Master Outsourced Bookkeeping Services In Just A Few Hours!
Can You Really Trust Outsourced Bookkeeping Services?
product quality, customer service, and marketing all contribute to your bottom line. Ultimately every small business succeeds or fails on the strength of its day-to-day finances. With this in mind, the decision to hand over your regular invoicing, billing, and record management to a third-party definitely requires some careful consideration. Although outsourced bookkeeping services offer a number of critical advantages over full charge bookkeepers, they can also pose some unique challenges which you would not have to face with an in-house employee.
Full Charge Vs Outsourced Accounting
At smaller organizations, full charge bookkeepers usually take charge of monitoring, recording and reporting transactions. Everything from payroll to bank reconciliations and payables/receivables ledgers management falls under their remit. As full-time senior employees, these individuals can earn anywhere from $30,000 to $60,000 a year. Lets also not forget about benefits and PTO. Meanwhile, our virtual bookkeepers in Austin, Texas perform the same tasks at a far more affordable hourly rate.
Another overlooked cost of hiring locally is the infrastructure investment involved in setting up a new employee. Your full charge bookkeeper will require Internet access. Your bookkeeper will also need a dedicated computer and some form of accounting software Watch out though as yearly subscriptions can cost hundreds of dollars. With outsourced bookkeeping services, we bear all of these expenses and simply provide you with the services you need.
Of course, when you’re handing over sensitive documents you need to be sure that your data is handled safely. While a full-charge bookkeeper can usually be monitored without much effort. With an outsourced bookkeeping service, here are some issues you will have to think about. You need to start thinking about whether your communications are encrypted to prevent monitoring. Also, whether files are backed up for easy retrieval, and how accessible your files are to unauthorized individuals.
At A2ZVA, we use cutting-edge security tools like LastPass to protect your credentials. All of our work is done on online cloud accounting software such as QuickBooks which allows for real-time backups and robust platform-wide security for your comfort. You can also retain access to your books at all times to ensure that updates are being made accurately and promptly.
More often than not, a full-charge bookkeeper is usually brought on board after a lengthy hiring process. This process often involves checking resumes, conducting interviews as well as verifying references. Not only do these activities take a significant amount of time and money to arrange, but are sometimes a nightmare. However, in the end, you usually end up with a qualified employee as a result.
By comparison, many outsourced bookkeeping services fail to deliver the right professional skills for this critical function. With cheap offshore freelancers, this is also often true. Freelancers in general, often lack the necessary familiarity with local tax codes and regulations. At A2Z, our staff in Austin, Texas has a proven track record. Therefore we strive at maintaining successful client relationships. Our VAs are US-based and they all have years of working experience to lend to your specific industry niche.
How to Take Control of Your Outsourced Bookkeeping Relationship
Now that you’re aware of some of the potential challenges which could affect your outsourcing decision, you’re in a much better place to forge a successful relationship. Here are some tips that will help you get the most out your remote assistant.
You should indicate which specific financial management and recording functions that need assistance. You must do this before beginning your working relationship. At A2Z our outsourced bookkeeping services are preceded by a comprehensive onboarding process. Similarly, your VA in Austin, Texas will talk with you to establish a suitable turnaround time for daily updates. These updates include the type of recurring services required on a monthly basis (reporting, reconciliation, payroll, etc.). This is when you need to appraise your virtual bookkeeper about the current state of your books and the accounting processes you already have in place.
Outsourced bookkeeping services require access to certain data and accounts in order to ensure efficient service delivery. Make sure you have systems in place for uploading and delivering key documentation on a consistent basis. Also, all necessary credentials should be transmitted beforehand. Once the working relationship gets underway, you need to set up a dedicated channel for communications. More often than not, these communications take place by phone or online services like Skype and Slack.
Use Easy Upload Tools
Sending critical invoices, receipts and records by email or fax are quite risky. These processes are also quite time-consuming. At A2Z our team handles all bookkeeping tasks through their online cloud accounting portal. Not only this, but our software provides a simple upload tool allowing you quicker, easier and safer data sharing. Through the cloud, you can attach digitized versions of receipts, spreadsheets, and invoices and keep track of all update to your documents as well. The online database also serves as an indexed repository for all your financial paperwork, which will come in extremely handy when tax season comes around.
Although outsourced bookkeeping services take a large portion of daily financial management responsibilities off your shoulders, you must still keep track of the ongoing reports concerning payroll, receivables, payables, and profits. These figures provide a key insight into the performance of your business, and they will also help you confirm that you are still compliant with local tax codes and regulations. If your bookkeeper identifies a clear trend of overdue payments or rising expenses then you may need to take steps to cut costs and overhaul your credit management in order to ensure continued profitability.
Use Bookkeeping Strategically
Ultimately, outsourced bookkeeping services should give you more time to focus on expanding your business. Likewise, If you manage to grow your customer base and revenues accordingly, then you will eventually need to make additional investments. You need additional funding to meet your newly increased demand. The knowledge and expertise provided by your virtual assistant will be indispensable during this time. In short, by leaning on your bookkeeper for support, your company is able to be more profitable in the long run.