Outsourcing is a salutary option for many business enterprises. Tapping the advantage of a skilled workforce at highly reasonable rates is one of the primary motives behind Outsourcing. India is among the ideal locations to serve the Low-cost demand for Outsourcing. Many Accounting Entities situated in the UK and the USA quest for the opportunity to Outsource Accounting Services to India.
Costing, as we all are aware, is a decisive element for any business. All Accountants who desire to outsource their services want to fulfill the purpose of affordability while retaining the quality of services. Many are apprehensive about how it is to deduce the cost of Outsourcing Accounting Services. Firms want to negotiate the most competitive prices for availing Outsourcing Accounting Services.
Value for Money is the pen-ultimate aim. We at Initor Global want to stand out on the expectations of our clients in every aspect. Let us take you behind the scenes and furnish you with the many details for estimating the cost of outsourcing your Accounting Services. After this analysis, you will be able to comprehend better the monetary nuances involved in Outsourcing.
Relevant Factors for evaluating Costs for Prospective Outsourcing Accounting Concerns
Before you narrow down your choices for the aptest Outsourcing Partner for your Firm, consider the following factors:
- Your Business Concern’s Growth Prospects
The Client Accounting Services Survey by Bill.com states that more than 30 Percent of the Firms who Outsourced their Accounting Work reported that their Outsourcing Providers Assistance has significantly helped them to grow their profits. Price is a critical consideration; however, it is not the only important point for evaluation. One must not disregard the Growth Prospects that tag along with the Outsourcing Services for their business. Many Small and Mid-Size Accounting Organizations have reaped in significant revenue benefits increase and expansion with the aid of Outsourcing.
- Outsourcer’s Expertise and Learning Curve
When you outsource your work to specialized Outsourced Accounting Agencies, they have the additional support and expertise of an experienced team of Accountants. Accounting requires a high degree of accuracy and timeliness. Handling your entire Accounting Affairs without much assistance may get you in a fix in many instances. While evaluating the Outsourcing decision, consider the Expertise and Learning Curve of the Outsourcing Entity and the corresponding service fees charged for the same.
- Your Business Requirements
There are common aspects involved in every accounting firm’s business, although the requirements will vary from the type of customers engaged by the Firm. When you seek out an Outsourcing Accounting Entity to partner with, ensure that they possess the resources and abilities to meet your business demands. You may be charged higher in some instances where the entity has the requisite skills and experience. That’s why you need to make a rational decision, keeping in mind all the co-related points.
- The extent of Cost Savings
The prime factor for most Firms thinking about Outsourcing is the Monetary savings generated with this option. As we have even discussed ahead, engaging an In-house Accounting is undeniably costlier when contrasted with the Outsourcing Services. Cost-Effectiveness is one of the imperative factors in the overall evaluation.
In-House Accounting Cost- Opportunity Cost for Outsourcing
Most of us are aware of the term Opportunity Cost. When you go for Outsourcing your Accounting, you can forgo the employing a large accounting staff on-site. In countries like the UK, maintaining an entire Accounting team in your office premise can be a pricey matter. It entails costs such as:
- Cost of Maintaining an Office Premise
The substantial outlay for employing a sizeable on-premise staff goes for the Acquisition or Rent of Office space, equipment, and other additional amenities. This will cost you thousands of pounds in the initial stage itself.
- Cost of Accounting Software and Tools
In this era of Technological Advancement, no Accounting Firm can operate without installing proper Accounting Software Systems in their Office. The implementation of relevant systems again needs specific skills along with a considerable budget.
- Cost of Recruitment and Training
You will have to devote an enormous investment to recruit and retain the entire Accounting Team in your Firm. Payment to Recruitment Agencies, Salaries, and Training costs are among the many overheads payable throughout the process.
- Cost of Management and Retention
Employing a quality staff of Accountants and Supporting workers not just entail Salary payments. Career Development Opportunities need to be regularly provided to the employees. It would be best if you made provision for the regular bonuses and appraisals required to retain good employees.
Popular Pricing Models available in the Outsourcing Accounting Industry
- Full-Time Service Model
Also known as the dedicated resource model, you are offered an entire team of senior and subordinate accountants for the required time-frame for handling all your Accounting and Finance requirements. You are charged periodic fees for the services. This is a commonly-used model in many outsourcing companies.
- Pay as you Go Model
This is another well-known service model where customers get resources as per the specifications during the appropriate time for a pre-determined price. Usually, a Dedicated Staff is provided on an hourly basis, and rates are charged accordingly.
- Hourly Model
This is another commonly accepted option that is similar to the Pay as you Go Model. The Client has to pre-determine the number of hours of service he shall need for his entity. The service is generally available on a pre-paid basis where payment is made for the bunch of hours specified.
You can settle for any of the Pricing Models as per your Budget and Business obligations.
Initor Global assures you stellar services at in-expensive prices!
As a Reputable Outsourced Accounting Service Provider, our company delivers remarkable service experience to every Client in a budget-friendly manner. We accept different pricing models as per your needs. Our team has impressed the Outsourcing Industry in the diverse dimensions of Accounting, Taxation, and Finance. Take your Accounting Firm to greater rungs of success with Initor Global. Reach out to us today!