Ever felt that overwhelming feeling when you think of all the functions that you’ve got to perform in your business?
Everything falls on your shoulders, you’re the MD, HR, IT, Marketing, Legal and Financial Directors all in one with only 24 hours in a day, well hopefully you sleep at some point, but you’re most probably working 12 to 16 hours a day. Half of those hours are spent learning about a specific field, which isn’t your speciality, just to keep up with the demands of your business.
Too much anxiety? You probably only get to do half of every task well, the rest, as we’d like to say, “you wing it”.
Every business, however, depends on their finances to function, no money equals no business to run. Yet again there is so much to know and learn about keeping your books in order, knowing what SARS and CIPC require and learning, sometimes repeatedly, how your accounting software works with no one to guide you.
So how do you know it’s time to look at outsourcing your bookkeeping and admin functions? The answer is simple, how much time do you spend on it and what is the true cost of those hours?
So to simplify it: what do you earn per hour (if you’ve got a fixed salary work it out to an hourly rate)? Take that hourly rate, think about how much time you spend on keeping your books in order on average and see what your total spending is per month.
For example:
So why not just keep on doing it yourself? Well, you don’t have sufficient knowledge and if you make a mistake it could cost you far more to rectify than to trust an expert to do it for you.
The best advice to you is to outsource your bookkeeping and admin functions to a bookkeeping company that you can trust, one that will treat your business like they would treat their own.
What are the benefits of outsourcing your bookkeeping and admin functions?
Let’s look at five benefits for outsourcing your bookkeeping and admin functions:
- You can focus on building your business
Ask yourself why you started your business in the first place? Surely it wasn’t to spend hours on end understanding and doing the books. Ever heard the saying: “Surround yourself with experts”, you don’t want to keep up with SARS and CIPC, there are experts that already do that, make use of them and focus your efforts on your core business and growing it.
- You can save money
Having experts take care of your finances saves you money. Instead of having to learn everything there is to know about bookkeeping, you have the opportunity to ask an expert. No more time consuming data capturing and filing. If you want to know something about your books, send an email or pick up the phone, it’s that simple.
- You can make better use of your time
By outsourcing your bookkeeping functions, you free up valuable time that can be better spent elsewhere. How could you have bettered your service or product by gaining those hours that you spent pouring over your books? I’m sure you can think of a thousand ways to better spend your time.
- You can consult with bookkeeping experts
This is perhaps the biggest benefit. Once you’ve outsourced your bookkeeping you gain access to experts. They have the know-how to ensure that everything is done correctly. From tax submissions to SARS and CIPC requirements, registrations etc. they will manage your finances and notify you of any changes that your company should be making to adhere to these requirements and give you advice when you need it.
- You will get value through advice and training
Outsourcing your bookkeeping will afford you much needed advice and training. If you’re in the dark about how the bookkeeping software works, how will you know what your company’s financial health is? Thus getting the right advice on when to do what for SARS and CIPC and how to read and understand financial statements through advice given to you by your bookkeeping company means you have the tools to make better decisions for your business.
Conclusion
Do you feel a bit lighter already?
Once you’ve taken the step of outsourcing your bookkeeping and admin functions you’ll feel the weight of ten elephants (give or take) lifting off your shoulders.
It is simply something that you cannot overlook when it comes to saving time and money.
Don’t take on more than what you need to, you don’t have to be good at every function in your business. You just need the right experts that can do it better for you.
Hopefully we’ve given you some food for thought.
If you can think of any additional benefits that we might have overlooked, please feel free to let us know in the comments.
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