Why Accounting Should be the First Thing you Outsource in Your Business
Updated: Sep 15, 2021
Most people didn’t go to school for accounting, finance, or tax prep. But there are so many moving parts and pieces that are connected to the numbers in your business, it’s imperative that you understand what they mean and you have your books in order sooner rather than later.
I don’t want to speak to your fear and make it bubble up even more, and I don’t want to alarm you, but there’s a lot behind your accounting and bookkeeping. It’s possible that you’re just scratching the surface of this powerful piece of your business when you DIY it.
That’s why I’m a huge advocate of outsourcing your accounting before you outsource almost anything else. And right now, I’m sharing three (okay, four, but my marketing strategist told me that odd numbers do better in titles - see, even I outsource things!) reasons to outsource your accounting in your business.
Reason 1: There’s Power in Your Numbers
There is so much power in your numbers. When you understand your numbers, you can understand the true power and impact of your business. You can easily make decisions, like whether to say yes or no to a client or which services to focus on that are making you the most money.
There’s also a lot of fear in those numbers. It can be scary if you’re unsure and don’t want to let someone see the “mess” of your accounts. Are these numbers accurate? What if I can’t grow and provide for my family? Am I setting this up right? Can’t I just keep my head planted firmly in the sand so I don’t have to look at it?
I’ve heard all that and more and I have to tell you right now… Take a breath. Roll your shoulders back. It’ll be okay.
When you outsource your accounting, you can rest easy knowing that this powerful part of your business is working for you rather than against you. You’ll have someone on your team and on your side who can guide you through and help you make sense of this impactful piece of your business.
Reason 2: Data Helps You Make Decisions
Data helps us grow our businesses. You’re in business to make money, right? Data will help you see what you’ve done and project into the future so you can make decisions with tangible, accurate data. You’ll be able to confidently make investments because you’ll know what your business can support.
Not to mention, you’ll be able to pay yourself and your contractors thanks to being aware of your cash flow. You’ll also know when you can bring in other people to support you and that it’s safe to blow some dough on that sweet new Mac you’ve always wanted.
But first, you have to have that data. Enter: hiring someone to take a look at your accounting for you. Having an accountant translate your numbers into data that’s meaningful is so impactful! It’s so satisfying to me to take your numbers and give them meaning so you can use them to grow your business!
Reason 3: Rely on Experts to Guide You
I help a lot of clients to set up their QuickBooks Online so it works for them. Why? Because they don’t know how to do it. They’ve sought out an expert who knows what she’s doing (and who has the process down) so they can cut their time in half and do it right from the beginning — or at least, from this point on.
Outsourcing your accounting is the same thing. Like I mentioned, if you’re here and reading this, I’m 99% sure you didn’t go to school for accounting, bookkeeping, or finance. Further, you probably don’t spend all day in this realm and learn through experience.
You have other things to do! I get it. I outsource things all the time to experts. There is no problem in that. What is a problem is trying to do it all yourself when you don’t know what you’re doing.
Bluntly: You’ll spend time, money, and energy getting frustrated and not making progress because you’re fussing around trying to do something that is not in your wheelhouse. That is why you should outsource your accounting. Working with an accountant or bookkeeper will ensure that it’s done well, done right, and done in a way that makes sense for you and your business. We can guide you to the right solution for you instead of you guessing about what could work.
Bonus Reason: I Love the Messy Stuff!
I have a friend who “cleans'' before her housekeeper comes over. I’ve learned that she’s embarrassed of the state of things and is worried that her housekeeper will think she’s a total pig if she just swung the door open and let them see the raw, natural state of things.
Similarly, that comes up with outsourcing…well, almost anything in business, but especially something as intimate as your accounting. In fact, a common objection I hear when talking to someone who is considering outsourcing their accounting is that they have to “clean things up” first.
I don't know about other accountants, but I love it when it’s messy. I don’t mind sorting through and tidying things up. That’s why I’m here — to make your life easier by doing something you don’t want or like to do!
Outsource Your Accounting Before You Need To
I’m not proud of this, but I once ignored a weird hissing noise coming from our fridge. If I had addressed it when I first noticed it, we would have been able to patch up the hose going to our ice maker. I didn’t and we’re now the proud owners of a new fridge.
As with almost anything, if you let it go until it’s too late, it’s almost guaranteed to be a bigger problem down the road. That’s why it’s better to address your accounting sooner rather than later.
Hire someone before you think you need them. They’ll help you make financial decisions that are rooted in data and meaningful information so you can get to the growth point in your business faster and with less stress!
Outsourcing is the knowledge that your time could be better spent on things you can’t outsource in your business. And I am a big fan of it! Trust me, I outsource almost everything. By turning over something to the experts whether it’s an oil change for my car or specialized help in my business, I save so much time, money, and energy.
When you outsource your accounting, this will be your reality, too. You’ll be able to stress less and stay in your zone of genius instead of fighting with your accounting software, which is a big selling point. But you’ll also be able to use the numbers in your business because a pro gave meaning to your numbers in a way that allowed you to make important, impactful decisions
Wondering what it’s like to work with a bookkeeper or accountant? Read this post!