There are countless benefits of hiring an accounting service regardless of the size of your business. To deal with the administrative and financial aspects of your business, choosing the right accounting services provider is highly essential. Some of the big businesses in Singapore recruit an accounting expert or an individual firm permanently to handle their tedious accounting tasks.
The concept of outsourcing accounting tasks has seen tremendous popularity in Singapore as most companies (both large and small) have recognized the ultimate benefits of this alternate approach.
Hiring an expert to oversee your business’s accounts will provide a better evaluation of your company and will ensure that the company is protected. The typical accounting tasks usually include determining the risks associated with the company’s assets, making certain that the operational and financial data is precise, and ensuring compliance with local regulations. If you are still hesitant to pay someone to handle your business’s accounts, here are five detailed reasons why outsourcing accounting tasks is absolutely crucial for your business.
1. Outsourced Accounting Costs Less Than a Full-Time Position
Whether you are a small business or a large business operating in Singapore, you cannot overstate the importance of cash flow to your company. Everybody wants to maximize their company’s growth, right? To do that, you want to cut down or reduce unnecessary expenses. One way to do that is by focusing on how employees can bring money into your business.
When you recruit an in-house accountant, you bring additional costs to your business on top of the payroll expenses like employer CPF, SDL, and training benefits. Not forgetting time cost spent on advertising, selection, interview, recruiting process, orientation before the candidate can settle down. And if that staff resigns, the whole process starts all over. Outsourcing accounting tasks will cost way less than setting up a full-time job position for an accountant. This is because you only pay your accounting service for services rendered, nothing more, nothing less.
At the end of the day, outsourced accounting frees up your payroll funds, which helps you to grow the business rather than the job positions.
2. Outsourced Accounting Grants You Access to Professionals
How familiar are you with business taxes, annual tax filing, and GST in Singapore? Honestly, if you have an established business, you may not have enough time to comb through changing rules and regulations to figure proper tax breaks for your company. What are the odds you can hire an expert accountant who can handle all this for you with the budget you have already set up?
Outsourcing accounting services will grant you access to chartered accountants who dedicate all their efforts to your business’s finances. Most accounting services will assign your company a team of professionally trained accountants who are experts in handling the latest accounting practices and can get more work done and at a faster timeline than a full-time single accountant
3. Outsourced Accounting Takes Help from The Latest Accounting Software
When you recruit an in-house accountant, you need to gather the tools they require to do their job effectively. Unless you plan to calculate the accounts using pen and paper, this means purchasing costly versions of the latest cloud accounting software in the market or signing up for an expensive subscription—not to mention the training of your accountant.
Most accounting firms integrate cloud-based accounting software like Xero in their systems to generate consistent financial reports and streamline records for your company. Outsourcing your accounting operations will not only save on software cost, but it will also enable you to view and keep-check on your latest business transactions and financial records, anywhere and anytime.
4. Outsourced Accounting Makes Annual Tax Filing and GST Registration Easier
For corporate businesses, tax season in Singapore is the most confusing and stressful time. Many owners do not have enough time and resources at hand to worry about tax filing and computation, and some even have the audacity to leave the responsibility of filing tax returns to their non-accountant employees. Not only does this put your business at risk with non-conformity, but you might also be missing out on numerous tax exemptions, deductibles, or benefits—returns that you can actually channel into your business’s growth.
Involving an outsourced accounting service as your partner will simplify your tax filing and preparation process—taking all the confusion and stress out of compliance. A good accounting service works with you to fulfill your business’s tax filing responsibilities and focuses on maximizing your tax returns at the same time. Just think how much time you can save not having to shuffle through old transactions to find a lost receipt or proof of some old sale.
5. Outsource Accounting Can Help Grow Your Business
A good accounting partner does not only keep track of your accounts and manage your day-to-day records, but it does more than that. A good accounting service has its attention focused on your best interest. When you need to cut down expenses or evaluate an area of your company that needs enhancement, your professional outsourced accountants are in the best position to help you out with relevant financial reports and expert recommendations.
With a defined picture of your company’s financial stature, it is easier to make smart and informed decisions like whether it is in your best interest to recruit new employees or how much budget to set aside for a new venture.
Looking For a Confided-In Accounting Service for Your Business?
Mi2U Business Support is here to help you with accounting tasks and professional bookkeeping. As a reliable service, our expert accountants understand the complex situations faced by business owners, which is why our main purpose is to serve you as your extended team—helping you stay competitive and compliant as your business grows.
Get access to a skilled local team of certified accountants with relevant experience in this field. Mi2U Business Support manages all your business-related tasks such as tax filing, accounting, GST, payroll, etc, and helps you stay compliant with changing rules and regulations. If you want to keep up with your business finances and improve the profitability of your business, get in touch with Mi2U Business Support today!
