Outsourced Bookkeeping for Your Business
Outsourcing Bookkeeping for Your Business
Bookkeeping is one way you can help your business increase efficiency and ensure operations run smoothly. Bookkeeping is important for all businesses, but sometimes other things get in the way. OBS is here to assist, but first, let's talk a little more about bookkeeping and why it's important.
A bookkeeper's role includes managing financial records, including tracking all business transactions. Keeping on top of this task allows you to have an accurate financial picture of the financial health of your business. The basic tasks invoiced in bookkeeping include reconciling accounts and preparing financial statements.
The Role of a Bookkeeper in Your Business
A bookkeeper plays a vital role in any business. They are responsible for recording all financial transactions, and expenses, managing accounts payable and receivable, and maintaining accurate financial records.
As a guide, here are ten key tasks that bookkeepers are responsible for:
Recording Transactions (Data Entry): This is one of the most common tasks and involves tracking and recording financial transactions.
Maintaining the General Ledger: The General Ledger is the source of truth, showing a full history of money coming in and going out of a business.
Accounts receivable and payable: A bookkeeper handles money coming in and going out. This includes invoicing customers, paying suppliers, and reconciling bank statements.
Preparing Financial Reports: This may include profit and loss statements, balance sheets, or income statements. All important reports for business decision-making.
Tax Preparation: Bookkeepers can assist a company with compiling all relevant information required for tax submission.
Reconciliations: This involves making sure that data across multiple sources matches. For example, comparing the bank statement transactions with accounting software, and that all transactions appear on the general ledger.
Forecasting and Budgeting: Providing accurate forecasts and budgets enables you to make informed business decisions.
Payroll Processing: If your business has staff, paying them is important. Bookkeepers are responsible for paying staff on time and making sure that it is the right amount. Deductions, reimbursements, and calculation of benefits all fall into this process.
Internal Controls: implementing controls and processes to ensure that a company's assets are safeguarded.
Regulation: Helping you stay on top of any changes that impact your business.
To understand more about Bookkeeping, it could be worthwhile to conduct research by googling position descriptions for Bookkeepers. To go further, search for job openings in your field to make sure they align with what you want.
Defining Outsourced Bookkeeping?
Outsourcing bookkeeping involves working with a partner to access skilled bookkeepers for your business. Recruitment can be time-consuming, expensive, and risky. Outsourcing aims to solve some of these challenges for business owners.
When you outsource, you partner with an expert that can help. An outsourcing partner should have a deep understanding of how to find the best bookkeeper for your business. Providers should be able to source candidates who are up to date with the latest software and industry developments. Enabling you to have confidence that your records are accurate, organized, and accessible.
Outsourcing eliminates the need to hire, train, and manage an in-house bookkeeper. The key benefit to this approach is that you have more time to focus on what matters most, which is your customers.
This can provide a cost-effective solution to keeping up with financial administration tasks. They can offer valuable insights and recommendations to help you optimize your financial processes and make informed business decisions.
One of the primary benefits of outsourcing is the cost-efficiency it offers. Getting access to a strong talent pool at a reduced cost helps your business maintain an edge.
Ultimately, you can access top talent at a reduced rate when compared to an in-house alternative.
The Benefits of Outsourced Bookkeeping
Financial Control
Contrary to common misconceptions, outsourcing your bookkeeping doesn't mean losing control over your finances. It can enhance your financial control. It should give you the ability to access real-time data, so you can make informed decisions about your business goals.
Another significant benefit of outsourcing bookkeeping is the positive impact it can have on your business productivity. Having a professional on call to handle your record-keeping will allow you to spend your time on higher-value tasks. Applying your resources in a way that best serves your business and customers.
Time Management
Managing your financial records can be time-consuming, especially if you are not an expert in bookkeeping. Outsourcing enables you to focus on what you do best – running your business. By saving time on financial administration, you can focus on areas like marketing, customer service, and business planning.
Focus on Core Business Operations
Outsourcing your bookkeeping allows you to shift your focus to your core business operations. By delegating financial responsibilities, you can concentrate on improving your products or services, building customer relationships, and implementing growth strategies. This targeted approach can lead to increased profit and overall business success.
Expertise and Quality Assurance in Outsourced Bookkeeping
Accuracy in financial records is extremely important for business decision-making. By outsourcing your bookkeeping, you gain access to professionals who specialize in bookkeeping and financial management. This level of expertise can bring significant advantages to your business.
Access to Skilled Bookkeepers
Maintaining accurate financial records is vital for any business. Maintaining accurate records takes time, expertise, and experience. Attention to detail can help you make informed financial decisions and minimize potential risks.
By bringing on a professional who has a strong understanding of accounting principles, your business will benefit. Having access to such expertise can bring peace of mind and confidence in your financial operations.
The right outsourcing partner should be able to match you with a dependable resource.
System Benefits
Using the right software is critical, but where do you start? By outlining the specific needs of your business or the software you use, it is possible to ensure the right fit.
Outsourcing allows you to hire an expert who can provide suggestions on the best systems and processes for your business.
Hiring an outsourced expert puts you in control, and engages you with staff who are experienced in bookkeeping software such as QuickBooks or Xero can help.
Software creates the ability to manage transactions effectively and accessing staff that have the skills is key. Creating efficiency in your business is the end goal.
Working with a partner to outline your current process will enable them to match you with the best talent for your business.
Data Security and Privacy
Protecting your data and ensuring privacy is extremely important. When considering outsourcing there are a few key considerations that will help you make an informed decision.
An ISO certification is a seal of international standards. Specifically, the ISO 27100 certification relates to business standards when handling third-party data. Other considerations could be adherence to recognized security standards such as a high Microsoft Secure score. Finally, any provider should be able to produce their comprehensive data management and IT security framework for you to review.
In Summary
Bookkeeping is an important function for businesses of all sizes. Managing the financial health of your business enables you to make informed decisions about your business strategy. The demands placed on business owners make it hard to keep up to date.
Outsourcing bookkeeping can put you in full control of your business's financial position. With the benefits of cost-savings, expert resources, and improved productivity you can focus on what you do best.
Overall, outsourcing bookkeeping offers benefits for businesses of all sizes. If spending more time on your business rather than back office bookkeeping is something that interests you, reach out for a chat.