Accounting and Bookkeeping are essential elements of running a company. Many businesses consider it a complicated task, and others ignore their importance. However, a prudent business understands the value of robust accounting and bookkeeping systems.
While your core business activities need your attention, strong Accounting & Bookkeeping practices ensure that the organization has a sustainable future. Every transaction conducted, and every penny spent needs to be recorded so that a good entrepreneur knows precisely what income and expenditure commitments have been made and are scheduled and when.
That being said, a business should contract an outsourced accounting and bookkeeping firm. An accounting and bookkeeping expert applies proper techniques to promote all geared towards making and saving money. The expert will help ensure all expenditures made by the business are claimed.
What Exactly is Outsourcing Accounting and Bookkeeping Services?
When the accounting functions are not carried out by the in-house department but are performed by some agency outside the firm, that business practice is known as outsourcing accounting and bookkeeping services. Services in the accounting and bookkeeping department that can be outsourced include accounts payable, accounts receivable, payroll and, other similar services.
Top Five Advantages of Outsourcing Accounting and Bookkeeping
These can include annual bonuses, sick leaves, annual vacations, team building, training and development, gratuity and much more.
Outsourcing provides a team at a fixed price for a specified period. The provider bears all employment costs.
Recruiting the right person to meet a business's needs when the recruitment is carried out by someone who has no Finance expertise.
A specialized Accounting & Bookkeeping service will have a thorough recruitment process which specific accounting tests to validate competencies and knowledge.
Businesses will need to purchase professional Accounting software, licences with yearly renewal costs, IT support. Naïve businesses may be duped into purchasing inefficient programs and products.
A professional team will usually operate with the latest and most useful software programs available on the market.
In-house accounting and Bookkeeping services often experience backlogs due to vacations, absenteeism, seasonal fluctuations and end of the financial year.
Outsourcing services are the resources and workforce to manage changes in volume and demand. Outsourcing saves a lot of time and allows business owners to focus on revenue-generating tasks.
In-house Accountants may lack accuracy or commit fraud because there is no accountability of cross-checking work and transactions.
Outsourcing teams rely on their reputation and have their checking processes to ensure that work is carried out is accurate and to the highest standard.
Why is Outsourcing Becoming Important for Business?
Outsourcing is a shift in the company's standard pattern. While there may be threat such as poor management, market instability, incompetent employees, obsolete computer skills etc., it is an excellent choice for an organization to make the business process easier to accomplish and manage. If a business seeks to outsource the Accounting services, this will enable the business to continue to focus on and develop and improve its vital business fields. It reduces the risk and cuts the expenses of hiring more staff and gaining access to any outside expert knowledge that they might not be able to afford otherwise.
How can we help?
If you are looking to set up a business in the UAE, Commitbiz can assist you with your accounting and bookkeeping services. We have a team of experts who are well versed in the regional know-how and business paradigms. To know more, contact us today.