Will You Use An Outsourced Bookkeeping Service?

[Updated 17 March 2024]

Using an outsourced bookkeeping service may be a scary thought for many small-business owners. But many owners continue to be so busy and very tired. They fail to recognise the warning signs that working so hard is dangerous, and unsustainable.

They work “in” their businesses and not “on” their businesses.  Consequently, their health suffers, it inhibits their businesses’ growth, and they have little time for personal commitments.

Furthermore, many ignore clues which signal it’s time to seek external help. They continue to toil and carry out numerous different tasks without being an expert in most of them.

“Smart entrepreneurs understand the value of their time and the power of delegation. Outsourcing bookkeeping can free up valuable hours to invest in what truly matters.” – Tony Robbins

Understandably, many new business owners start out that way. They save money and learn various aspects of their businesses. But they spend more time running their businesses than growing them.

They don’t focus on what they’re good at. They prefer to do everything themselves, rather than delegate to actual experts.

Would you recognise the signs? Is it time you trusted the experts and transfer your accounting to an outsourced bookkeeping service? If you recognise any of the following warning signs, then maybe it’s time.

#1 Your Financial Records are a Disaster

Have you ever considered that bad bookkeeping could destroy your business? It can.

Disorganised financial records could prevent you from understanding your business’ true financial health. Accounting records, riddled with errors and omissions, may cost your dearly – literally.

Your accountant will spend valuable time searching and fixing errors. The tax department many impose severe penalties if it audits you and highlights mistakes.

Reduce the risk your accounting records look like this. Photo by Wonderlane on Unsplash

Business fail regularly. Many, because their owners lacked clarity about their businesses’ financial position. Luckily, you don’t have to be another statistic.

Adopting a few simple steps, you’ll have peace of mind, with someone to take care of your bookkeeping. Enlisting the help of an outsourced bookkeeping service will help you avoid these issues and ensure your financials are in good hands.

#2 Repetitive Tasks Destroy Productivity

Do repetitive accounting and bookkeeping activities consume significant amounts of you or your team’s time? If they do, they probably reduce your team’s productivity, and therefore your profitability.

Liberate yourself and your team by using an outsourced bookkeeping service. Focus your valuable skills, time and experience on your core strengths and customers.

It’s easy to become distracted and succumb to exhaustion and stress. Photo by Erik Mclean on Unsplash

Being a jack-of-all trades and wearing so many hats is often counter-productive.

Eventually, cracks appear if your approach prevents you from focusing on key activities, such as customer services. Specialise and hone your skills in one area, instead of “having your fingers in every pie”.

You probably possess certain skills and experience that you want to share with the world.  However, aiming to excel at everything will deprive your business of those skills which differentiate you from your competition.

#3 Too Many Distractions

Do you spend enough time determining what you should spend your valuable time and money on? Do you get buried in the details or day-to-day work?

Take a moment and consider what’s at stake if you don’t find to plan. Photo by Kaleidico on Unsplash

There are numerous things you can do as the owner of your business.

Outsourcing enables business owners to focus on their core activities without unnecessary distractions. They have more time to develop the right strategies to turn their visions into reality.  Consequently, new products and services can be created, or new markets explored, with the extra time available.

#4 Exhausting Schedules and Workloads

Are you or your team overwhelmed? Has the quality of their work declined?

An immediate benefit of outsourcing is to reduce, or eliminate, you and your team’s punishing workload. Mistakes are more likely to occur with people who suffer excessive workloads.

Giving your team too many deadlines is counterproductive. They’ll struggle to keep up with numerous tasks or projects. They may cut corners. Quality may be compromised.

Trying to do too much and be part of too many things can cause stress and burnout. Photo by Christian Erfurt on Unsplash

Your team may become frustrated and undervalued and may seek employment elsewhere if they’re overworked. They may resent being unable to demonstrate the full scope of their skills and experience.

Use an outsourced bookkeeping service to distribute your team’s workload more evenly.

#5 Outsourced Bookkeeping Services Save You Money

Outsourcing releases additional funds by eliminating expenses incurred on non-core activities. This creates funds to explore new opportunities to innovate and grow.

Outsourcing reduces, and often avoids, incurring expenses by eliminating costs associated with recruiting and training new staff. Factor in holiday and sick pay, health insurance contributions, and bonuses, and employments costs soon mount up.

Cost savings achieved by outsourcing can help you release funds to invest in other areas of your business Photo by SOCIAL.CUT on Unsplash

You’ll also avoid investing or spending money on additional computer equipment, office space and other occupancy costs.

Engaging an outsourced bookkeeping service provider means being able to quickly scale your workforce. You’ll only pay for what you need. More funds are available to recruit staff who generate sales when you don’t have to recruit support staff.

“Outsourcing allows you to get rid of the mundane tasks, like bookkeeping, so you can focus on the big picture and growing your business.” – Richard Branson

Conclusion

So, are you ready to delegate your bookkeeping during 2024? Contact Chakra Partners today to discover how our outsourced bookkeeping service will help you and your business reach full potential. You’ve worked hard. You deserve success.

To summarise, we’re professional bookkeepers, with many years’ experience working with a variety of small businesses. Secure the benefits for your business by using our outsourced bookkeeping service, combined with our skills and experience.