Accounting is a very vital part of a business venture. It records all financial transactions of a company and helps keep a keen eye on where expenses go. Accounting also makes sure that all documents relevant to filing taxes, applying for a bank loan, or processing of business insurance are readily available.
The common mistake of a start-up business is in setting aside the accounting aspect of their venture until it is needed. As the operation grows, more and more paper works pile up, making it hard to trace and reconcile payments, debts, earnings, and expenses. Aside from spending time and effort on growing the business, it is also paramount that business owners allot an equal amount of time and resources in accounting.
The Accounting Dilemma of Small Business
Accounting includes many aspects that ordinary businessmen may find challenging. Terms like depreciation, provisions, liabilities, assets, credits, debits, and other accounting jargons may just prove to be as confusing as a foreign language. Studies conducted on businesses have placed accounting as one of the biggest hurdles among small and medium enterprises (SME).
Hiring a full-time accountant, however, is not a practical solution for an SME. In most parts of the year, an accountant does nothing. Accounting work may only need a few days to a few weeks to be completed. Hiring someone permanently to perform limited work is not practical especially when a company’s budget is limited.
Some enterprising SMEs do the accounting themselves. Although this can be a cost-saving measure, the complexity of accounting work may veer a business owner away from focusing his attention to running his business. Besides, one may miss out important accounting facets if the person is not really trained to do accounting work.
Outsourcing Accounting as an Option
Finding an accounting service provider is a better and more practical alternative to your accounting needs. Singapore has many such firms that offer accounts maintenance for an agreed fixed price. Accounting personnel from these service providers can visit your company once a month to update records.
Guide to Selecting an Accounting Service Provider
Outsourcing your accounting requirements need long-term commitment with a service provider. Hence, it is very important that you select the best one. Here are some tips that you can use in selecting an accounting service provider:
- Cost Effectiveness
Price always plays an important role when outsourcing any kind of service. But before you sign an agreement with a service provider with the lowest price, you need to take note of some very important factors: quality, reliability, and expertise. Selecting a service provider based on the idea of “lowest bidder” is not always a practical solution. Industry experts will attest that a lot of cheap accounting services eventually turn out to be more expensive because the quality of work does not meet all the requirements needed. At times, providers with the lowest rate are just filling up their time with temporary accounting work until they find another permanent employment. Some may have all the skills, but they lack IT system knowledge that is crucial in accounting work.
The time spent on an accounting project is also commensurate to the amount billed for the service. As most accounting works are done manually, a good outsourcing service provider will make you aware of the amount of time needed to complete the work you require. They will charge you based on the amount of time needed for your project.
- Determine the Exact Volume of Work You Need
As the business owner, you need to exactly identify the type of accounting work you need. The work may include preparation of statement of account, filing of requisite forms for submission to relevant government and financial bodies, and the likes. Knowing the work involve will give your prospective accounting service provider a better perspective that will be the basis of their price quotation.
The Accounting Service that We Provide
Our accounting service is based on the principle of best service at the most cost-effective price. We provide professional accounting services to SMEs in Singapore to help business owners attain their business goals. We are a group of dedicated individuals who are adept in Singapore accounting practices and who use the latest technology in providing solutions to your accounting needs. We use transaction volume (table below) as the basis of computing how much you will be charged. This way, you will be able to set aside a budget for the accounting service you need without worrying about hidden charges.
Scope of Work
- Account maintenance following accounting standards of Singapore
- Financial Reports (GST Report, bank book, all types of ledgers, cash flow, trial balance, balance sheet, profit and loss account)
- IRAS form preparation for submission
- Preparation of financial statements as per Singapore accounting requirements (Consisting of Income statement, Balance-sheet, Cash flow statement, Statement in change of equity, Director’s report and notes to financial statements)
Benefits of Outsourcing Your Accounting Requirements to Us
- Ability to keep your records safe with you. You can scan your hard copies and provide the scan file to your service provider.
- Timely completion and submission of your accounting reports.
- Security of all your accounting records
- Regular meetings to thresh out any issue and to review results