What is Outsourced Bookkeeping?
Outsourced bookkeeping is a subset of the larger outsourced accounting services offering. Outsourced bookkeeping does not offer the full range of outsourced accounting services: Chief Financial Officer (CFO), Controller, Payroll, Sales Tax, along with other business services.
- A financial controller is a senior executive who acts as the head of accounting and oversees reports, such as balance sheets and income statements.
- A CFO is the senior executive responsible for managing the financial actions of a company.
- Bookkeepers manage and record all the financial transactions and ensure your accounts and records are accurate and complete. Bookkeepers offer a literal look at where you stand financially at the moment.
- Accountants help you see the bigger picture and the path your business is on. At a very small company without an accountant, the bookkeeper’s duties are likely to be extensive.
Why Outsource Bookkeeping?
- You don’t have time because you are too busy servicing your clients. By identifying your effective hourly rate, you can determine the return on investment (ROI) by hiring an outside bookkeeper. If you have a cashflow problem, you won’t be able to afford it. If you’re doing it by yourself, then you probably can’t afford an outsourced bookkeeping service. Outsourcing your business’s bookkeeping operations frees up valuable time.
- You’re not qualified to do your own bookkeeping, but you still muddle through. If you have a lot of free time on your hands, then yes, you probably can keep your own books. But your time is better spent growing your business.
- Internal controls — Let’s say, your partner’s wife is doing the bookkeeping. It’s a good idea, and protection for all concerned, to have some checks and balances. If a deposit goes missing, or some other financial anomaly occurs, then controls and procedures will safeguard everyone.
- Doing it yourself is worth considering if you have a small number of transactions. New business owners often bootstrap many company duties in the lean and early days. DIY bookkeeping takes away from your time to be creative and do what you do best.
- Hire an in-house bookkeeper may make sense, if your business has a significant amount of transactions and expenses along with the cashflow to support an employee with benefits.
- Hire a contractor or firm for your bookkeeping work. By outsourcing your bookkeeping you do not incur the significant costs of hiring a staff member. You also only pay for what you need. By hiring a contractor you can also be assured that you are getting years of experience.
Stay on Top of Your Books
- QuickBooks captures information, but entries often need to be categorized and amended by hand. Managing day-to-day bookkeeping and accounting tasks can suck up a lot of time and energy. If you don’t want to hire a full-time accountant, virtual and outsourced bookkeeping is a good solution.
- Review your finances–As owner, you are the best person to catch over-billing, or anticipate cash flow challenges. Accurate and up-to-date financial records play an important part in the success of a business. If you’re using QuickBooks or other accounting software, you might wonder if you need a bookkeeper at all.
- Prepare for growth–Complete and accurate financial picture to provide investors. You may not be a financial wizard, but investors will expect you to know what affects revenue and cost. Don’t send the message that neither you nor your business is a good investment.
- Eliminate distractions –Focus like a laser at doing what you do best. Backend office functions such as bookkeeping are super distracting from the day-to-day running of things. All of these time-wasters and distractions need to get —out of sight, out of mind. Whether you decide to outsource your bookkeeping or continue to do it yourself, the key is to get a consistent process in place to make sure it gets done each month.
My Live Bookkeeper not Outsourced Bookkeeping
- Relationship: With My Live Bookkeeper, we communicate in real-time and want the best for your business. We care about you and your business, and support you not only as a bookkeeper, but as an ally and cheerleader. We love seeing our clients succeed!
- Reliability: Because we respect your time and take pride in a job well done, you can feel confident in the strength of our collaboration. We are trusted advisors to our clients.
- Qualified: At My Live Bookkeeper, you’ll have an expert who is QuickBooks-certified and has 20 years of working with other small businesses as a full-time career. You’ll know you’ve made the right choice between live bookkeeping and virtual bookkeeping during your first phone call. My Live Bookkeeper gives you access to a level of expertise that a virtual bookkeeper cannot.
Our mission is to assist you in growing your business. If you are looking for a dedicated QuickBooks expert who offers practical instruction, can read and interpret your reports from a different angle, and is a great value, then schedule an appointment with Andrea to learn more.