When running a business, there are so many responsibilities and tasks to consider, it can therefore be very easy to feel overwhelmed. Many business owners become good at multi-tasking; however research has shown that this can be detrimental to the company. Continually shifting between different tasks can cost workers up to 40% of their productive time. Fortunately, there are ways in which to prioritise your time so you’re focusing on what is most important.
Bookkeeping and financial processes are important to the business but it’s easy to invest too much time and effort into these tasks and neglect the day to day running of the company. However, many businesses are now outsourcing their bookkeeping to a third party. This may seem like a big step to take but there are many potential benefits involved.
When you consider outsourcing anything, one of the main benefits is going to be more time to invest in other aspects of the business. Considering that bookmaking in particular can drain so much time, moving this workload to a third party can be particularly useful. Less time spent on finances, means more time for product development, staff training and customer service.
Many businesses will hire an in-house bookkeeper, whether full or part-time. This means paying a regular wage, as well as all the other responsibilities that employers have. Outsourcing this service to a vendor can save you money as you will only be paying for a specific service, when and if you need it. Again, any savings made in this area can be reinvested back in to the business, allowing you to boost growth.
When you outsource your bookkeeping, you’re enlisting the services of a company that is uniquely suited to the job at hand. Third-party vendors will have experience and up-to-date knowledge in bookkeeping and business finances in general. Also, as this is the service they provide, they are able to be fully focused, free from distraction and therefore able to offer a high-quality solution. This contrasts with in-house employees, who may be multi-tasking.
Another aspect of outsourced bookkeeping which contrasts with in-house staff is flexibility and scalability. Businesses, particularly smaller businesses will want to change and adapt as they grow. Those that have accountants on the payroll may find it difficult, should the business see unexpected growth or conversely, if the business needs to make cutbacks. These problems are much easier to deal with when your bookkeeping is outsourced, as the vendor can scale their services to meet your demands.
One of the major issues facing the majority of businesses is ensuring that data remains secure. This is particularly important when it comes to financial data. Although it’s possible to create a safe and secure system in-house, it often means placing a great amount of responsibility on a small number or single employee. Whether accidental or deliberate, mistakes can happen and this could be disastrous for any company. Third-party providers, like those who offer bookkeeping services, are uniquely suited to operating with the best security possible. These organisations are only as good as the services that they offer and therefore security needs to be paramount.
Remote working has been growing in popularity for many years but the rise of Covid and subsequent restriction has pushed that into overdrive. Many more people are working from home than ever before, either part or full-time. With this in mind, mobility has become a much bigger issue in the business world. This is another way in which outsourced bookkeeping is particularly useful, compared with traditional in-house solutions. If this service is outsourced, it can be accessed from any location and therefore employees aren’t tethered to the office.
The experts at Salhan Connect offer comprehensive end to end bookkeeping services, with options for businesses of any size. Anyone looking to move their financial services out of the office should contact Salhan directly for more information.