Here's what a business stands to gain by outsourcing bookkeeping and / or general accounting functions:
It saves time and money.
The need for hiring an employee to do the work is eliminated, which cuts expenses for office space, payroll tax, worker's compensation and benefits.
The business stays in compliance with laws and regulations.
Outsourcing bookkeeping and general accounting means different things to different businesses. A business owner has three basic choices:
Completing the tasks with direct intervention and no outside support, although it means taking precious time away from actually running the business.
Hiring a bookkeeper to take care of the tasks in-house. But this will involve provision of office space, pay wages plus fringe benefits, and more importantly, time to oversee the bookkeeper's work.
Or choosing a better way. Many business owners rely on professionals to administer their accounts payable, keep their checking accounts in order and handle other bookkeeping chores.
Here are some of the tasks we can do:
Ensure that bills are checked for accuracy and paid by or before their due dates to keep the business in good standing with its vendors.
Keep track of payment terms and make sure payments are made within the discount period and the lowest prices available are provided for.
Monitor sales tax charged (or not charged) by vendors.
Keep the business' checkbook up-to-date.
Reconcile checking account with the bank on a monthly basis so that the business owner is always aware of the fund availability.