Franchise Accounting: 7 Benefits to Outsourcing
As a franchise owner, you have more than enough to do just taking care of the core operations. Outsourcing support functions which are not your area of expertise — such as accounting — will definitely save you a ton of time and effort. But that’s just the beginning of what it can do for your business.
Professional accounting for your franchise brings peace of mind.
When a real CPA maintains your books, you can rest assured that it’s getting done right. Nothing is forgotten or entered incorrectly. Even if you plan to use your accounting system yourself, an independent advisor can help you set it up, teach you how it works, and make sure it has all the functionalities you need.
Accounting expertise is well proven.
Imagine working with an accountant who has been through an extensive vetting and hiring process by people in his/her own field. You’d feel more confident in that person than in someone you hired yourself, right?
Rookie mistakes don’t happen.
Are you sure you’re tax-coding transactions or categorizing your business expenses the right way? An accounting specialist can help you avoid that tax time nightmare. They can also advise on when to make capital investments for best tax savings, whether to take out another loan and how to improve cash flow, among other things.
Data entry and math errors are eliminated.
An up-to-date accounting service will use advanced technology that syncs with your bank, POS system, and management software to make bookkeeping automatic. With no human input, there’s no possibility of human mistakes.
Accounting Laws and regulations are met.
With tax and business laws changing at the speed of the internet, it’s almost a full-time job in itself to keep up with them. Better let someone who really does it as a full-time job handle this stuff for you.
Processes are always state-of-the-art.
When you or a staff member does the accounting in-house, you probably won’t be watching industry news and constantly upgrading to the latest technology, as an accounting company does. You benefit from their investment for a fraction of what it would cost to do it yourself.
Outsourcing costs less than a staff franchise accountant.
Many franchisees don’t really need a full-time accounting employee — they just need a few hours of work a week, plus the ability to call or email someone with questions. For that, you’re better off with a flat monthly fee to an outsourced accounting company rather than paying an employee’s salary or a traditional accountant’s retainer.
This affordable option is exactly what Xendoo offers to small business owners such as franchisees. Our flat monthly fee is less than half what you’d typically pay an hourly accountant, while providing you with at least double the speed and access to financial expertise. It’s easy to get started — just give us a call!
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