How outsourcing can drive efficiencies in you Business during COVID19 crisis
In ZenFinance we have experienced a lot of interest from businesses to fully ‘outsource’ their accounting tasks and financial management resulting in either cost reductions and/or improved time management on actually running the business and more time for their clients.
Why consider outsourcing?
There are some very good reasons to consider outsourcing. Before embarking on any outsourcing program, owners should consider the root causes, or underlying reasons, why inefficiency may be present within their business. By doing this first, owners can then consider the type and extent of outsourcing which is right for them.
Some questions to ask to see whether outsourcing might be right include:
·Do you need to reduce your staff headcount while still keeping your finger on the numbers?
·Are general administrative functions such as payroll processing, bookkeeping and other general accounting tasks taking up valuable hours which could be used for more meaningful business management?
·Are you finding it a challenge to keep up to date with changes in legislation?
·Is managing software changes, renewal costs and training updates an issue?
·Are you spending many hours outside of work to complete accounting tasks?
·Are you finding it hard to review profits, performance and future growth plans?
·Are you doing the bare minimum to get by without really taking notice of the data and what your financial results are telling you?
Burning the midnight oil is a common trend faced by many business owners and this impacts on the quality of work delivered due to fatigue and stress.
What to consider when outsourcing
Finding efficiency in lost time is a key area of focus to improving overall business efficiency.
We recommend you review your internal time and costs versus a one-off monthly or quarterly outsourcing cost to assist you with making the right choice. The costs of system upgrades, office space, training, supplies, salaries, and benefits of a full-time equivalent employee all add up over time.
Some of the common accounting tasks that can easily be outsourced include preparation of:
·Monthly management accounts to give you a snapshot of your business performance
·Monthly payroll for staff
·Budget and Forecast preparation and reporting against actual figures
·Cash Flow management
·Reviews and advice of your business affairs if live data is available
·Quarterly performance update
·Plus support by email and phone throughout the year on any accounting and financial management issues.
Gaining efficiency by outsourcing some or all of these tasks will free up more time during work hours for owners and employees to focus on the strategies that can help the business to prosper.
For more information please contact ZenFinance Managing Director Elena Fedorova