Small to medium-sized companies like to focus most of their efforts on building their company’s core products or services. This often means that administrative functions can be ignored, which is unwise. While you may not be able to afford to hire a team of financial whizzes, it’s important to have someone in place who can oversee all of your organization’s financial reporting. This is critical when it comes to the function of a controller.
The Definition of a Controller
In the corporate world, the controller is the highest-ranking member of a company’s accounting and finance department. In large companies, this individual is often the main support for the company’s chief financial officer. On a day-to-day basis, the controller’s job is to ensure timely and accurate financial reporting and adherence to all local, state, and federal regulations regarding finance and accounting. (It’s important to note that “controller” and “comptroller” are different things. The word “comptroller” is often used to describe the chief financial officer rather than the head of accounting and finance.)
If your company isn’t large and you don’t have the budget for a full-time controller, you may wish to consider outsourcing the controller function to a financial services agency. That way, you can buy the services and expertise you need (and can afford), without the need for taking on a new skilled employee. By outsourcing the process, you have flexibility to find someone who understands your industry specifically.
The Benefits of Hiring an Outsourced Controller
One of the biggest benefits, of course, is that hiring an outside person will take a lot of duties off the plate of workers who need to be focused on your company’s core competencies. Yes, you will pay for the services of an outsourced controller. However, you’ll also be able to take advantage of this person’s skills and expertise, which can actually save your company money in the long run by eliminating late payment fines, speeding up the accounts receivable process, taking advantage of financial opportunities you may be unaware of, and ensuring you’re making the most of your tax situation.
An outsourced controller is well positioned to engage in an objective analysis of your financial situation and recommend new ways to save money and maximize your profits. In addition, using the professional services of a dedicated controller will eliminate the worry that the finances aren’t being done to the highest standard, so you can devote yourselves to your core job: growing the business.
To discover whether outsourced financial and accounting services can help you save money and take advantage of financial opportunities, consult with a professional. DOAAR is a small business bookkeeping, tax and consulting services firm, with an additional focus on its clients’ personal finances. Specializing in bookkeeping, controller and CFO services, DOAAR’s offering spans daily accounting, month-end closing, complex financial modeling and oversight. From execution to analysis and strategy, DOAAR provides clients with a powerful and fully integrated back-office accounting solution. We have locations throughout California and the rest of the U.S. For more information, visit our website or call 888-405-0880.