Bookkeeping, despite being an essential task, is a big challenge to achieve. Startups and SMEs in India are always at a tug of war with their budgets when it comes to needing services. In such a case, a manager or an owner is left with three choices to choose from mainly. First, taking up the accounting task on one’s shoulder, or second, hire a professional bookkeeper. However, there is also a third choice for startups and SMEs in India that involves outsourcing from bookkeeping and accounting services providers. While each of the options comes with its own set of pros and cons, there is one particular option that suits best for the small business owners.
The option is to hire a bookkeeping and accounting services provider like TaxWink. Wondering why? Although doing it yourself seems to be the best option, not everything in your company can be done by you. Two major reasons why you need to put the thought away is because you don’t have expertise in every field, and managing time is important. In the case of the second option, hiring a full-time bookkeeper can prove to be a little taxing on the budget, which brings us to the third option of outsourcing the service. Despite coming with the risk of privacy breaches, the long list of benefits simply makes putting it off the table impossible.
Save Time & Money
One of the biggest reasons why startups and SMEs in India today are offloading their administrating tasks to outsourcing companies is because it saves both time and money. And that too to a very large extent. The cost of hiring and maintaining a department is way too high than outsourcing it. Not to mention the time it saves by loading the responsibility to another entity despite making them answerable. It is a typical win-win situation.
Expertise
Bookkeeping, accounts, and finance are jobs of a crucial department that you may not have expertise in, and hiring an expert can be very expensive. Outsourcing the service from an organization specializing in bookkeeping ensures that they know their job and are accountable for it. It takes away the pressure of learning about the related requirements and missing out on them unintentionally, because thanks to the experts, you will remain updated.
Dream Team
When you outsource from a bookkeeping and accounting services provider, you hire a team and extend your organization virtually, making your company strong without actually paying for it.
Best Technology
The key to scale and growth is benefitting from the latest technology that increases efficiency, productivity, and in the case of finances, even security. However, being a small business or a startup with a restricted budget puts limitations on the use of upgraded technology that may be beneficial for your business. However, while a technology may be expensive for you, the service provider you are outsourcing from may have it already.
Increased Efficiency
Bookkeeping is an extremely crucial yet tedious job that has no place for making mistakes. Getting help from the professionals takes away a certain amount of load from your business, increasing the efficiency. How? By saving your business time and money that can be invested for scaling the business.
Privacy And Security Of Confidential Data
Online GST Return, bookkeeping, accounts, finance reports are extremely confidential data of an organization. However, understanding the risks of a data breach, service providers prepare themselves with tools and systems at times more secured that yours to assure data protection.
Online GST Return Filing & Auditing Made Easy
Online GST Return Filing can be a very taxing task. Although the online portal makes things much easier, it is the record that causes headaches. Systematic bookkeeping makes the process easy because the documents needed are already virtually recorded in the books. The practice not only making filing returns a smooth process but also proves to be extremely helpful in case of audits.
Better Reports And Analysis
One of the biggest advantages of using the most upgraded software and having experts at a click’s reach is that your financial reports are always ready. Not only does it make reporting to several authorities easy, but it also makes financial analysis for planning and feedback growth-focused.
While the above list mentions too many benefits of outsourcing, the simplest answer to why should you be taking up the option would be because it is cheaper. And the best words that owners of SMEs in India always wish to hear in a list of benefits aside from cost-effective is time-saving and efficient. It is because these are the words that together pave up the way to increased productivity. And guess what, both of them are good words to describe the benefits of hiring bookkeeping and accounting services provider.
