Do you remember parachute pants from the 80's? I loved those things when I was a kid. They didn't stick around long though. As a trend, they bit the dust pretty hard. So here's a question for you... Is outsourcing a trend, or are there real benefits to it? Below, I've listed 14 different reasons to use bookkeeping services for small business. There are some cons to outsourcing too though. Make sure to check out our infographic titled "In-House Vs. Outsourced".
Here are the 16 benefits to bookkeeping services for small business
1. Keep a Check on Cash
Cash is an elusive little bugger to most entrepreneurs. It comes and goes at it pleases, and is never there when you need it. Bookkeeping services for a small business are designed to tack this one down and keep it in line. If you struggle with knowing where cash is, this one is a big benefit.
2. Less Phone Calls from Vendors
Your bookkeeper should be well versed in the world of accounts payable. Managing your vendors and payalbes should be second nature for them. If that's the case, your phone will ring less often. Lets face it, picking up the phone to an angry vendor is a great way to crash and bomb your day.
3. Pass the Paperwork
Now you can forward that paperwork to your bookkeeping team. I can't think of worse way to waste your time as a business owner than to have you working on a state unemployment form. Good grief, let your bookkeepers deal with that junk.
4. Make More Money - A Lot More
Someone has to watch the bottom line and make sure it's healthy. If you have a good bookkeeping team, you should see improvements here. For example, check out this testimonial from one of the clients at Ignite Spot:
"When we started with Ignite Spot we were doing $20,000 a month in revenues. After roughly 12 months, we’ve grown to $500,000 a month in revenues. I’m loving it!" - Charles Cantu, CEO of Huddled Masses
5. Create Rich Habits
What kind of financial habits do you think rich people have? I would venture to say that they're rich because of those very habits. Does your business have a budget? Do you get weekly financial reports that keep you in check? If not, it's time to get them.
6. Be an All-Knowing CEO
Have you ever been in the dark when it comes to your company's finances? Its a sinking feeling that starts somewhere deep in your gut and travels to your brain. It's no Bueno. If you get the right bookkeeping service, you should have a firm grasp on whats going on.
You're awesome at what you do, so do more of it. Simply put, bookkeeping services for a small business make it possible for the owner to worry less, focus on customers and build better widgets.
8. Love Your Business
When you can focus on what you do best, you'll love your business that much more. Having a passion every morning to get to work and create is your #1 asset in growing your company. Don't let that fire fizzle out because you're stressed over the money.
9. Get Paid Faster
When there's a fully functioning accounts receivable system, the customer gets his invoice on time and likely pays you faster. All good news for you.
10. Turn Up the Heat
When you have good numbers at your fingertips, you can turn up the heat on your team. You can motivate them, light a fire under them or invest in new revenue channels that will bring on more growth.
11. Dodge Potholes
Business doesn't always go as planned. In fact, it hardly ever does. Sometimes things go awry and you have a breakdown. A good bookkeeper can help you manage cash, forecast it and identify problems before they happen. Being able to see some of the potholes ahead is extremely valuable.
12. Beat the Big Boys
Big companies can afford a fully-fledged accounting staff to manage all of this stuff, but what about you? Most small businesses go out of business because they lose track of their finnaces. Before they know it, they can't make payroll, the IRS is after them and the bank is knocking down the door. Yuck! Bookkeeping services for small business are great for companies looking for a big accounting team when you're on a budget.
13. Reduce Your Debt
Debt is an ugly thing. It robs your company of all of its value over time. When you have a strong bookkeeping team keeping the books, you'll be able to manage your business so that there's extra cash to put towards the debts and get them paid off quickly.
You'll be able to sleep better at night. Enough said on this one.
15. Pay Less for the Accounting Help
Bookkeeping services for small business come in many shapes and sizes. Some bill hourly, and others monthly. You'll have to figure out what works best for you and find a firm that fits that need. At Ignite Spot, we have a set monthly fee that we charge for the work that we do. To learn more, get our pricing here.
16. Focus Your Resources
If you're like most businesses, you're not spending enough on marketing. You're also not investing in better equipment, tools and software systems. Your website is falling behind and employees are starting to get upset. It's troubling, but running a business often becomes a buden. If you had the cash to invest in your system though, you would. Putting more money into the above categories will create an empire. At Ignite Spot, we are passionate about this stuff. We're here to help every business in America become debt free and profitable by 10% or more. I really hope this article has helped you work through some of the questions you many have had about bookkeeping services for small business.