If you’re a small business, chances are that financial management isn’t your expertise (unless you are a financial services company). For all other businesses, proper financial management is the key to success. It helps businesses understand where they are financially, where they want to be, and how they can attain their strategic goals. Good financial management can help you understand your business’ true performance, provide visibility to partners and investors, and provide the foundation for strategic planning decisions.
For most businesses, financial management begins at the top with a controller, who heads up the accounting department, supervising bookkeepers and accountants and advising other members of the C-suite about the company’s financial health, and weighing on the financial aspects of the company’s strategic goals. For companies that don’t have a controller, there are benefits in seeking outsourced controller services to fill the gap. The advantages that can be gained by using an outsourced controller are outlined in the following sections.
An Objective Analysis
While you may understand the workings of your business supremely well, you may not be able to gain an objective view of the company’s financial affairs from the inside. An outsider can evaluate your finances without bias and make recommendations that come from a “big picture” perspective.
An Up-to-Date View
Even if you’ve handled your company’s financial affairs in years past, regulations, tax laws, and legislation are ever-changing, so you may be operating using an out-of-date framework. You may be missing important business signals and opportunities because you don’t have the latest information, and this could be putting your business at a competitive disadvantage.
Cost Savings
If financial operations aren’t your core business, chances are that the time you spend managing your company’s budget is taking time away from your real job: running your business. By outsourcing internal accounting and bookkeeping capabilities, you’re freeing up your employees to focus on the core of the business. Outsourcing the controller function will enable you to save money on salaries, payroll taxes, benefits, employee training, and recruitment expenses.
Accurate and Timely Services
If financial duties aren’t your primary focus, you may be delaying critical tasks that will negatively affect the business. Many small to medium-sized business (SMB) owners put off accounting tasks for lack of time, which could be leaving them to get behind in accounts receivable and accounts payable. This isn’t good for your business. If a business opportunity arises – a big contract, for example, or an acquisition – you may not be able to take advantage of it if your finances aren’t in tip-top shape and up to date. Likewise, if a crisis such as a cash crunch or supply chain disruption hit your business, a professional controller can help guide you through the rough patch. To find out whether outsourced financial and accounting services can help save your money and grow your business, 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 close, 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. Visit our website for more information or to contact us.