Why Outsource Accounting and Bookkeeping.
At what point should I start Outsourcing my Accounting & Bookkeeping Needs?
Accounting is a core business function. Without accounting, a business is sure to fail. With accounting, a business might survive. With accounting managed by a Profit Center Expert, a business is certain to succeed.
You’re probably already familiar with the bleak forecast for new small businesses. While failure rates have decreased considerably in the last few years, recent studies from the Small Business Administration (SBA) indicate that one third of new employer establishments fail within the first two years, and 56% fail within four years.
Poor financial management is often cited as the reason for most small business failures. Often the business owner or a member of the business team manages this crucial function because they want to maintain complete control of their business, they’re afraid that outsourcing the accounting would be too expensive, or a combination of the two. What they don’t realize is that outsourcing is a useful management tool that can save a business both time and money while preventing potential failure. And when you outsource to the right accountant, it can be the difference between base survival and profitable success.
The Benefits
There are countless benefits you enjoy when outsourcing your accounting. Here are just a few:
Save Yourself Time. You’re in business because you’re good at what you do. Your expertise involves the product and/or service you offer. And we’re guessing your expertise is not accounting. So if you, or anyone on your team, spend time managing your business’s finances, that’s time that could be better spent building your business.
In order to be competitive you must constantly be looking for ways to improve and expand your products and/or services, better market your business, and stay ahead of your competition. When you and your team focus time and attention on the accounting, that’s time not spent on these crucial tasks. When you outsource the accounting to a trusted professional, you can use that time to make your business the best it can be.
Save Yourself Money. We all know time is money. The average small business owner spends over 10 hours personally, each month, accounting for the business. If your average billing rate is $50 per hour, you may be spending more than five hundred dollars’ worth of your time! Chances are you easily can pay for a good accountant and then some with all that money.
Gain Access to Valuable Accounting Expertise, Equipment, and Technology. Reputable accountants have the expertise to not only save you money, but to make your business more profitable. In addition to that, they have access to equipment and technology that most small businesses can’t afford. They will use their resources to your advantage and save you the time and headache of doing it yourself.
Gain Access to Profit-Building Information. A truly valuable accountant is also a Profit Center Expert. They analyze financial data in order to assist you in making profitable decisions for your business. A Profit Center Expert can inform you which products and/or services to expand, which to eliminate, whether your marketing attempts are successful, where you’re loosing money, and where to cut back in order to save and redirect funds in order to become more profitable.
Call us for a free, no-obligation consultation. We can customize a package of services that is competitively priced and designed to save you time, energy, and headache. We offer the following services:
Accounts Payable
Input vendor invoices to payable system
Classify invoices to the proper G/L account
Request and maintain vendor W-9 information
Maintain vendor master files
Respond to vendor inquiries about payment status
Retrieve copies of payments as necessary
Prepare and file required 1099 forms
Process requests for stop payments when necessary
Cut checks to vendors based on due dates or client instruction
Reconcile vendor statements to accounts payable ledger
Reporting to organization on detailed aged payables and cash requirements
Process year-end 1099 forms
Accounts Receivable
Prepare and mail billings as needed (all billings provided to client for
approval prior to mailing)
Record and account for revenue
Input receivable transactions into the accounting system
Prepare and deliver periodic statements
Issue client-approved credit memos and refund checks
Maintain subsidiary receivables ledger
Process client-approved adjustments
Apply cash received to customer accounts and resolve “short pays”
Perform low-level phone collections as needed by client
Cash management
Process daily sales and deposit reports
Verify daily deposits and report variances
Reconcile and verify credit card deposits
Reconcile monthly bank statements
Journal entry and general ledger
Account reconciliations
Payroll
Time cards, after approval, will be scanned and uploaded prior to payday
Complete payroll while client prints, signs and distributes paychecks
Prepare employee earnings statements complete with current pay period and year-
to-date wages, taxes, and adjustments.
Prepare department summaries of month-to-date payroll data in addition to
customize reports specific to a client
Prepares timely and accurate notifications of tax liabilities and deposits
Completes year-end W-2 forms
Respond to requests for employee verifications
Process and submit garnishment payments
Respond to employee payroll inquiries
Prepare and file new hire reporting to state
Prepare, file, and pay all federal, state, and local payroll taxes
Reconcile health insurance payments and make payroll deductions when required
Prepare necessary HR reports such as turnover
Allocate payroll expenses for multi-store employees
Prepare and process payroll accruals when necessary
Monthly Closing
Fixed assets accounting & depreciation
Monthly financial analysis and reports
Yearly Business Assessments
Don’t wait another day to partner with a Profit Center Expert (PCE) and make your business more successful. Do what you love to do more; let your PCE take care of the rest. Call now for a free, no-obligation consultation.