Accounting is an integral part of virtually every business, large and small. One of the primary decisions business owners must make when a sorting out their accounting needs is whether to directly hire a fulltime or part time accountant, or to use the services of an outsourced accountant or accounting firm. While there are many benefits to having in-house accounting help, many experts recommend hiring outside accountants for a number of reasons. Here we will take a look at the top three reasons to hire an outside accountant or accounting firm.
Expert advice
One of the best reasons to hire an outside accounting firm is to be able to take advantage of the expert advice the firm’s accountants are likely to have. Accountants who work with others in the same profession are far more likely to grow in their positions and remain abreast of current laws and regulations. Additionally, outside accountants are more likely to be able to ask colleagues for advice or help when confronted with a particularly difficult situation.
Compliance
In today’s financial world there are myriad regulatory compliance requirements that virtually all manner of businesses must meet. Hiring an outside accountant or accounting firm helps a company to remain at arm’s length from its accounting, making the regulatory compliance portion of the accountant’s job more transparent. This simplified arrangement may prove invaluable if a company is found to have not complied with certain mandatory regulations. The neutral position of the accounting firm is less likely to be viewed with suspicion by regulators.
Reduced Costs
Having a fulltime, or even part time, accountant on payroll would likely mean increased costs with relation to healthcare expenses, payroll taxes, and other employee related expenses. However, hiring an outside accountant or accounting firm can help to avoid these additional costs, keeping the overall expenditure related to accounting services to a minimum.