Accounting Outsourcing Services

Many companies nowadays prefer to outsource their finance and accounting to offshore destinations. The basic reason for this is that, by outsourcing their accounting operations companies can receive huge cost savings and concentrate more on their core competencies. A company’s accounting and finance needs cannot be put on hold. From the beginning, errors made in this area can delay or prevent funding, damage important relationships, and even affect important decisions that are still several years ahead.

There are some noted advantages in accounting outsourcing. By accounting outsourcing companies can save a lot of money as they do not need to set up a separate accounting department. Also companies can save up on labor management costs including recruiting and training costs. Accounting outsourcing also allows companies to take advantage of ready trained professional labor. Last but not least companies have the opportunity to access up-to-date technology and improve their accounting management process

Thus it is not surprising that many companies are outsourcing their accounting operations and especially to offshore destinations. Some studies show that the global market for outsourcing finance and accounting operations is expected to grow at a 9.6% compounded annual growth rate and exceed $47.6 billion in 2008.

The different services provided by accounting outsourcing companies are designed to meet the accounting, tax, financial management and consulting needs of companies. Accounting outsourcing companies can perform your monthly, quarterly and annual accounting and bookkeeping tasks, or can supplement a company’s present staff to lessen the usage of administrative time. This enables a company to concentrate on its core competencies leaving the specialized support functions to professionals. The provided services include.

• Internal audits
• Financial statement preparation
• General ledger maintenance
• Monthly & year-end closing assistance
• Payroll & sales tax return preparation
• Account reconciliations
• Controller & bookkeeper staffing
• Payroll & accounts payable processing
• Accounting systems design
• Accounting staff training
• Depreciation schedules
• Accounting software assistance

Today, accounting outsourcing is actually recognized as an effective management tool. Companies are now incorporating outsourcing as a strategy in their business planning.