Service
Outsourced accounting, without losing control of your numbers
Outsourcing means an outside provider does agreed accounting work under a contract, in place of or alongside your own staff. The hard part is rarely the entries. It is the handover, the routine and who holds the keys.
What a working month looks like
Ask any provider to show you their version of this. The order matters more than the exact dates, which you should set together, working back from your filing dates.
You send
Bank statements, bills and notes, using an agreed method.
They record
Entries are made and items they cannot classify are listed.
You answer
You clear queries promptly. Delay here causes most missed dates.
They reconcile
Bank, parties and, if in scope, GST and TDS records are matched.
You review
You receive reports and approve anything to be filed.
They file, if in scope
Filings are made, and acknowledgements are shared with you.
Who is responsible for what
Use this as a starting draft for your written scope. The right-hand column is the one people forget.
| Area | You | Provider | Decide in advance |
|---|---|---|---|
| Source documents | Complete and on time | Chase what is missing | What happens if they arrive late |
| Accuracy of entries | Answer queries honestly | Record and check | Who fixes errors, and at whose cost |
| Returns | Remain responsible for what is filed | Prepare, and file if engaged | Who approves before filing |
| Payments | Approve and make them | Tell you what is due | Whether they ever get bank access |
| Software and data | Own the licence and data | Work in it under a named login | Backups and storage |
| Reports | Read them and act | Deliver on the agreed date | Which reports, and in what format |
Handing over without a gap
- Choose a cut-off date and get closing balances from your current person.
- List every recurring filing and who has been doing it.
- Move logins and the data file into your name and contact details.
- Give the provider separate access, not your password.
- Run the first month with extra checking, then remove old access.
- Note any open notices or disputes, so nothing is lost.
Compared with hiring
- Outsourcing tends to fit when
- Volume does not justify a full-time role, records are digital, and you want a repeatable process.
- Hiring tends to fit when
- There is daily on-site work such as bills, cash or stock, and enough of it to fill the role.
- A mix tends to fit when
- Someone inside records daily, and an outside professional reviews and files.
A fuller comparison is in bookkeeping vs outsourced accounting.
Agree these in writing
- Services included and excluded
- Volume limits, and what happens above them
- Monthly dates for each side
- Named contact, and who reviews the work
- Confidentiality and where data is stored
- Notice period, and what is handed back at the end
What affects the fee
- Number of transactions, accounts and registrations
- Backlog to clear first
- Stock, branches or payroll in scope
- Frequency and depth of reports
- Filings included, and any notice work excluded
Compare fees on the same written scope.
What outsourcing does not change
- Your legal responsibility. Your returns remain yours, even when someone else prepares them.
- Reserved work. A statutory audit, for example, must be done by an eligible independent auditor. See who can do what.
- The need to look at your numbers. Reports that no one reads protect no one.
Considering outsourcing your accounts?
Tell us what you have now, your rough monthly volume, and what you want to hand over.
