Knowing when to outsource your finance and accounting needs can be challenging. After all, these areas are critical to your business and deserve the right expertise and adequate resources. Outsourcing your accounting and finance areas can be a good solution for business owners who feel overwhelmed or stretched too thin but cannot hire in-house help.
Unsure if you’re ready to outsource these functions of your business? Here are eight signs to determine if it’s time to outsource your finance and accounting needs!
Your employees and vendors are getting paid late.
If you constantly apologize to your employees for being late with payroll payments. Or, if you are paying late fees to your vendors, it is time to look at your accounting function and processes.
Paying your vendors and employees on time is vital to gaining their trust.
The accounting function in your business can help you plan your business cash flow. Outsourcing your accounting can help you plan your cash flow and ensure that your business has the cash to make payments when they are due.
Your financial reports are no longer relevant.
Getting accurate information about your business’s financial health can be challenging if you have neglected your bookkeeping for some time. Without up-to-date data, it isn’t easy to make sound financial decisions.
Hiring a professional bookkeeper or accountant can help you get your books to provide you with the correct financial information when you need it.
You’re not sure if you’re making or losing money.
If you are unclear about the health of your business’s finances, it is challenging to make good decisions for your business. However, wrong decisions can cost you money and hinder your growth.
When you outsource your accounting function, you can get expert help in financial planning and decision-making. In addition, you will have peace of mind that you are making business decisions on good information.
If you lack clarity on your business’s financial situation, it’s time to get help. A professional accountant can also help you understand your financial statements and gain insights into where your business is heading.
You’re constantly correcting mistakes in your books.
If you find that you or your employees constantly have to go back and fix mistakes in your accounting records, it’s a sign that your system is not working well. Many businesses start with manual accounting and bookkeeping processes, which can be error-prone. As the business grows, it can become more challenging to get a clear picture of your business’s finances when needed.
Good accounting help can help you to streamline your processes and avoid costly mistakes.
You don’t have the right skill set in-house.
It may be time to outsource if you don’t have the right skills in-house to handle your finance and accounting needs. But on the other hand, trying to do everything yourself can hold you back from strategic tasks in your business.
Outsourcing your accounting function can be an excellent solution to get you access to expert help from professionals. We are trained with the right expertise and keep up to date with all the standards and regulations.
Your company is growing fast.
If your business is expanding and growing fast, you may need additional support in the finance and accounting areas earlier than anticipated. However, trying to do everything yourself can be difficult and lead to errors.
Delegating your finance and accounting needs to experts means that you have an extra set of hands with the proper knowledge to keep up with the demands of your growing business.
You’re spending too much time on accounting.
It may be time to outsource if you spend more time on accounting and bookkeeping than growing your business. Whether it is because of an increase in the volume of transactions or because you’re struggling to find suitable solutions, the right experts can help.
When you outsource your finance and accounting needs, you can free up your time to focus on working on your business rather than on your business.
You’re worried about the CRA.
If you’re worried about a potential CRA audit or are behind on tax filings, it can be a sign that your accounting function has outgrown its current setup.
An accountant can help ensure that your bookkeeping is up to date, that you are compliant with all your tax filings and that you have all the supporting documentation you need in case of an audit.
When you outsource your accounting and tax function, you can get expert help to ensure that your books and financial records are in order and feel prepared if you get a notice for an audit from the CRA.
How can you find the right finance and accounting, outsourcing partner?
Finding the right partner is essential when you’re ready to outsource your finance and accounting needs. If you are looking for ways to outsource your accounting function, here are some of our tips to help you start the search for the proper accounting partner:
- Evaluate your needs – Your accounting partner or CPA should be able to provide you with the right services your business needs as it grows and evolves.
- Industry experience – Look for a firm with expertise in your industry so they can hit the ground running and provide you with the expertise that fits your business needs.
- Ask your network – Your peers and advisors may be able to help you connect with the right expertise.
Contact Glenn Graydon Wright LLP in Oakville for Expert Accounting Advice
A skilled accounting professional can help you find ways to save time and costs on your accounting needs. At Glenn Graydon Wright LLP, our financial business experts can provide services to support your accounting function, whether you need partial or complete support. In addition, we can provide you with recommendations on implementing and streamlining your accounting function to work best for your business. To learn more about how Glenn Graydon Wright LLP can provide you with the best accounting expertise, call us at 905-845-6633 or connect with us online to set up an initial consultation.