When you multitask, productivity drops substantially, some studies say up to 40%. As a small business owner being productive is important because of limited resources and a smaller workforce. If you spend too much time as a bookkeeper, you’re not accomplishing tasks that help your company. You might think twice before hiring an outsourced firm because of cost, trust or quality of service.
If you’re still having doubts about outsource bookkeeping services, here are indicators that it’s time to do so.
Unclear Delineation of Tasks
Some small business owners have to wear multiple hats and delegate different kinds of work to just one or two people. This is an ineffective way to run a company because there will be times when an employee (or you the owner) will do a task or take on a project beyond their expertise. This results in low quality output and possible costly mistakes, especially in bookkeeping. If you have yet to have a clear delineation of work, it’s time to consider outsourcing. Outsourced bookkeepers have the industry experience and skills to work on your accounting books. Concentrate on what you do best by hiring a third-party bookkeeper.
No Backup Plan
Bookkeepers may quit, go on long vacations or get sick for days. In such cases, someone has to work on your company’s accounting books. If this happens you or someone else might have to do the bookkeeping. Lack of experience in taking on this task may lead to errors in the financial data. To avoid this problem, consider outsourcing a bookkeeper. A third-party firm can address the seasonal and short-term bookkeeping needs of your business.
Decision Making without Financial Data
Companies that rely on gut feel when making important decisions may be right in some occasions, but wrong in many cases. To reduce the odds of failure and poor choices, businesses should rely on data. Bookkeepers update and organise your books to allow you to get an overview of your company’s financial health. An outsourced firm or bookkeeper can do the updating and organising for you so that you can concentrate on your core business strengths. The organised and updated financial data in your books allow you to get insights about potential strategies you can implement.
Poor Allocation of Resources
The financial data found in your books gives you an idea on where to spend money. The resources you put in each aspect of your business can help it grow or may lead it to stagnation. Disorganised, error-ridden and lack of proper information in your accounting books may result in poor use of company resources. If this is the case, it’s about time you outsource a bookkeeper. Bookkeepers can organise your books and present them in a clear way that allows you to make sound financial decisions.
These are some of the signs that tell you to consider outsourcing a bookkeeper. Contact us to learn more about our outsource bookkeeping services and connect you with first-rate virtual bookkeepers.
