7 Pieces of Advice for Picking the Right Outsourcing Firm

Is your small business ready to outsource its accounting tasks? Finding the right accounting firm that will meet your needs is critical. But what should you look for to determine the firm that’s right for your small business and its unique needs?

We asked small-business owners to share the lessons they’ve learned when choosing an accounting firm to work with. Here’s what they learned. 

1. Pick a local, right size accounting firm

One piece of advice: pick a local, right size accounting firm that will value doing your work. One time, because I thought the brand of the accounting firm was important in that situation, I used a Big 4 accounting firm to do the audit and taxes, and a local firm to do the monthly accounting. We were too small a client for the big firm and their services and fees reflected that.

-Jack Killion, Founder of Street-Smart Entrepreneurs

2. Make sure you understand why you want to outsource

Many companies have turned to outsourcing to save time and money. Delegating accounting duties to a remote staff may free up time to concentrate on growth initiatives, but be clear about why you want to outsource in the first place. Do you wish to take use of your onshore team's expertise? Are you looking for particular results for your company? Do you want to save money? You may then build your procedures and match them with your company after you've found this out.

-Jar Kuznecov CEO of Water Softeners Hub

3. Determine which roles you should outsource

There are many jobs in your accounting department that you may outsource. Bookkeeping, tax accounting, management accounting, financial analysis, and payroll services are all part of the package. An outsourcing partner may provide a variety of accounting services to meet your needs and expand your company's capabilities. Determine the tasks that your outsourced team can do and the areas in which your onshore staff should concentrate. This will make it simpler for you to locate the appropriate individuals to manage your money on a day-to-day basis.

-Dr. Michael K. Newman, CEO and Plastic Surgeon at Dr. Michael K. Newman

4. Make your expectations clear

Make your priorities clear when outsourcing your accounting. Discuss your company's business plan and how the accounting team can help you achieve your objectives. Also, state what areas of your business require the most assistance. Even if things haven't been going so well, don't be afraid to provide financial information about your company. To provide the finest service to your business, outsourced accounting companies need correct information.

-Richard Mews, CEO of Sell With Richard

5. Make it a habit to check in on a frequent basis

Strong business partnerships need clear communication. Make sure that regular discussions are planned so that you can remain informed about daily operations, but also that you can reach out if you have a query or issue. Decide how you'd want to be contacted in the event of an emergency, so you're not rushing to reach someone during a crisis.

-Jennifer Foster, Managing Editor of Authority Astrology

6. Ensure the safety of your data

Strong business partnerships need clear communication. Make sure that regular discussions are planned so that you can remain informed about daily operations, but also that you can reach out if you have a query or issue. Decide how you'd want to be contacted in the event of an emergency, so you're not rushing to reach someone during a crisis.

-Jennifer Foster, Managing Editor of Authority Astrology

7. Perform a background check

Unfortunately, there are many horror tales from people who have outsourced to shady persons and businesses all over the world. Although outsourcing is safe and secure, it is critical that you carefully verify a company's credentials before doing business with them. Learn how long they've been in business. Inquire about their legal papers. Look for references from companies that have previously outsourced. Is it paying off for them to outsource accounting services? Taking the effort to do thorough research on a business you want to entrust with your money is an investment well worth making.

-Derek Warburton, CEO of Mr. Warburton Magazine

Best Virtual and Outsourced Accounting
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Sarah Ryther Francom
Written by
Sarah Ryther Francom
Sarah is Business.org’s senior content editor. She has more than 15 years of experience writing, editing, and managing business-focused content. As the former editor-in-chief of Utah Business magazine, Sarah oversaw the state’s premier business publication, developed several custom publications, and managed all business-to-business content. She also co-authored a business book with FJ Management CEO Crystal Maggelet. Sarah is passionate about helping small-business owners reach sustained success.
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