According to statistics, most small business owners spend more than 80 hours a year on business accounting? This includes tasks like taxation, payroll, and other accounting responsibilities. Isn’t it difficult? Consider outsourcing all of this job. Yes, you can use a white label accounting service or an accounting outsourcing firm to accomplish this.
What Exactly Does White Label Accounting Services Entail?
Typically, a corporation creates all white label items and services, which are then rebranded and sold by someone else. Let’s have a look at an example. Company A purchases digital marketing services from Company B or another company.
Now, Company B outsources the content of that entire package to another company, Company C, which is a white label content provider. This simply means they are not required to spend any money on content creation. Finally, Firm A, the initial company, chose to repackage the information, despite the fact that they had not created it in the first place.
White label services now comprise a variety of products and services that are not resold yet are necessary for corporate operations. This could include purchasing white label content for a company’s website or white label accountancy services.
What Are The Benefits Of White Label Accounting Services For Your Company?
Previously, only larger organizations could afford to outsource their accounting functions. Today, however, the situation is different, as several new Software as a Service (SaaS) platforms have emerged, and a growing number of smaller businesses are opting to outsource some aspects of their operations and then sit back and reap the benefits.
You can concentrate on your core abilities in order to grow your company.
Isn’t it logical to focus your efforts just on areas where you have experience? Unless you are an expert in accounting, it makes no sense for you to try to manage your company’s accounting and financial chores. You will have more bandwidth after outsourcing these operations, allowing you to focus on your strengths. Outsourcing duties like website design, content development, accountancy, and so on, for example, allows you to focus on more vital responsibilities like growing your business.
More money saved
An accountant with a few years of experience may expect to earn around $60,000 per year on average. If you hire someone with greater knowledge and experience, the annual cost might rise to $80,000 on average. White label accounting services, on the other hand, may be a better option because they are far less expensive, with plans starting at under $250 per month for small businesses.
Not only does outsourcing the accounting function save money on salaries, but it also saves money on overhead expenditures such as training and onboarding, hardware and software requirements, employee bonuses and perks, and so on.
Fraud losses can also be minimized.
Smaller enterprises with fewer than 100 employees are particularly vulnerable to fraud. According to data, small businesses lose an average of 5% of their gross revenues, resulting in a median loss of $164,000 per year.
Bringing in a third-party accounting agency can assist you obtain an advantage from the accountants’ unbiased association. Furthermore, many third-party accounting firms have internal audit mechanisms in place to protect their workers as well as their clients.
Professional accountants with years of expertise
Junior accountants who are employed on a low salary bring with them insufficient experience. When you use white label accounting services, however, you have the advantages of having a staff of both seasoned and junior professionals working on your account. They not only keep your company’s payables and receivables up to date, but they also ensure that payroll processing is completed on time. The company’s tax burden is also reduced thanks to the skilled and expert accounting personnel.
Accounting procedures that are more efficient and effective
Outsourced accounting businesses use the most up-to-date accounting techniques, resulting in increased efficiency. This also helps to cut down on processing time as compared to doing it in-house.
Accounting businesses also have the advantage of working with the most up-to-date accounting software, which gives them the tools they need to improve procedures like payroll processing, sales tracking, and cash flow management.
Your financial information and reports are available at any time.
For keeping the company’s financial data, most outsourced accounting services employ cloud-based software. This allows you to view or print any financial report or statement you require at any time and from any location.
Having constant access to all financial data, such as cash balances, liquidity, and financial reports and records, will assist in making key business decisions that are based on accurate and reliable data.
Bring in new revenue-generating services while lowering your costs.
The seasonality of client billings is a significant issue. However, because it’s a long-term commitment, hiring bookkeeping services can help you generate new revenue streams while also strengthening customer connections.
Client retention is improved.
When a company gives end-to-end solutions to a client, that client is likely to stay with them for a long time. A white label accounting firm should strive to provide as a one-stop shop for all of its clients’ accounting needs. Then it’s safe to assume that their customers will not abandon them and seek out another service provider.
Relax and unwind.
From a cost standpoint, hiring a junior accountant may be a good option; nevertheless, this cost-cutting comes with some hazards as well.
You can relax and have peace of mind knowing that your company’s financial reports are being generated by a team of skilled and experienced accountants when you outsource your accounting needs to a professional firm.
Allows for scalability and reduces staffing difficulties.
Managing a large number of employees is no doubt a difficult task – whether it is dealing with their leaves, productivity concerns, or salary issues, managing a company’s staff is not simple. Furthermore, without the addition of staff, scalability is not conceivable. When you engage with an outsourcing provider, however, your company takes care of all of the headaches associated with human resources and their availability.
White labeling services save you time and money while also relieving you of all your worries. You can unwind at the end of the year knowing that your books and reports are in good shape. Using a professional white label accounting service or accounting outsourcing firm helps you to benefit from the expertise and knowledge of competent and experienced bookkeepers, allowing you to give outstanding and professional services to your clients all year long without any concern.
Do you have any questions or would like to learn more about white label accounting services? Please contact us as soon as possible, and we will be pleased to assist you.