
- Decision support and analysis
- Capital raising
- Management KPI dashboards
- Business continuity planning
- Business valuations
- Financial strategy
Best for: Businesses that need personalised and proactive support in preparing and lodging their taxes.
Outsourcing tax and compliance services can assist you in applying for the right tax deductions, complying with all applicable tax regulations, avoiding tax mistakes, and lodging your taxes on time.
Outsourced tax and compliance services:
- General compliance and statutory obligations (including tax returns and BAS preparation)
- Tax planning (federal and state)
- Business structuring and re-structuring
- Asset protection
- Self-Managed Superannuation Funds (SMSFs)
- Estate planning
- Wealth creation and financial planning
Best for: Businesses aiming to improve their financial performance through accurate and real-time data.
Outsourcing a reliable accountant who will take care of your financial reports lets you:
- Make smarter and relevant decisions to aid business growth
- Improve your cash flow management processes
- Submit your tax returns, BAS and superannuation requirements on time
- Rely on data-driven insights for capital budgeting and asset purchase management
- Prepare creditworthy financial statements so you can immediately send a copy to investors, banks, the government and other key stakeholders whenever they ask for it.
You can ask your chosen service provider to prepare any of the following reports for your business:
- Profit and loss (P&L) statement
- Cash flow forecast
- KPI dashboards
- BAS submissions
- Sales reporting
- Balance sheet
- Three-way forecast
- Variance analysis
- Headcount management
Best for: Businesses that need assistance in migrating their accounting processes online and harnessing data analytics tools to obtain actionable insights from data.
Adopting technology in your accounting processes is no longer a privilege but a necessity. With the SME Digitalisation plans of the Australian government, it’s better to embrace digital transformation now and get ahead of the competition.
But how can outsourcing help you in this area? Here’s how:
- Financial reporting
- Software integration
- Automated reconciliations
- Forecasting & analysis
- Simplification
- Metrics and KPI dashboards
Outsourcing your accounting is an ideal alternative for small businesses with limited resources, be it time, employees, equipment or budget. And even if your business is already growing, you can still use it as a strategic extension of your accounting department.
If you’re looking for a reliable accounting service provider within Australia, consider ABJ Solutions. Our CFOs and accountants can help to make your accounting department more efficient. For more information about our services, contact us today.
