Karen Hoban

CPA | Senior of Accounting Services

What is outsourced accounting? It is generally defined as an option for a business to hire an outside third party to complete accounting and finance functions for the organization. This can include but is not limited to bookkeeping, accounting and compliance work. It typically can encompass accounts payable and receivable and payroll as well as month-end closing tasks such as reconciliations and bookkeeping and tax and compliance preparation. Increasingly common are other engagements such as financial reporting, budgeting, financial planning as well as ad hoc projects, advisory and consulting services. Business owners seeking more time to focus on their core business are increasingly turning to firms such as Cray Kaiser that can do everything from performing the bookkeeping and accounting tasks to providing CFO-level financial analysis and advice.

In the past, accounting and finance was a function that was required to be in-house for access to records and other company resources and employees. Outsourcing is losing its stigma. The negative connotations associated with hiring out tasks are fading as the pace of life accelerates, work-life balance priorities shift, entrepreneurship expands, and business challenges grow increasingly complex. With the availability of cloud-based software and advances in technology, outsourced accounting has become easy to implement and is a proven time and cost savings for many businesses. Our firm can be on the same system and remotely share files and documents, allowing for real-time conversations. Owners of small businesses gain valuable time to focus on growing their business instead of managing and running the accounting functions. Businesses benefit from cost savings and efficiency by considering outsourcing many of the accounting functions to a team of specialists that offer expertise and flexibility to meet business needs as they change.

Some thoughts about the positive impact of outsourced accounting so you can grow your business not your management of accounting functions:

• Advertising, recruiting, hiring and training of competent accounting department personnel is reduced or no longer needed.
• Greater access to specialized expertise and seamless coordination with other areas of our firm. 
• Access to proven processes and streamlining of responsibilities and expertise.
• Flexibility to meet your business needs as they change from month to month and year to year allowing personalized service.
• Seamless and timely integration between bookkeeping tasks to accounting and financial reporting and tax preparation.
• Agreed upon division of responsibilities between owner, employees and outsourced firm can improve internal controls.
• Access to a dedicated team of specialists with current knowledge, experience and training in software, processes, technology.
• Option to start small – services and additional responsibilities and advisory or consulting projects can be added after a relationship, familiarity and trust is built.

Important considerations when reviewing outsourcing options and engaging a firm:

• Costs
• Expertise and niche area of accounting firm
• Create a plan of which tasks and roles need to be outsourced
• Create a service level agreement – maintaining an element of flexibility
• Open communication about the needs and responsibilities of all parties involved
• Technology and resources available

Cray Kaiser can help – let’s start a conversation as to how best to help your business grow and gain efficiencies in order for you to reach the ultimate goal of focusing on your core business and areas of growth. If you feel now is the best time to learn more about outsourcing your accounting department give us a call at (630) 953-4900 to discuss options and opportunities offered in our Accounting Services Division.