Accounting Outsourcing Services For Your Business
FAS CPA & Consultants
What is accounting outsourcing?
Accounting outsourcing is a process of giving away your accounting or all the accounting activity in your company to a dedicated accounting firm. It means that you will not be doing accounting anymore, you will only be receiving the financial statements and any answer to questions about the transactions, and the balances on your financial statements, it means that you will not have a person doing the bookkeeping or doing the data entry but it will outsourced, given away to an accountant firm.
Why do companies outsource accounting?
Because of cost, compliance, deadlines and data entry. Here in the US, is a little expensive to hire a person to do the books every day in a dedicated office, and also requires that the person in addition to the data entry, for example the combination of transactions, the posting of transactions to the books, balancing the financial statements and producing all the reports. So all these processes involve time and many times they are not, business owners don’t have the financial statements by the time that they need it.
So usually, it will be a week after the closing of the financial statements to do all the work for reconciling all accounts and posting all transactions but many times it takes a lot longer than that. Because of all these processes that involve time and cost, companies decide to outsource the bookkeeping or the accounting with an accounting firm.
What accounting functions can be outsourced?
You can outsource all accounting activities, including:
⇒ Bookkeeping
⇒ Accounts payable and receivable
⇒ Financial statement production
⇒Analytical reporting
Some clients prefer to handle decision-making and evaluations themselves, outsourcing only bookkeeping. Others outsource their entire accounting department, granting access to financial data, enabling the firm to post transactions, reconcile accounts, and produce reports available online.
What are the advantages of outsourcing the accounting functions?
It is basically that your financial statements will always be prepared by the time of the deadline agreed with the accounting firm. This is the basic advantage, in addition to that the accounting firm is headed by a CPA, a certified public accountant, and there is the experience and the backup of the CPA that now is behind the outsource accounting. One of the major advantages is that you’re going to have a CPA or type of a CFO instead of bookkeeper or an accountant. The CPA is going to backup their work, and this is the benefit that outsourcing the accounting will offer you.
Click Here To Chat Directly With Our CPA. Make Your Consultation
What are the different types of outsourcing?
Business owners often segment accounting activities:
⇒ Bookkeeping from Bank Statements: The firm inputs transactions and produces monthly financial statements, later used for tax returns.
⇒ Accounts Receivable and Payable: Includes invoice production and transaction posting.
⇒ Full Accounting Department: Involves compliance, reporting, and advisory services, all managed by a CPA, facilitating easier access to financing.
When should you outsource accounting?
It all depends on the plan for growing of the company. If the company is growing, if the company needs capital that is the moment when the accounting should be outsourced. Because remember as I said in the previous question, the bank is going to require financial statements backed up by a CPA and usually companies go to the bank when they have expansion plans. They require a line of credit for more inventory because they are planning to sell more, they have a marketing plan they are going to target this specific market segment and because of that they need financing and they go to the bank and they will require financial statements backed up by a CPA or processed by a CPA. At that moment is when the accounting outsourcing should be executed.
What is outsourced bookkeeping?
Outsourced bookkeeping is within outsourced accounting. As explained in a previous question, the bookkeeping only involves the doing of the books or the keeping of the books. They are not doing accounts receivable and accounts payable, the accountant is only doing the keeping of the books, meaning that transactions received, invoiced are given to the CPA or to the accountant and at the end of the month the financial statements are provided but there is no feedback, there is no review, there is no analysis of the financial statements, there is no advice no consulting. It’s only, plainly keeping the books, there is no feedback, that is the opposite of outsourcing accounting they include the feedback, the advice, the consultation between the owner and the CPA to improve the face of the business if the business owner is planning for growth and asking for finance into the banks.
What is payroll outsourcing?
Payroll outsourcing is another side of accounting, this is when within the accounting outsourcing or the bookkeeping outsourcing, this could be done between if bookkeeping its outsourced and then payroll is also outsourced. Meaning that bookkeeping will not be outsourced.
Check Our Accounting & Bookkeeping Outsourcing Services
What is the benefit of outsourcing?
The main benefit is a peace of mind that you have your numbers at the tip of your hands to take decisions, to take new projects. In summary, is that you have someone that is a professional qualified for providing you not only the financial statements but also the insight that you need when you’re going to take decisions for the business. What portion of the business is capable of reducing costs, of increasing the activity of the company for example, the creation of a business plan, the creation of a marketing plan, the preparation of the financial statement for going to the bank and even the bank conferencing with the CPA and many times the banks require information from the financial statement, and they are more comfortable doing this. So, the benefit of outsourcing is peace of mind because this is not anymore under your control, it means that you don’t have to worry about having or not having the financial statements that is not anymore your worry, your worry now is to grow and having a plan to execute the growing of the company.
Should a small business outsource accounting?
Yes or no, it all depends on the level of sales. It also depends if the business has plans for growing. It also depends if there are multiple partners in the business and this is for small businesses. There are business that produce hundred thousands dollars a year and up to 25 million dollars a year is considered a small business. So it all depends of the numbers of partners, for example there are multiple partners it is advisable that the books are outsourced and accounting is also outsourced for the impartiality of the books. That would be the first consideration, for the impartiality for multiple partners. In the case of a business who is growing and there is the objective of keep growing and there is a plan, if there is not a plan a CPA can help you to provide, to create a business plan for the growth of the business. Perhaps even showing you areas of the business that can be improved and segments of the market that can also be conquered. If there is a close relationship between the CPA and the business owner, because remember the business owner is the only one who knows their clients and their market so if there is a very close synergy it will be very successful the CPA understanding the business model and providing with good insight for the growing of the business.
Know our accounting outsourcing service
Technology and Security
We use state-of-the-art accounting software and secure data management systems to ensure the confidentiality and integrity of your financial information. Our technology enables real-time access to your financial data, providing transparency and control.
Transition Process
Our seamless transition process includes a detailed onboarding plan and continuous support to ensure a smooth shift from your in-house accounting to our outsourcing services. We offer training and resources to help your team adapt to the new system.
Customized Services
Our accounting services are tailored to meet the unique needs of your business. Whether you require full-service accounting or specific functions like bookkeeping or payroll, we provide customized solutions to fit your requirements.
Cost Analysis and ROI
Outsourcing accounting can lead to significant cost savings. Compare the expenses of maintaining an in-house accounting team versus outsourcing and see the potential return on investment.
Compliance and Updates
We stay updated with the latest regulatory changes to ensure your business always complies with current laws. Our proactive approach to compliance helps you avoid penalties and stay ahead of industry standards.
Additional Services
Beyond accounting, we offer tax planning, internal auditing, and financial consulting services. Our comprehensive approach ensures all your financial needs are met under one roof.
Professional Team
Our team consists of highly qualified professionals, including CPAs and financial experts, with extensive experience across various industries. Meet our team and learn how their expertise can benefit your business.
Intangible Benefits
Outsourcing not only improves your financial processes but also reduces stress and allows you to focus on strategic business growth. Let us handle the numbers while you drive your business forward.
To request a service review Email us at [email protected] or call 305-332-3898.
Check The Video Version Of This Article
We Are Just A Message Away From You
Chat Directly With our CPA.
Send us yours questions.
Talk to our experts directly.
Clients Feedback
Our Clients Reviews
President
Thanks to FAS & CPA Consultants and Fulton Abraham Sanchez, CPA, I was able to resolve a debt of $479,677.71 that I had with the IRS.
Entrepreneur
My experience with FAS CPA & Consultants has been incredible, their professionalism is impeccable. I highly recommend them.
Manager
I highly recommend FAS CPA & Consultants, they are responsible, efficient and very dedicated.
Manager
Fulton is a wonderful CPA who fully understands tax law and provides honest advice for his clients.