Since the past few decades, offshoring has become a critical aspect of the accounting landscape. Besides providing strategic advantages for managing and optimizing operations, having an offshoring team acts as an advisory body for small CPA firms. Although many firms have adopted offshore as a business strategy, there are several nuances regarding an important aspect – the software.
With the introduction and advancement of technology, clients come with their own set of demands and expectations pertaining to software. When choosing an offshore accounting provider, it is important for CPA firms to choose one that can deliver customized solutions tailored to their client’s unique needs.
While accounting is a huge market in itself, according to a market research, the accounting software market is a giant, estimated at $13.71 billion in 2022. It is expected to achieve $28.61 billion by 2030. The CAGR has been evaluated to become 11.8% from 2023 to 2030.
While many clients of Small CPA firm might be of the opinion that adding a software to the existing process of accounting is merely a “process”, they could not be further from the truth.
Small CPA firms either would use accounting software that they are comfortable with and integrate their software with their client’s business or would have to learn accounting software for their clients.
This poses a significant challenge for small CPA firms, and the best solution is to collaborate with a partner who can oversee the technological aspects of accounting, allowing them to concentrate on the functional aspects and value creation.
While choosing a partner, Small CPA firm should make sure to choose someone who can adapt to their clients’ needs and make accounting easy. Not every partner is inclined to adapt to the changing needs. A flexible partner understands you better and does not leave you in a fix.
How to choose an offshoring partner who can adapt to your accounting software needs?
In this digital age, the world has come closer and there is no dearth of options when it comes to choosing an offshore accounting partner. But as an owner of a small CPA firm, if you want someone who understands your software needs, is willing to go the extra mile to understand, adapt, and learn the software as per your uniqueness, and help provide custom solutions that best suit you, here is the right way to go about it.
- Define your requirements: Software needs do not merely mean the current state of business, they mean the long-term objectives. Your offshore partner must have a clear understanding of what they are. You know your clients best and it is important to convey the same to your partner. Features and functionality that you need, integration that will make tasks easier – don’t forget to communicate the goals that the software must address. This will help your offshore bookkeeping partner tailor solutions as per your needs. Scalability must be an important part of your discussion as the software should be able to accommodate growth.
- Research and pick: To identify potential offshore providers, conduct thorough research. Look for partner providers with a track record of working with businesses in your industry and niche. The find is not merely about a partner who can customize your accounting software needs, in fact, they have to be someone who understands the intricacies or are willing to make an effort to understand them. Getting a client reference and reading case studies can be the right way to understand your potential offshore partner better.
- Assess technical expertise: Technical proficiency is key when it comes to software customization. Your offshore partner must have a team of experienced and skilled developers with expertise in the technologies and platforms that are relevant. Knowledge of software like Quickbooks, Xero, bill.com, Netsuites, Zohobooks is an added advantage. Don’t forget to gain knowledge on whether they can provide industry-specific solutions that meet the regulatory and compliance requirements as per your sector. Confirming their understanding of tax laws, accounting principles and other industry-specific knowledge is an added advantage. A knowledgeable and experienced partnership can go a long way in providing an edge to your business.
- Communication & time zone: Communication is key for any successful partnership. This is especially true when you are connected to a play that is geographically miles away. When choosing an outsourced accounting services partner, you must choose one who is proficient in the English language and is willing to provide regular updates on the project’s progress. Also make sure you have a face that you talk to – meaning, a dedicated point of contact or account manager. Consider time zone differences; this will enable an overlap in the working hours for real-time collaboration and resolution of issues.
- Cost transparency: Integrity and transparency should be at the core of your partner’s values. Besides choosing a partner who can abide by your software requirements, it is important that they share their detailed cost breakdowns and help you understand all about their billing cycle. You should have a clear understanding of what you are paying for and any information on hidden charges. This transparency ensures there are no unwanted surprises and enables you to manage your budget effectively. Finsmart Accounting – a reliable outsourcing partner – shares all the details of their monthly and hourly seat upfront.
- Innovation & improvement: The accounting industry is constantly evolving. The offshore partner should stay updated with the latest trends and technology, besides making customized use of the accounting software. They should also make efforts to suggest improvements and innovations that are in sync with the standards and regulations. With this forward-thinking approach, you can help your firm remain competitive and compliant.
Choose the Right Accounting Software with Finsmart Accounting
At Finsmart Accounting, our team of experts is trained and certified in accounting software like Quickbooks Online and Desktop, Xero, Dext, bill.com, Netsuites, and more. To get customizations, it is important to understand your client’s needs in detail and tailor solutions that can be used to their advantage. We believe in using technology to our advantage and leveraging it to help clients save money and time, scale better and faster, and stay ahead of the competition.
Unlike most other offshore service providers, Finsmart Accounting uses a flexi-tech engagement model. In this model, we adapt to the needs of our clients and not the other way around. That’s why most of our clients are satisfied with our vendor onboarding process.
Have more questions about offshoring or adaptability to accounting software? Reach out to your team at connect@finsmartaccounting.com.
We recommend checking out these recent blogs and service pages as well:
Benefits of offshoring accounting and financing
Artificial intelligence in accounting
Tax software for small CPA firms
Risk management in accounting firms
Accounts payable and receivable services
Maanoj is Co-founder & Director of Growth at Finsmart Accounting. He is instrumental in developing “Accounting Seat” a revolutionary Accounting as a Service Model (AaaS) specially designed for Accounting and CPA firms. He is an Outsourcing Expert, a People Champion, and a Dynamic Leader with strong Business Strategy and Scaling-up experience. He has incubated businesses, sold & exited ventures; helped build strong enterprises in very diversified verticals like Fintech, HR & Consulting spaces in various CXO capacities over the last 20 years. Besides work, he also engages in a lot of social services and is a co-founder of Mission ICU a social initiative that won an award from the World Economic Forum for setting up critical care infrastructure in the remotest parts of the country. He follows a very active lifestyle been an avid Tennis player and a passionate Golfer.
