Here’s Why You Should Outsource Bookkeeping Services

March 11, 2021 by OSYB Staff

Business owners, whether brand new or seasoned veterans, often have a lot on their plates. From managing customer or client expectations to recruiting an effective team, there’s never a shortage of tasks to take care of. 

However, one aspect of business that often gets overlooked is your books. Despite being one of the most important areas of business, there often isn’t enough care put into the recruiting process used to find a bookkeeper with adequate training and skills to suit your needs. 

This leads you to ask yourself one simple question: “Should I outsource bookkeeping services?” 

To better understand what makes outsourcing your bookkeeping an attractive option for your business, we first need to understand the various pros and cons associated with in-house bookkeeping. 

In-House Bookkeeping Benefits

It’s not all black and white with in-house bookkeeping vs. outsourced bookkeeping. Depending on your specific needs, there are certainly some benefits to keeping an in-house bookkeeper on staff.

A More Direct Line of Communication

Barring the pandemic situation that we find ourselves in which limits our time in-office, chances are if you’re employing a bookkeeper, they’ll have an office nearby where you can walk over and talk to them. 

If you have any concerns that need to be addressed immediately, it doesn’t get any quicker than an in-person conversation.  

When you outsource bookkeeping services, there are different tools, such as Slack, that allow you to communicate with your bookkeeping team on short notice. However, it will always be less of a hassle to have your bookkeeper walk over to your office and look at your screen, even if it’s only slightly more convenient. 

Multi-Tasking

Having an in-house bookkeeper on staff also allows you to use them in other areas of your business, should the need arise. You’re free to add a few extra tasks onto their plate, aside from simply handling the books.

Now, this is largely dependent on the industry you’re in and your daily, weekly, and monthly task load, but it’s still worth mentioning. If all you require is bookkeeping, then don’t place too much stock in this benefit.

Process Alignment

Employing an in-house bookkeeper means that they have to follow your specific company processes for your books. If you have a rigid process that you want to be followed, in-house bookkeeping could be an attractive option. 

Outsourcing your bookkeeping may involve processes that bend your rules a little bit, as most outsourcing options likely have a method they’ve been using for a while. You’ll need to consider this when interviewing potential providers and get a feel for their processes. 

That’s not to say that all outsourcing options are rigid, though. OSYB, for example, gives you all the conveniences of outsourcing your bookkeeping while ensuring that you maintain complete control. 

Problems with In-House Bookkeeping

So, with a few benefits of in-house bookkeeping on the table, let’s have a look at the flip side of the coin. Which glaring issues present themselves with an in-house bookkeeper? 

Higher Expenses

With an in-house bookkeeper, it’s not just their salary that you’re paying. You’ll need to cover other various expenses, including:

• Employee benefits
• Specific training
• Office space

Conversely, when you outsource bookkeeping services, you’ll be paying a monthly fee for services. While this fee will vary depending on the provider you choose, you’ll avoid all of the above expenses. 

Recruiting Process

Going with an in-house hire involves a lengthy recruitment process. Everything from screening applicants to the onboarding process can end up costing you a significant amount of time and money. 

Not to mention the fact that if you aren’t well-versed in the world of bookkeeping, it can be tough to pick out the perfect candidate. How are you supposed to hire the right people if you’re not sure which qualities the right people should possess? 

Outsourcing your bookkeeping is the perfect resolution to both of these problems. Not only do you avoid time-consuming recruitment processes, but you’ll also be able to go to sleep at night knowing that you have an effective bookkeeping service. Simply reading reviews of different providers will paint you an accurate picture of the services you’ll be receiving. 

Outdated Training and Skill Set

As processes change and accounting evolves, a constant need for updated training is required. For one in-house bookkeeper, it can be difficult to find the time to receive new training or learn new skills. 

Outsourcing your bookkeeping gives you access to an entire team whose job it is to keep evolving their skill sets and stay up to date with modern training. You’ll never have to worry about sending your bookkeeper to receive more training while your books sit idle and untouched. 

Reliability

In-house bookkeepers are human. They make mistakes. They need vacations. They’re going to get sick once in a while. If you’ve only got one in-house bookkeeper on staff, these situations are largely unavoidable. 

When you outsource bookkeeping services, these problems are greatly reduced, if not eliminated altogether. A larger team handling aspects of your bookkeeping means that vacations and sick days don’t lead to your books being left unattended. 

More people overseeing your bookkeeping also means that mistakes can be caught more frequently and addressed in a timely manner, compared to one person attempting to handle everything on their own. 

Flexibility

What happens if your business begins growing? Surely, as a business owner, one of your main goals is the growth of your business. 

One in-house bookkeeper may be suited to handle your needs when you find yourself in the startup stage, but once you begin seeing growth, it may be inadequate. Both your finances and the workload for your in-house bookkeeper will increase. 

Outsourcing your bookkeeping means that you’re free to scale your business without having to worry nearly as much about your books. As the load increases, you may need to pay for a higher tier package, but that will be a small price to pay for having worry-free bookkeeping as your business continues to grow. 

Conclusion

Let’s go back to the main question being asked: Should you outsource bookkeeping services? Is it the right option for you? 

In short, it depends on the needs of your business. It’s true that an in-house bookkeeper can be adequate for your needs. 

However, as you can see, outsourcing your bookkeeping eliminates many flaws associated with an in-house bookkeeper. Everything from eliminating the dreadful recruitment process to simply having a more reliable bookkeeping option makes outsourcing a far more attractive option for businesses of all sizes. 

Looking for the Perfect Outsourcing Option?

Searching Google and leafing through the numerous outsourcing options can leave anyone feeling severely overwhelmed. 

Why not check out OSYB? Our Bookkeeping for Businesses service can solve all of these in-house bookkeeping problems. Through a secure server, you’ll always be able to view your data while we handle it for you. Worry-free bookkeeping at your fingertips. 

For any questions on how OSYB can meet your bookkeeping needs, or even outsourcing your bookkeeping in general, feel free to reach out to us. We’re here to help.