Whether you’re a large or small business, one thing rings true – managing bookkeeping in-house often just adds to your already never-ending to-do list, which ultimately diverts your attention from core business activities.
Outsourcing bookkeeping is an effective solution that saves time, reduces costs, and ensures financial accuracy.
If you’re considering outsourcing your bookkeeping, here’s what you need to know:
When Is the Right Time to Outsource?
The best time to outsource bookkeeping depends on your business’s unique needs and challenges. If bookkeeping tasks take up too much of your team’s time or are increasingly complex, it might be time to seek professional help.
Businesses that experience rapid growth often find that their financial needs quickly outpace their internal capabilities. When cash flow tracking is inconsistent, tax deductions are overlooked, or financial reporting falls short for informed decision-making, outsourcing can bring in the expertise needed to get your numbers back on track.
Seasonal businesses with fluctuating workloads can also benefit from outsourced bookkeeping services with the flexibility to to scale up and scale down as needed throughout the financial year
When your in-house bookkeeper leaves unexpectedly, or you’re struggling to justify a full-time hire, outsourcing ensures continuity and reliability in managing your business finances.
Why Outsource Your Bookkeeping?
Many business owners hesitate to outsource bookkeeping, believing they must keep everything in-house to maintain control over their financial operations. However, hiring a professional bookkeeping service offers several key advantages:
1. Saving Money and Being More Efficient
Instead of paying wages, superannuation, and all the costs of hiring someone directly, you only pay for the bookkeeping services you use. This can save you a lot of money. Studies show businesses can save 15-30% on costs by outsourcing their accounting.
Plus, with the challenge of finding good employees, outsourcing means you don’t have to spend ages hiring someone. You get access to experienced professionals right away.
2. Keeping Your Finances Running Smoothly
If you rely on just one person in-house, what happens when they’re sick, leave, or take holidays? Your payroll and payments can get delayed, and you might miss important deadlines.
Outsourcing means your bookkeeping keeps going no matter what. A dedicated team ensures your books are always up-to-date and you meet all your obligations on time.
3. Getting Expert Help and Staying Compliant
Australian tax laws can be tricky. Professional bookkeepers know all the rules, ensuring you comply with ATO requirements. They have expertise in tax, payroll, and financial reporting. Unlike one person in-house, an outsourced team brings a range of skills and knowledge.
4. Growing Your Business Without Extra Headaches
As your business grows, your bookkeeping needs change. Outsourcing lets you easily adjust your financial management without having to hire and train new staff. Whether you need more help during busy periods or want to streamline things, an outsourced service can adapt to your needs.
5. Protecting Your Business from Fraud
Sadly, fraud is a real problem for businesses. Having only one person handle your finances can make it easier for fraud to go unnoticed. Outsourcing adds an extra layer of checks and balances.
Reputable bookkeeping firms have strong security measures to protect your financial information and multiple people looking at your accounts, reducing the risk of errors and fraud.
6. Focusing on What You Do Best
As a business owner, your time is better spent on growing your business, not on bookkeeping and endless admin work. Outsourcing frees up your time so you can focus on things like developing new products, improving customer service, and expanding your business. Let the experts handle the finances, so you can focus on what you do best.
How Outsourced Bookkeeping Works
- Consultation – Discuss your business needs and goals with a bookkeeping provider.
- Assessment – They review your current financial position and identify areas for improvement.
- Setup & Access – Securely transfer financial data and provide access to cloud accounting software like Xero or MYOB.
- Ongoing Management – The bookkeeping team handles transaction recording, bank reconciliations, BAS lodgements, and payroll tasks.
- Regular Reporting – Receive monthly financial reports, including balance sheets and income statements, ensuring transparency and informed decision-making.
Outsourcing your bookkeeping gives you the time back to focus on business growth, product development, expansion, sales and planning. Let our team of experts handle the numbers while you concentrate on the bigger picture.
Contact AFP Accounting today to assist with streamlining your bookkeeping and allow you to achieve your business goals.
