Scott Park, CPA, CA
For most businesses, there comes a point when it’s time to hire a professional to handle the financial function of your business operations. If you are at this point in your business, then congratulations! You have grown your business to the stage where you should be handing off some of those hats you wear as a business owner. Although your initial thought may be to hire a full-time or a part-time bookkeeper, a smarter decision may be to outsource your bookkeeping needs to a team of professional accountants. Here are the top reasons why you should consider outsourcing your accounting and tax needs to a professional accounting firm.
No Risk of Losing Staff or Incurring Training Costs
Do you have the time it takes to post the job, interview candidates and find the right person? Furthermore, if you’re not an accountant how will you know if you’re asking the right accounting specific questions?
For almost every business out there these days, it seems that one of the biggest challenges is finding, hiring, and training new employees. This is a costly process. Qualified people are constantly in high demand but are in short supply. If you are lucky enough to find an employee that is a good fit many times they eventually move on for different reasons or other opportunities. However, since your business does not stop, you will find yourself back at square one trying to fill the position again. When you outsource your accounting needs, there is no worrying about hiring or losing staff, or following the employment standards act since you will have a team of professionals at your service.
By outsourcing your accounting, you only pay for the service you receive. This will ultimately reduce your costs. Many professional accounting firms have monthly fixed pricing plans for bookkeeping packages. This provides you with cost certainty; you know exactly what you’re getting and how much it will cost you. On the flip side, if you had to pay either a part-time or full-time bookkeeper on payroll, are you confident that you will get everything that you need for the amount of salary or wages you will be paying?
Double Checking Work
By outsourcing your accounting, you’re getting a team of professionals working for you. An accounting firm will have their own internal systems and quality checks in place to ensure that the work that they do is reviewed by multiple people to catch any mistakes and errors.
More Collective Brain Power
By outsourcing your accounting, you’re not just getting one person’s expertise. You’re getting the collective brain-power of the entire accounting firm. You’re getting the background and skill set of their staff, which is an invaluable source of knowledge. This certainly comes in handy when you run into a particularly challenging or extraordinary situation with your business.
Up to Date on Compliance and Tax Issues
By outsourcing your accounting, you can rely on the professionals to ensure your books are up to date for all the various compliance tax filings. This will avoid unnecessary interest and penalty charges that may happen when things are missed or filed late. Also, a CPA accounting firm is required to maintain a certain level of professional development and they will be up to date on the most recent tax changes that happen each year.
Grows with Your Business
When you’re just starting your business, it’s likely that you only need one staff person to handle the financial function of your business operations. As your business grows and you become more profitable, you’ll likely find yourself needing more help. Or perhaps your business is seasonal in nature and you don’t require the same level of accounting help throughout the year. By outsourcing your accounting needs, your team of accounting professionals can grow as you grow.
Disclaimer: The blogs posted on Scott Park & Co Inc. website provide information of a general nature. These blog posts should not be considered specific advice since each person's personal financial situation is unique and fact specific. Please contact us prior to implementing or acting upon any of the information contained in one of our blogs. Scott Park & Co Inc. cannot accept any liability for the tax consequences that may result from acting based on the information contained therein.