Outsourcing Bookkeeping Service

Overview

Many small businesses, start-ups, and entrepreneurs find it difficult to hire someone with the right skills to prepare their company’s financial statements, manage bank account operations, analyze financial data, and prepare the outgoing invoices. Nowadays, it is even more challenging to find the qualified and eligible person at the affordable rate.

Even though it is commonly believed that accounting and bookkeeping must be done inside of the business, it is important to ask yourself, whether you have the necessary skills and experience to do this job. Due to this fact, it might be worth considering to outsource someone with the right knowledge and qualifications, who can do the same job in a more cost effective way.

For the same reason, many executive directors have noticed various positive aspects of outsourcing bookkeeping and accounting services without causing any adverse effects on their business, employees, and, most importantly, their customers.

However, we believe that the advantages of outsourcing should be weighed against many positives and not purely against the savings of the company. Therefore, we want to share the top 5 benefits, which our clients in Denmark, Norway, Sweden, and Switzerland, have already experienced after their decision to outsource bookkeeping and accounting.

WHEN YOU CAN CONSIDER OUTSOURCING

  • A small business does not require a full-time bookkeeper, but needs a person with more skills than the office manager or receptionist can provide;
  • A company of any size cannot find a full-time employee with the suitable skills at the affordable costs;
  • The temporary services are needed, e.g. extra help with end of the year reports or if a full-time employee is going on holidays, maternity leave, etc.
  • Only 2 persons are required to form a Private Limited Company.
  • The directors need not retire by rotation.
BENEFITS OF OUTSOURCE BOOKKEEPING & ACCOUNTING
  • Cost saving. Most businesses consider outsourcing to be additional, and therefore the unnecessary cost for their business. However, when it comes in reality, the savings that outsourcing usually provides can be quite considerable as most companies can offer their services at the lower cost rates (typically due to lower labor costs at their location). Besides, by outsourcing you save money on paying the salaries and benefits for the full-time or part-time employee, as you only pay for what you need. So there are no lost in productivity costs that come along with hiring full-time employees.
  • Extra time. As your business grows, you will find yourself spending more time managing your money and less time expanding the business. Therefore, the outsourcing administrative tasks like bookkeeping and accounting helps you to focus your time, energy and resources on creating the business strategies, bringing more revenue, as well as, networking and building the relationships with your customers. However, if you have spare funds to afford the in-house accountant, use its knowledge and skills to generate sales and optimize your business expenses.
  • Expert service. Outsourced bookkeeping and accounting service providers continuously have to improve their skills and qualifications to stay competitive in the market, so you can be sure that you are handing over your accounting to a reliable and knowledgeable person. It means outsourcing may offer you the possibility to hire a professional with a higher level of expertise at the affordable price.
  • Flexible employment benefits. When you outsource your bookkeeper or accountant, you have the advantage of using his/her services only as you need them. This factor can be particularly valuable for small businesses, start-ups, and entrepreneurs as they may not have enough bookkeeping work to take care of on a daily basis. Besides, if outsourced bookkeeper or accountant does not perform to your expectations and requirements, you can easily terminate the contract with no further difficulties.
  • Consulting. Whether you are looking to expand your business or simply cut down the spending, it is useful to have a reliable and experienced expert alongside, who can provide you with various financial plans and options to reach your goals. Besides, the outsourcing provides you a great way to have full-time professional aside your team and use the service on Pay As You Go basis.

TASKS YOU CAN DELEGATE TO VIRTUAL ASSISTANT

  • Bookkeeping
  • Reporting to authorities and Management
  • Payroll processing
  • Account payables (payments creation)
  • Account receivables (debtors follow up)

Required Documents

  • Copy of Rental Agreement (along with NOC from owner)/Sale Deed in case of own property.
  • Telephone or Mobile Bill/Electricity or Gas Bill Scanned copy of Notarized Rental Agreement in English
  • Affidavit from director and shareholders
  • Copy of PAN card, Identity and Address Proof for DIN for up to 3 directors

Process

Due to Digitalization of registration process, it’s become easy to register the private limited company

Obtaining DSC & DIN

Due to online process at least one director need to have digital signature (Dsc) which is required to sign electronic document.

For obtaining DSC, self-attested copy of director's pan card & his address proof is required.

Obtaining DSC & DIN

Firstly You need to find your name has not been taken

Secondly, you need to comply with the MCA guidelines. You can do so by ensuring that the name has a unique component and a descriptive component.

Company Registration Form & MoA & AoA Submission

Copy of Rental Agreement (along with NOC from owner)/Sale Deed in case of own property

Telephone or Mobile Bill/Electricity or Gas Bill Scanned copy of Notarized Rental Agreement in English

Affidavit from director and shareholders

Copy of PAN card, Identity and Address Proof for DIN for up to 3 directors

Company Incorporation Certificate

Once all the documents are approved by MCA , it will issue a incorpation certificate.

Apply for PAN & TAN & Bank Account

On the basis of incorporation certificate u can apply for the TAN , PAN & Bank.

FAQ's

1.Whether I lose control of my business by outsourcing my bookkeeping?

Absolutely not! You still maintain 100% control over decisions and payments regarding which vendors get paid and when. We provide you the updated information and perform the specific task & considering that you can take decision on your own.

2.Who services my account?

You will have one bookkeeper assigned to your account. This person will work on your account according to your suitability & master your unique processes, and be responsible for day to day servicing of your account.

3.How much does your service cost?

In general, our costs have proven to be less than our clients were paying for their accounting staff. Our fees are based on the volume and complexity of each client. We determine the scope of services and establish a fixed monthly amount so you can manage you budget.

The cost of properly setting your books up and maintaining them is far more cost effective than having your CA fix and correct them at year end. In addition, the benefits of having accurate and useful reporting during the year can assist in all aspects of running your business.

4.What software do you support?

Tally & busy is the general accounting software that we recommend and we are experts in its usage. We also have experience in other standard accounting software.

5.Do you need to replace your current CA?

No. We can perform bookkeeping services only but if you require, we can provide the same.

6.Why do I need bookkeeping?

Having good bookkeeping will ensure you have efficient accounting systems. This helps you manage critical components of your business.

7.Why should I outsource bookkeeping?

Most small and medium business owners do not have the knowledge, time or ability to effectively perform their bookkeeping duties. Outsourcing a bookkeeper will provide you with the time required to focus on your business’s operations.

8.Can you work at my premises?

Of course, our bookkeepers can comfortably work at your premises or from a remote location. It is entirely up to you.