Busted: Top 5 Bookkeeping Outsourcing Myths

For most CPA firm owners, the decision to outsource their bookkeeping turns on a desire to elevate their business. Bookkeeping outsourcing offers an attractive way to free up substantial time so accounting firms direct to portfolio enhancements alongside providing their clients with better solutions.

But the problem is that accounting firms are often reluctant to outsource because they worry about losing control over the process, communication barriers, and data security. Some even wonder if it would benefit their CPA firm. Outsourced bookkeeping can quickly stir a lot of opinions and concerns these days; however, such presumed obstacles are much more misconception than fact.

Let’s try and bust some of the most common myths around bookkeeping outsourcing.

BOOKKEEPING OUTSOURCING SERVICE PROVIDERS AREN’T TRUSTWORTHY

You will be surprised to learn that 78% of business owners are optimistic about their relationship with outsourced service providers. Outsourcing has been there since the early 1970s and has now transformed to reflect great performance. Top accounting firms have partnered with outsourcing providers with whom they can trust and develop long-term relationships. You get access to top talents, the latest infrastructure, and comprehensive data security measures when you partner with trustworthy outsourced bookkeeping services.

THE CHEAPER, THE BETTER WHEN IT COMES TO BOOKKEEPING OUTSOURCING

Surprisingly, several companies live by this myth. They fail to understand that customer experience and quality are more important than price and will lead to greater profits. Cheaper is most certainly not better when it comes to outsourced bookkeeping services. You might end up compromising on quality if you go too cheap. When you pay a fair price, you can access top-level results and need not worry about quality, reliability, and, ultimately, scalability. When looking for an outsourced service provider, instead of zeroing in on one that promises the lowest rate, find out if they understand your business and requirements and can deliver quality work on time. The best bookkeeping outsourcing company has the capacity to offer transparent pricing and flexible engagement models.

MY IN-HOUSE TEAMS CAN HANDLE BOOKKEEPING 

It is often assumed that bookkeeping is just data entry and can easily be handled by in-house staff. But bookkeeping is way more than that!

Although the responsibilities and tasks might vary, bookkeepers generally also reconcile accounts in cases of discrepancies and handle other tasks such as producing financial reports for management, checking the accuracy of entries, and also communicating with suppliers or customers to follow up on payments, refunds, etc. Even though data entry is a crucial part of bookkeeping, bookkeepers do a lot of substantial work. This means your in-house team will have to deal with this and spend several frustrating hours on such tedious tasks. Although powerful software available on the market can assist them in maintaining the books, learning them and ensuring accuracy can become a time commitment too significant. Therefore, the easy way out is to outsource your CPA firm’s bookkeeping and free up your in-house staff from the burden of tedious tasks.

I MIGHT LOSE CONTROL ON THE PROCESS

Although outsourcing means you get things off your shoulder, you will always have control over the process and be able to communicate and check on the progress. You will not be controlling the bookkeepers yourself, but the staff working as an extension of your team will deliver high-quality work without your involvement. Losing control of the process is what every accounting firm owner fears. However, you must understand that once your bookkeeping task gets completed, you will have the time to focus on other aspects that will help you scale. Bookkeeping outsourcing will not make you lose control over the business but will give you an enhanced understanding of your firm’s financial position.

BOOKKEEPING OUTSOURCING DOESN’T SUIT ACCOUNTING FIRMS OF DIFFERENT SIZES.

Another common myth about bookkeeping outsourcing is how it suits accounting firms of different sizes. Outsourced bookkeeping is a great idea for CPA firms, regardless of size. When small firms outsource bookkeeping services to offshore bookkeepers, they have a substantial cost advantage over having an in-house bookkeeping team. They also have an opportunity for flexible scalability and can scale up or down as preferred. Mid and large-sized firms ought to transition to being advisors and expand their service portfolio rather than remaining just vanilla accounting firms. But for that to happen, they should leap toward outsourced bookkeeping services, which will free up their time that can be spent on growth and innovation strategies.

RELUCTANT TO OUTSOURCE BOOKKEEPING SERVICES? YOU SHOULDN’T BE

Bookkeeping outsourcing doesn’t need to be complicated. CPA firms think bookkeeping outsourcing is complex, scary, or a more significant commitment than it is and miss out on the enormous benefits they offer. Now that we have dispelled the most common misconceptions around bookkeeping outsourcing, you can keep this in mind to overcome potential challenges and ensure your third-party service provider is a great choice. But the real challenge lies in shortlisting the right service provider to take care of your firm’s bookkeeping.

QXAS’ BOOKKEEPING OUTSOURCING SERVICES CAN HELP RAISE THE VALUE YOUR CPA FIRM DELIVERS TO CLIENTS

QXAS is a pioneer bookkeeping outsourcing provider in the USA with a proven track record and more than 12 years of industry experience. We have a team of talented, certified, and highly trained bookkeepers who are proficient in the latest software and bookkeeping norms. Our objective is to take the burden of tedious tasks away from your staff and give your CPA firm the benefit of labor cost arbitrage savings. Team up with us to stay on top of your books, help your clients maintain regular financial records, accurately map out their business goals, and, more importantly, scale quickly. We offer customized staffing solutions and multiple engagement models to suit your needs.

WHY QXAS?

• A seasoned bookkeeping outsourcing service provider with highly qualified & dedicated offshore bookkeepers
• Build immediate capacity: Interview and onboard preferred candidates within 48 hours
• Substantial cost savings: Up to 50%
• Save valuable time to focusing on growth and innovation
• Flexible engagement models to suit every requirement
• Comprehensive data security measures always
• Fully compliant: SOC-2 & ISO 27001 certified for security & ISO 9001 for quality