Since the COVID-19 outbreak, small businesses have been making hard decisions about their employees and payroll. With circuit breakers and less customers, companies have had to maintain ongoing expenses with less or no revenue coming in. Small businesses thus need the support of experienced outsourced accountants who understand the impact of COVID-19 and who have the right tools to lead them out of the disruption.
What is Outsourced Accounting?
Outsourced accounting is a service that handles your small business’ general accounting and bookkeeping, preparation and management of financial statements, payroll as well as management financial reporting.
This means you get to enjoy the expertise of experienced accountants at bundled, cost-effective prices, instead of having to hire and train new employees. Outsourced accounting also provides you with the flexibility to scale the scope of the service according to your business needs.
8 Reasons why you will Benefit from Outsourced Accounting During the Pandemic
Here are the top reasons why outsourced accounting can help your business stay resilient in a time of the coronavirus.
- Identify financial resources that are available
When times are hard, looking for an outsourced accountant might be the last thing on your mind. However, as the global pandemic rages on, small businesses can benefit from experienced, outsourced accountants who can serve as critical partners to help small business owners weather the storm. Outsourced accountants can help you unlock sources of government and private financial relief to help your business stay afloat longer.
- Review existing contracts
If you are entering or have entered into new contracts, it is a good idea to have your outsourced accountant review the contract or document. This is because accountants can analyse the contract and advise you on the tax and accounting consequences that may affect your small business’ financial prospects. With the help of your outsourced accountant, you can potentially avoid negative business consequences associated with cash management, financial planning, financial statements and insurance.
- Take care of the paperwork
If you have figured out a plan that will tide your business through the storm, your outsourced accountant can help make it happen. This is because you may have to produce financial paperwork, figures or details when applying for loans or relief. There may also be follow-up requests relating to your profit-and-loss statements and monthly sales figures. Engaging an outsourced accountant will put your mind at ease as this process will be efficiently and accurately managed, giving you more room to focus on enterprise problems that require your fullest attention.
- Manage resources wisely
Accountants are key partners in times of crisis. By studying your books and keeping them up to date, accountants can help you lower costs and spot growth opportunities for your small business. They will also optimise your cash flow through strategies such as identifying profitable and unprofitable customers. They may also advise you on your inventory costs and identify contracts such as leases and loans that you may wish to negotiate for better rates.
- Ensure a clear financial position
In order to quickly adapt to a post-pandemic reality, business owners need to have their financial positions at their fingertips. This helps them make informed decisions with confidence. Without an accurate idea of your financial position, you may struggle to manage your expense items and cash flow. By outsourcing accounting to a trusted partner, you will be able to have accurate financial information available in real-time. With economic uncertainty set to loom for some time, keep your business lean and agile with the support of an experienced outsourced accountant who will help you recognise the levers available.
- Working virtually
As many companies are migrating to remote work and digital systems, connecting with your outsourced accountant can be as simple as calling or video conferencing. A long-term partnership between your outsourced accountant and your business will open the door for authentic conversations that will build a stronger foundation for growth over the long-term. Build a long-term relationship so that your outsourced accountant can provide proactive guidance through some of the most critical decisions that you will have to face.
- Long-term business strategies
Besides accounting, some outsourced accounting firms also provide business advisory consulting services that are tailored to each individual client. As businesses continue to adapt and evolve in a new post-coronavirus reality, they will need to rethink their operating models. For instance, restaurants may prefer moving to takeaway services, while retailers may want to transit to e-commerce. These small businesses can benefit from professional accountants who can provide tailored, practical advice relating to these decisions, and fortifying their new operations.
- Streamlining expenses
Outsourced accountants can also advise you on your manpower needs. For instance, your accountant can help suggest options that will retain your best employees, such as reducing hours, while managing manpower costs. Experienced accounting advisors can also help you navigate the quickly-changing landscape of government aid, get you the resources you need, and ensure that your books are in order when it is time for your business to rebuild.
Choose the Right Singapore Accounting Firm
At Corporate Services Singapore, we can cater to the diverse accounting requirements of each client by providing a wide range of services. We provide experienced CFO-level talent on an outsourced, part-time basis at a fraction of the cost of a full-time employee.
Our professional CFOs, accountants and bookkeepers will free up your time so that you can focus on navigating out of the pandemic to ensure future growth. Where necessary, we also provide CFO advisory services to ensure that your financial planning does not lead to a drawdown on your company’s resources.
Access expert financial advice and solutions and stay on top of your business with Corporate Services Singapore. To reap the benefits of up-to-date financial strategies and better access to a wide variety of industry expertise, give us a call at 6602 8286 or email us at email@example.com to get started today.