One of the most beneficial tools in business today is virtual bookkeeping. The emergence of virtual bookkeeping not only allows for the streamlining of accounting processes but also, leads towards several other advantages. Cost-savings, better utilization of available resources and better time-management are just a few examples of ways in which outsourced bookkeeping tends to be helpful for big and small businesses alike. While bookkeeping can be managed in-house, it is always a smarter idea to outsource the same. Here’s why:
Bookkeeper Vs. Accountant
First, let’s understand how a bookkeeper differs in role and work from an accountant. While both are dedicated towards essential business functions, accounting is a complex process. It involves data analysis and interpretation. However, bookkeeping records financial transactions to begin with. Bookkeepers need to be accurate and efficient about debits and credits. When it comes to outsourced bookkeeping for small businesses, these professionals can prove to be extremely helpful in more ways than one.
Understanding the role of a virtual bookkeeper
A virtual bookkeeper is a trained and qualified professional who can assist CPAs and businesses with several tasks. Examples include:
- Management of tallies and account charts, payable procedures, payroll, sales etc.
- Processing the paperwork for a company’s business transactions.
- Adjustment of entries for the apt generation of income statements as well as balance sheets from the accounting software.
Despite the fact that a virtual bookkeeper’s work is usually overseen by an accountant, you must choose a reliable professional who can be trusted for providing quality SME bookkeeping and outsourced bookkeeping services.
Advantages of opting for outsourced bookkeeping services
Apart from the fact that you can save a lot of time and trouble while outsourcing your bookkeeping tasks, there are numerous other advantages that virtual bookkeeping provides.
Flexibility in time-management
Outsourcing administrative tasks such as bookkeeping and accounting helps focus your time and resources in other important areas of your business. Besides, the time difference in countries makes sure that the work gets done earlier than you expect.
Cost savings and flexible employment attributes
Unlike in the case of full-time bookkeepers, you do not have to worry about providing earned privileges to the outsourced professionals. This could include getting rid of hassles like fixed salaries, paid leave, insurance and the like. Also, you can outsource the work on a contractual basis that further allows you to cut down on costs. In case the virtual bookkeeper is unable to live up to your expectations, you can terminate their employment without having to give them a designated notice period thereby saving more time.
It is a known fact that virtual bookkeeping providers have to continuously thrive towards improvement. If they want to survive in the highly competitive market, they must have their skills and qualifications on point. This means, outsourcing may offer you the possibility to hire a professional with a higher level of expertise at a lower cost.
When should you opt for outsourced bookkeeping services?
Though it is beneficial for businesses to go for virtual bookkeeping services, it becomes all the more imperative in the following scenarios:
- When you need temporary services for a certain period of time and you want to make your way around unnecessary expenses.
- It is difficult to find a full-time employee to do the job at the pay package you offer.
- When you are certain that your business does not require a full-time bookkeeper but you need a professional with a certain skill set who can add value.
Once you have decided to outsource bookkeeping for your company, you should be smart about the professionals that you choose. Valenta has years of experience in the field and has built an exceptionally strong network of professional bookkeepers. Our experienced virtual bookkeepers are experts in all commonly used software including XERO, Quickbooks, Sage, Epicor, Drake Software and much more. In addition to that, we have also tailored our outsourced bookkeeping services to suit the individual needs that vary from client to client.