Why outsource your finance department?
Getting the right balance of people skills and experience in an organisation is a complex balance of resource, this is especially true when it comes to the finance department of a business. There are also key legal requirements that need to be met and so trying to do things yourself or with a less senior member of staff can be a false economy. Below are 7 key considerations where outsourcing the finance function that can benefit you and your business.
1. Access to finance expertise & knowledge
- A good outsourced company will have years of experience of testing, building and implementing systems and processes that deliver the right service to each client.
- Knowing when to provide you with the reports you need such as visibility of cashflow as well as experience of delivering reporting for the Board significantly helps.
- Outsourced providers are constantly updating their knowledge through working with a variety of clients. Bringing this continued experience and problem solving skills is a key part of their competitive edge.
2. Access to the right skills at the right time
- An outsourced model allows a more flexible approach to selecting the resource you need. Whether it is targeted expertise or admin support. You can flex the skill base to the areas required, the month it is required in. This is particularly relevant for the more highly skilled areas of management accounting and board/senior management support.
- Having a bespoke team of carefully selected resource can cost efficiently benefit your business. With access to a wide spectrum of skills and those fresh pair of eyes makes it more likely that they will identify areas of concern or weakness early on, as well as have the right people to help address the challenge too.
3. Delivering accurate real time processing
- Transactions are updated as they happen rather than waiting for the day that accounts person works
- Checks and balances will also be accurate as all the activity is under the same umbrella; giving you a clear picture of your position, everyday
4. Delivering service continuity
- With access to more than one person on your accounts means that you don’t have to worry about maintaining finance processes when a member of the team is absent sick or on leave. You will only see a continuation of service and your numbers up to date.
5. Access to better systems knowledge
- Through working on a number of financial systems (such as Xero), your financial team will be very proficient in using them. They will often be able to identify and implement changes that can bring greater efficiency and productivity to your finance function.
6. Delivering financial reporting with business heads
- It’s not just about reporting the numbers, it’s about identifying opportunities and potential weaknesses. A trained set of eyes looking at your data (with an understanding of your business) as it happens means that the team can feed back information before it becomes a problem or flag an opportunity to support your business plans.
7. Benefit from a mix of internal and external resource
- Cross fertilisation of mindsets and ideas will always drive growth.
- Access to a wider network of contacts to help support your business needs.
Here at Leonard Business Services we have a wealth of experience and skills to offer. Please contact us using the button to ask us a question or request a call back.