Is your head spinning from trying to manage and analyze your accounting books? You’re not alone, eighty-two percent of business failures are due to poor or negative cash flow management. Business owners are sometimes hesitant to outsource their accounting procedures for fear of losing control. However, the potential cost savings, scalability and flexibility, along with allowing leadership to redirect their time and resources towards their core competencies and strategic goals are game changers for many.
What are some signs it may be time to explore what outsourced accounting looks like for your organization?
Turnover or lack of support
Whether you’ve had a long-time controller retire or your finance team is experiencing the pains of the current labor market shortage, outsourced accounting & advisory can help fill in the gaps of your team and ensure your financial strategy stays on target. The time and resources used for onboarding new team members can be refocused to other areas of your business and the outsourced accounting & advisory firm can work to meet your targets without delay.
Recent growth in your business
While business growth is exciting, it often brings new challenges, especially when it comes to managing financial processes. Increased transactions, complex financial reporting, and compliance requirements can strain your existing accounting resources. Recent data suggests top-performing organizations contribute 3-5% of top-line revenue(s) to their accounting and finance functions. A big benefit of outsourced accounting is scalability and flexibility. You can easily adjust the level of accounting support required, ensuring that your financial management keeps pace with your expansion.
Meeting your financial goals requires the ability to track insightful data and generate meaningful reports. Lack of internal controls, manual data collection processes, and inconsistent record-keeping are just a few reasons why many businesses struggle to produce accurate and timely financial information. Outsourced accounting not only brings new expertise to your business it also provides access to software technologies you may not otherwise have access to. Their streamlined processes and advanced accounting software can help drive your business forward.
Lack of expertise and specialization
Not every business has a dedicated internal accounting team and even when they do, the team may lack knowledge or experience in certain areas, such as tax compliance, financial analysis, or industry-specific regulations. Accounting is a specialized field and without proper expertise, your business could be at risk financially. Outsourced accounting firms typically have a team of professionals with diverse expertise. They stay up-to-date on accounting regulations and industry trends, ensuring compliance and providing valuable insights to support your financial decision-making.
Leveraging the expertise and resources of an outsourced accounting provider can allow you to do what you do best, run your business. If you’re experiencing one or more of these signs, it may be time to explore your outsourced accounting & advisory options.
Our esteemed accounting & advisory team knows that increasing margins starts with increasing strategy.
Whether you’re looking for cash flow analysis, accounts payable/receivable, monthly financial statements, CFO functions, or other accounting services, our experienced advisors, accountants and CPAs will crunch numbers and help strategize to crush your goals. Let’s Chat!