6 Reasons Why it is Better to Outsource Finance and Accounting Functions

Accounting is the tool used for financial management functions and is an integral part of running a company. Proper accounting procedures and accurate bookkeeping are absolutely necessary to provide stakeholders a precise picture of the company’s financial health. In a CFO Signals Survey conducted by Deloitte, Chief Financial Officers (CFOs) around the world spends 12 to 15 hours at work. A major contributory factor to these long hours is the manual checking of financial reports done in-house. CFOs have to allocate time to check and recheck figures, calculations, and analysis to ensure accuracy rather than spending their time perfecting financial strategies. To reduce the burden of CFOs and financial executives, it may be more benefitting to hire a reputable accounting outsourcing service provider to do the job. Other benefits of outsourcing finance and accounting to specialists include:

1. Capitalizing on the best accounting professionals to do the job

Outsourced accounting firms are likely to have a more experienced and specialized professionals than your company to do accounting duties. The most experienced outsourced accounting services pride themselves on only employing the best and the brightest who are continually trained to be up-to-date on complex standards of accounting and financial requirements. This would not be a cost-effective approach if done in-house as the hiring and training alone will be an added burden to your company. Consequently, outsourcing your finance and accounting processes guarantees that the tasks are given the importance it deserves — fulfilled and accomplished in a timely manner. Doing so frees your CFO and financial executives to attend to more critical financial decision-making responsibilities.

2. Saves the company from investing in expensive software

The best outsourced accounting services invest in up-to-date specialized software. By outsourcing, your company can keep up with advanced technological solutions without additional financial burden. Corporate Services Singapore, for instance, invests with well-known accounting software specialists to ensure that no matter what type of business or industry you belong to, we have the best applications to meet your needs.

3. Facilitates strategic repositioning of employees

One limitation of every company is its resources — be it time, financial, or talent. By utilizing outsourced accountancy services, you get to free your employees from the mundane task of day-to-day accounting so you could redeploy them to tasks that will better make use of their talent in creating more business and value-adding service to the company and your clients instead of worrying about issues arising from accounting processes and systems.

4. Minimizes risks by shifting the burden to the BPO

When you outsource your accounting functions, you also shift the corresponding risks to them. It is the responsibility of the accounting firm to deliver error-free reports on time, every time. Outsource accounting services employ a multi-level review system built into the financial and accounting process. Corporate Services Singapore, in particular, has developed its own 6-step Outsourced Accounting Process. It is a team-based workflow system that ensures a seamless and straightforward approach to addressing clients’ financial and accounting needs. Additionally, your company will also benefit from improved regulatory compliance and make the most of the tax incentives afforded to your company by the Singapore government.

5. Adaptability from a customized accounting solution

Annual financial and accounting cycle experiences peak and off-peak season. By outsourcing financing and accounting functions, you don’t have to worry about additional costs during tax season for example. Opting to outsource your accounting department gives you the adaptability to scale up or down the accounting tasks as per the seasonal need of your company. You also get the flexibility of choosing the assistance that you need. Bundled services are a great deal that offers additional cost-saving benefits.

6. Ensures confidentiality and security of financial statements

Handling sensitive financial data is no easy task. Some companies are wary of outsourcing because of negative past experiences like data leak or selling-off their data to competitors. A reputable outsourced accountancy service will never let that happen. Corporate Services Singapore follows strict protocols and standards with respect to maintaining the confidentiality of the data you entrust to us. Our clients are rest assured that all their information and financial data are handled with prudence and securely stored.

Also read: Top 16 Benefits Of Engaging Outsourced Accounting And Bookkeeping Services

Thinking of outsourcing your accounting department? Chose only the best outsourced accounting services. Corporate Services Singapore is the most experience outsourced accounting service provider in Singapore with a proven track record and expertise in handling any financial and accounting needs. To know more about our services offered or for a free consultation, email us at info@corporateservicessingapore.com or call (+65) 6303 0642