Is outsourcing your accounting the right move?

Is outsourcing your accounting the right move? 150 150 Purple Lime

Accounts are an essential part of running a business, but there is no reason you must do them yourself. While larger businesses might have a full accountancy team in-house, many smaller and medium-sized businesses will opt to outsource their accounting instead. But you might be hesitant. You might be asking yourself, ‘Why should I outsource such a sensitive part of my business? What benefit will I see?’- The good news is, that question is very easy to answer, and we have put together a few of those benefits for you below.

Saves You Time (And Money)

In a world where the price of things just seems to keep going up and up, we always find ourselves on the lookout for the best deal, or something that will save us time in our busy lives. We shop around, price compare and move around suppliers to get the best price and save some money. A good accountant can help you out with this, without you having to do a lot of the legwork. Because for businesses it’s about more than just shopping around – it’s about knowing what options are available to you, and how to make the most of them. Just a few of the ways they can help you save money in your business include:

  • Tax advice
  • Cashflow and financial forecasting
  • Identifying new growth opportunities
  • Freeing up valuable time
  • Eliminating mistakes in your accounts

Better Oversight of Your Finances

This is where it pays to work with an accountant who offers more than just accounts. Finance teams can work with you to provide a deeper insight into your business, helping you understand what’s really going on underneath the numbers. By taking on a more strategic role in your business, a good accountant can help you improve your productivity, forecast and plan for your business cash flow, create KPI dashboards and detailed management accounts, implement effective tax strategies, and help you run your business tax and VAT efficiently – all on top of producing your annual business accounts, your corporate and personal tax returns. All of this helps you understand what’s really going on in your business, creating a better oversight of your finances and your business as a whole.

In short – it’s about more than just the numbers, it’s about understanding what they mean.

Outsourcing During Covid-19

Of course, on top of all of this, we have a pandemic to think about. For many businesses, the instinct is to bring everything in-house and try to save money in any way they can, so that they mitigate the economic impact of the pandemic. But despite the dramatic changes Covid has forced on us, outsourcing your accounting function is still one of the smarter decisions you can make. Now that more businesses understand how effective remote working could be, outsourced services are becoming more popular.

On top of the benefits we’ve discussed already, an outsourced accountant gives you access to professionals with in-depth knowledge of the various systems and schemes available to support your business. A professional accountant can help guide you through the process of finding schemes that fit your business, apply for you, and provide the information required. They can also give you tips and advice on how to adapt your financial plans so that you can thrive during these challenging times, and what you need to do to stay compliant with new regulations.

If you would like to know more, we would be happy to chat. Just email hello@purplelime.uk.com, or call 01249 691360 to talk with one of our team.