Benefits of Virtual Bookkeeping
The rise of the virtual community has greatly enhanced the way we do business. This is especially true for business owners when it comes to bookkeeping. It has become increasingly practical to outsource these services. The time saved by outsourcing can be better spent focused on growth and management of your company. Finding a great virtual bookkeeping partner can change your business for the better.
There are several reasons beyond the overhead reduction that outsourcing can make sense for your business. On site accountant or bookkeepers create a large amount of overhead. From managing software, to training and recruiting employees, the burdens of in house bookkeeping staff consumes valuable resources. There is a growing number of business that have adapted to the virtual, low-cost accounting marketplace. Research from Sage found that almost 75% of accountings predict that online services will become the largest aspect of their working practice sin the next several years. What some business owner’s fail to realize is that there are indirect cost savings that can be attributed to outsourcing your bookkeeping needs.
Using a virtual or outsourced bookkeeping service does not mean buying software and working the system yourself. The human factor and customer service provided is what creates a dynamic working relationship between your business and your bookkeeper. Bridging the gap between people and software is a great business model and something you should consider when selecting an outsourced service.
The largest concern for most business is the security and integrity of their business data. Servers and other areas that financial records are stored should be appropriately secured. When using an outsourced service, there is no concern for employee access to the important data and the information can be stored electronically. For electronic storage and transmission, it is good to know what encryption method is used. You should always ask your prospective virtual bookkeeper if they log into secured servers and there is good monitoring of the dissemination of data. If your bookkeeping service allows client access to data from a cloud storage, then you’ll want to know what security features are in place to protect access by third parties and limit access to yourself or key members of your business. The costs of managing software, server upgrades and maintenance, and important file storage are one of the many reasons that the outsourced bookkeeping service can help save your business money and mitigate areas of concern.
Research has shown, companies that use virtual bookkeepers have been more successful at growing their business, increasing revenue, and generating higher margins. A 2012 article by the ACCA cited the access to a professional increased the efficiency of completion and filing of returns, real-time review of their business, and mobile availability as the top reasons for choosing an outsourced bookkeeper. Outsourcing greatly increases the scalability options of your business. You have the option of expanding or cutting back quickly and effectively. Whether your business is in a growth or cost reduction state, the outsourced team can provide you with different plans and the best options to achieve your goals.
Compliance and audit preparedness are other areas of potential cost savings directly affected by a capable bookkeeping service. In terms of accounting, this means that someone is making sure a company’s financial matters are handled in accordance with federal laws and regulations. Running a business is tough enough without the burdening aspect of regulations. Ignoring these factors can have huge financial consequences for your business. Whether it is payroll or payment processing, the details of mitigating financial penalties and comprehensive compliance can be daunting.
Outsourcing your bookkeeping duties to a reliable group can make a significant impact on your growth and profitability. From compliance to regulation updates, virtual bookkeepers have the tools and capabilities to better focus on the complexities of everyday financial reporting. Your outsourced bookkeeping team provides all the benefits of a financial controller, software specialist, and full-charge bookkeeper. They are available to explain and help analyze important data in your financial statements to help you make better decisions. Job costing processes improve profitability but are dependent on accurate bookkeeping records and financial statements. Your virtual accounting department allows you to leverage technology to increase mobility and scalability for your business.
The oversight of creating high-quality financial statements and accurate reporting are a key aspect of the fundamental management of any business. This allows for the efficient financial planning and strategic growth programs to be based on real-time accurate data from your organization. The partnership created allows for an increase in expertise and experience to help plan and implement the subsequent growth stages for your business. The cost reduction and insightful accessibility of an outsourced bookkeeping service can be instrumental in furthering your businesses growth and profitability. The new age of running your business is founded in virtual cooperation and teamwork. Don’t let the nuances of daily record keeping and financial reporting hold you back. Finding the right bookkeeper can be a game changer for your business.
Partner with a virtual bookkeeper today!
To find out how J.A. Simon & Company can assist with your outsourced bookkeeping needs contact us now!