When running a business, there are numerous areas demanding your time. Marketing, sales, budgeting, fulfilment, bookkeeping, staff – the list goes on and on.
Of course, you only have a finite amount of time (and energy), so why not outsource where you can? One prime area is your bookkeeping. It can be time-consuming, so why not get a professional in to do it for you?
Here are our seven reasons to outsource your bookkeeping to show you why this is a good idea.
1. Play to your strengths
You set up your business because you’re good in a specific area, probably not because you’re a skilled bookkeeper.
By hiring a professional to help you, you’ll get more time to do what you do best (i.e., grow your business), knowing your books are taken care of. That’s a solution where everyone benefits, whichever way you look at it.
You will want to grow your business over time, so you have two options. The first is to hire a qualified team to help you (we’ll come on to that later), or you can outsource to proven bookkeeping specialists who will keep you on the financial straight and narrow.
3. Hiring your own team
The alternative to outsourcing is to hire and train staff. The most significant downsides to this are that it requires enormous time and effort from you; it can be costly and inefficient.
It will have to be for a certain number of hours when you hire someone, which is likely to be more than you need. Plus, there’s the supervision they’ll need compared to if you outsource.
4. Look professional
Regardless of the size of your business, using the services of an outsourced bookkeeping service will give you more credibility than the DIY approach.
As a specialist, your bookkeeper will have more credibility in the eyes of HMRC, which means your books may not be questioned the same way they would if you kept them yourself.
A bonus is that all qualified bookkeepers have professional accounting body membership, which has standards that they must follow. Therefore, outsourcing is going to make your life a lot easier.
You may not be comfortable that a team member is looking at the business’s internal financial records. But privacy isn’t the only reason to outsource. The bookkeeping service provider’s reputation is on the line, whereas an employee doesn’t have these worries, leading to additional risk.
6. Access to specialist systems
Do you want to be investing in specialist accounting software? Didn’t think so. Of course, when you outsource, your business gets access to your bookkeeper’s accounting systems.
7. Greater accuracy
You are great at what you do; no one knows your business better than you. However, a bookkeeper is going to be better than you in their speciality
Outsourcing means your books will be kept at a higher quality and be more accurate, so there’s less risk of costly mistakes.
What to think about when hiring a bookkeeper?
First, check out their reputation. Look for someone whom their clients trust. Next, make sure they offer all the services you need now and are likely to need in the future.
Although cost will play a part in your decision, it shouldn’t be the primary factor. Remember, you only get what you pay for, and it’s your business’s reputation on the line.