Revenue loss, resource crunch, limited funding, layoffs, more focus on product development, and we can all go on and on with our problems in these Covid19 times, but is this a problem only now or we’ve all as businesses faced one or more of them in the past?
Given the challenging times we are in, we need to focus and most importantly on business growth. That is where the most important department to focus on becomes your finance department, so says a report by McKinsey as well. In the current ambiguous environment, maintaining liquidity is the only option for survival; more and more firms are cutting costs and maintaining a leaner front. This isn’t something new and firms have done this in the past for whatsoever reasons. The benefits or the advantages by far cannot be discounted.
As per a report by PwC , it says that pre COVID19 times 27%-55% businesses wanted to expand outsourcing in the next 5 years, out of which 24% outsourced their finance activities and 20% outsourced it to a significant extent and it is expected to go up by 56%. But this was preCovid19, today it looks like almost 70% of the firms would opt for outsourcing.
After speaking to CEOs of different firms in North America, Europe and Asia, the below are the top 5 reasons why you should outsource your accounting/ finance function:
Save Money and Survive
By outsourcing you do not have to spend time or money on hiring, training, or employee benefits, you also save by 0 office space allocation for them. You save by not spending money on accounting software or licenses, hardware and office supplies.
Save Time and Focus on what’s important
By outsourcing you spend time on the growth and operational efficiency of your business and not working on payroll and bookkeeping. This also helps in getting ahead of your competition by focusing on R&D, operations, marketing and sales.
Better Decision making
By outsourcing you get access to skilled professionals who know the process in and out, left and right and up and down. These professionals cater to different and similar businesses so their knowledge in terms of what outcomes one can expect just by looking at the reports is immense and their recommendations come in handy when making those BIG DECISIONS.
Availability and Sustainability
By outsourcing you sign up for cloud-based accounting solutions and they’re available at the tap of your finger anytime and anywhere. You can monitor your financial health everyday and take better decisions to propel your business to the next level.
Outsourcing the accounting and finance function also helps in reducing the use of paper, printing materials, and office space, in the process reducing your carbon footprint. Wouldn’t you outsource your finance function for environment’s sake?
Peace of Mind
Yes, that one thing you do not have to worry about. With the experienced team you know for sure that the report is accurate and no fraudulent activity was undertaken. These teams do not have a stake in your business so they give you an unbiased information of the money trail, bringing in peace of mind and confidence of taking right decisions to grow your business.