Leaving your business’ accounting department to chance s never a great idea. Great accounting services will make your business thrive and in many cases, even make it more profitable. Bookkeeping and basic accounting are not enough for many businesses, and this may lead those to bad financial outcomes and issues. Each business has its own particular accounting needs, and assessing those by yourself might lead to a bad experience and outcome in general. Because of this reason, it would be best to pick a specialist and let them assess this for you. Below we have some pros and cons of using outsourced accounting services Vs. establishing an in-house accounting department.
Determining factors that will help you choose what’s best for your business
When choosing the accounting controller for your company, there are plenty of variables that play a great role in the equation. Some might help your business grow and thrive in a highly competitive environment, others might make it less profitable and even result in serious financial and tax issues. Below we have some variables you should take into account.
- The number of monthly transactions operated by your business;
- How complex your month-end close is;
- The number of hours for which you need the services of a controller (under or over 40 hours weekly);
- The services offered by your controller (bookkeeping, accounting, taxes etc.).
These variables will help you assess what type of controller suits your company the best. Below we have more details on your options: CPAs, outsources or in-house accounting.
CPAs as controllers of your business
If a CPA acts as your businesses’ controller, you have plenty more advantages than you would if you were to create a dedicated department or hire traditional outsourced accounting services. They will deliver your business financial reports on a regular basis, profits and loss statements, balance sheets, cash flow forecast and other similar issues are also handled by these skilful professionals. Given the fact that they don’t manage the entire financial department will give you more options and a deeper insight when it comes to your businesses’ financial management. The reporting provided by these experts, like the ones you can find on this website, is rather month-end, than weekly or semi-weekly. Some business managers simply love having their reports at the end of the month, others, don’t. truth be told, when hiring a CPA, you hire all the pack of financial services, from accounting, to controller and bookkeeping.
In-house controllers are more appropriate for businesses with a consistent inventory. In this case, an in-house controller can wander around your warehouse and assess your stocks and handle other similar duties.
This option is more suitable for those businesses that don’t need an accountant for 40 hours weekly. Small businesses and freelancers seem to enjoy their services the most.
These are the three options your business has when it comes to accounting and financial controllers. Make sure to assess your business’ needs and pick the correct option for it.