Accounting is the recording of financial transactions. It is one of the core business functions. Accounting is the bedrock upon which a company bases its financial decisions that hold relevance for its investors and lenders. In the UAE, maintaining account books of the past 5 years has been mandated. This, along with the value-added tax (VAT) directives in effect from 2018, makes accounting pivotal for the functioning of any company in Dubai. Since the emirate is one of the leading business hubs in the world, accounting services in Dubai can be crucial for an entrepreneur looking to set up their business here.
What Are the Benefits of Accounting Services?
1. Legal Obligation
Accounting in the UAE is not an effect of tax filing requirements but is more of a corporate law mandate. Not following accounting standards can have legal implications in the country.
2. Facilitation of Financial Decision Making
If you are well-versed with your accounting and bookkeeping records, you would find it simple to make financial decisions. Knowing how much capital you have at your disposal helps you to decide on matters like purchasing inventory or hiring a workforce.
3. Health Check of the Company
Accounting and empowers you with information that is vital for the efficient running of your company. Keeping track of corporate finance (both short-term as well as long-term) is a good practice. You remain aware of all income sources, outstanding bills, and payroll estimations.
4. Failsafe Against Fraud and Embezzlement
If your financial books are maintained daily, fraudulent charges can be caught and payments can be prevented from defaulting.
5. Saving Time
Accounting is a task that gobbles up substantial time but is essential for any business at a fundamental level. Outsourcing allows a company to focus better on fortifying its core activities while leaving the rest to qualified business professionals.
What Accounting Services Do We Provide?
Commitbiz can assist you with the following accounting services in the UAE:
- Accounts consolidation
- Accounts payable outsourcing
- Preparation and maintenance of every daily account
- Conversion, installation, selection, and support of software
- Fixed assets compilation, maintenance, and verification
- Forecasting and projections
- Preparation and mapping of the chart of accountants
- Verification and valuation of inventory
- Preparation of accruals schedule
- Recording vendor invoices
- Preparation of monthly bank reconciliation statements
- Petty cash accounting and reconciliation
Outsourcing Accounting Services
For a company set up in Dubai or the rest of the UAE, outsourcing one’s accounting function to an accounting form is a fairly common practice. Accounting is a task that is not industry-specific but procedure-oriented. When laying the foundation of your business in a foreign location, handling this function can be daunting if you don’t have prior regional company setup experience. But fret not, there is no dearth of accounting companies in Dubai to sail you through your company’s accounting regime.
Why Outsource Accounting Services in Dubai, UAE?
Outsourcing accounting services in the UAE is taking the forefront, with companies looking to save money and focus on sales and marketing functions, to grow revenues and profits. The benefits of outsourcing your accounting services in Dubai and the rest of the UAE are:
- Outsourcing accounting services are cost-effective. The amount saved on operational costs can be channeled towards the funding of core business processes.
- Dedicated accounting firms employ experienced professionals to carry out outsourced accounting services. These consultants can provide professional advice to sort your financial matters as the company scales and develops.
- You save yourself from the hassle of accounting staff turnover and attrition, which naturally creeps in if you choose to go for an in-house accounting team.
Our accounting services aim at accurate financial record maintenance so as to reduce administrative burden and curtail extraneous financial costs. This helps you streamline your business growth and improve your company’s performance by concentrating on core risk areas in business with increased flexibility to respond to requirements.
We at Commitbiz Business Setup Consultants have our team of experts to help entrepreneurs set up their accounting function in Dubai and the rest of the UAE. Should you decide to open a business here, do contact us, even if it’s just for a friendly advice.
What is the importance of accounting and bookkeeping services in Dubai?
In Dubai, maintaining accounting records and VAT invoices of the past 5 years is mandatory by corporate law. Moreover, keeping its accounting and bookkeeping functions in place is beneficial for a company’s financial health in the long term.
Is it advisable to outsource one’s financial record-keeping to accounting companies in Dubai?
That would mostly depend on the scale and kind of business activity your company undertakes. However, if you are new to Dubai or lack dedicated accounting expertise and regional know-how, it is recommended that you outsource the accounting service in Dubai.