The decision to outsource accounting processes relates to strategic management and lies in the plane of competitive advantages, long-term prospects, and business efficiency. As with any strategic choice, it often causes resistance in the organization – hidden or overt. There are supporters and opponents of external accounting audit services, which give a lot of arguments for and against. However, for the owner or business manager, the main thing is profit and profitability, and it is these criteria that determine whether or not to be outsourced.
What benefits should be expected from outsourcing?
The main interested party is the owner or CEO. The reason is that after the conclusion of an outsourcing contract, the third-party company is fully responsible for the accuracy of the calculations and the timeliness of reporting, it also protects interests in tax disputes and prepares papers for office audits. A business owner no longer has to control his accountants, and financial performance, the confidentiality of payroll salaries is another significant advantage.
Who can be against outsourcing?
The camp of opponents is most often headed by a chief accountant who does not want to work under the control of a “third party,” or even to remain without work. But it also happens that top management rebel against outsourcing. Here the primary motive is the desire to keep everything under control, monopolization, and consolidation of the structure. A policy that has long outlived itself proved its inconsistency, paradoxically, is still prevalent. However, in large companies, if opponents of outsourcing have influence, their decision becomes decisive.
If this is not your case, and there are more supporters of outsourcing than opponents, then the next question arises – how to build cooperation with an accounting services company?
What is desirable to do before signing the contract?
- Analyze the current state of accounting in the company, assess the need for the restoration of documentation, draw up a structure of the costs of the accounting function (including penalties for errors);
- To conduct a comparative or cost-functional analysis of its costs and costs for the accounting services of a third-party company;
- To study the rates of the outsourcing company and compare them with their capabilities;
- Choose the scale of outsourcing – is it profitable in your case to transfer the accounting function completely or to delegate only a part of the functions, or separate areas of accounting;
- Order a test service for 1-2 weeks to once again weigh the loyalty of the solution and the acceptability of quality;
- Depending on the results of the fifth step, add additional positions to the contract or exclude other types of operations.
Companies that order accounting services in Delhi, having spent some time searching for a decent company, studying the conditions and drawing up a contract, receive in return the support of professionals, reduce taxes and the risks of penalties, and eliminate incorrect or late submission of reports. And most importantly, they optimize costs with outsourcing and increase business results.