Small Business – Outsourcing Bookkeeping – Need Advise

Outsourcing Bookkeeping for Your Small Business: Expert Tips Needed!

Are you a small business owner grappling with the complexities of Bookkeeping? If so, you’re not alone. Managing finances can be a significant time drain, especially when you’re trying to grow your business.

I run a small venture with a monthly revenue of approximately $10,000, and I’ve been handling the Bookkeeping and payroll myself using QuickBooks. However, the demands of payroll alone have become overwhelming, consuming up to two full days each month. Given that we pay our staff hourly, this requires meticulous recalculating and invoicing, which is becoming increasingly challenging.

Currently, I enlist the help of a freelance CPA during tax season to ensure everything is in order. However, I am seriously considering outsourcing our bookkeeping and payroll needs to a specialized bookkeeping company.

I am seeking advice from others who have made a similar transition. Here are some specific questions that I’d love your input on:

1. What should I look for in a bookkeeping service? Are there specific qualities or services that are essential?

2. Is outsourcing bookkeeping worth the financial investment? In my local area, I’ve seen rates averaging around $2,000 per month. Is this a reasonable cost for the time it saves?

3. What experiences have you had with outsourcing? Any recommendations or red flags to be aware of?

Your insights would be greatly appreciated as I navigate this important decision. Thank you in advance for your help!