Often small business owners are troubled by the question of whether to do the accounting tasks themselves, hire in-house bookkeeping staff or outsource the accounting function to a CPA firm. The answer to that question is that it depends on various factors. What should be taken into consideration is:
- Size of the Business
- Number of Employees
- Type of Entity
Generally, if you employ 50 or fewer people, then outsourcing your bookkeeping, accounting, sales tax and payroll tasks is the best answer. Once your business grows to over 50 employees, it may be time to hire in-house accounting people. There again, the type of business should be considered.
I would suggest that the business owner focuses on marketing, business management, customer service and growing the business. The best use of the business owner’s time is not in bookkeeping functions or filing sales tax forms. I recommend that small business owners outsource the sales tax, payroll compliance, income taxes and tax planning to a firm that specializes in helping small business owners.
We tell our clients that they still have to write checks to pay their vendors and also invoice their customers, but we take care of the rest. Some of our clients have a lot of volume in invoicing or making payments and in that case it makes sense to hire a bookkeeper in-house to help with the function of invoicing clients and paying bills. By doing this, the business owner has completely freed up his time to do what is critical in the business. At the same time, the business owner has peace of mind knowing that things are getting done right and on time.
Book an appointment so that we can explain how our fixed monthly Small Business Accounting Package works and how it could help your business.