Accounting plays a major role in maintaining financial integrity by keeping the record properly and legally. However, managing bookkeeping in-house is not easy; it requires time, money, and effort. Further, when it comes to acquiring talented employees or investing in accounting programs, organizational expenses are introduced, which may offset the capital that would otherwise be devoted to core business endeavors.
More and more enterprises are looking forward to outsourcing bookkeeping in India to overcome these hurdles. Outsourcing has become popular due to significant cost savings, easy access to a great talent resource pool, and excellent existing technological platforms in India.
Outsourcing can help organizations cut operational costs and increase productivity and production efficiency while adhering to IASB standards. A variety of expertise is provided by Indian service providers, especially in the global format of financial regulations, including GAAP and IFRS, which leads to confidence in the accuracy of the business’s economic data.
In addition, due to the increased competitiveness of India’s outsourcing market, many corporations seeking to improve their financial workflows have shifted their attention to the country. The advantages reach far beyond the reality of lower costs – they are the advantages of speed, better instruments, and time to mind the business strategy.
As we progress through this blog, we shall discuss in detail the most vital advantages of outsourcing bookkeeping to India. We will answer some critical questions to guide your decision-making process towards this revolutionary business solution.
What Are the Top 5 Benefits of Outsourcing Bookkeeping in India?
1. Cost Efficiency
It is making a lot of impact when you outsource bookkeeping services to India as it is cheaper. The Indian service providers can provide services of comparable quality at a much lower price than most countries in the developed Western world. This method is cost-effective; businesses can cut costs by 60% on their bookkeeping bills, making it suitable for small businesspersons, startups, and big cumbersome business establishments.
2. Access to Skilled Professionals
It is found that there is ample human capital in India who have good skills in handling accounts and are well acquainted with international standards such as GAAP & IFRS. When business entities hire outsourcing companies in India to manage their bookkeeping, they deal with professionals who know the compliance requirements and the existing best practices of bookkeeping to maximize the percentage of accuracy of bookkeeping.
3. Advanced Technology and Tools
Bookkeeping services in India are modernized and utilize modern technology such as cloud-based accounting and advanced artificial intelligence. Since an external team completes the tasks, you can enjoy such technological developments without purchasing the necessary software for your internet employees.
4. Time Zone Advantage
That means India has its time zones, which can be utilized as a strength in activities that relate to businesses within the U.S. and Europe and in other regions. Frequently, tasks can be accomplished at night, thus increasing productivity and minimizing business disruptions.
5. Focus on Core Business Activities
One benefit of outsourcing bookkeeping activities is that organizations can offload other tasks like strategy, sales, and customer relations instead of handling large amounts of data.
How Much Does Outsourcing Bookkeeping Cost in India?
The cost of outsourcing bookkeeping services to India varies depending on the complexity of services and the provider’s expertise. On average:
- Small Businesses: $150–$500 per month
- Medium Enterprises: $500–$2,000 per month
- Custom Packages: Tailored to specific needs, including payroll, tax preparation, and financial analysis.
Compared to hiring an in-house bookkeeper in countries like the U.S., where salaries range from $40,000–$60,000 annually, outsourcing to India provides significant cost savings.
How do you get accounting outsourcing work in India?
If you’re considering accounting services in India, here’s a step-by-step guide:
- Search and Find Reliable Suppliers
Search for a bookkeeping service provider in India with a positive track record, favorable client testimonials, and is accredited.
- Evaluate Service Offerings
Select a provider that meets your business requirements, especially in the areas of payroll processing, taxation, or accounting.
- Request a Proposal
Most of the providers in India provide initial consultations or submission of estimates containing services, costs, and duration.
- Assess Data Security Measures
Ensure the provider complies with the world’s data protection laws, such as GDPR or HIPAA.
- Begin with a Trial Period
It is advisable to start with a trial project to ensure the chosen provider’s effectiveness and efficiency in the long run.
How Can You Outsource Your Work to India?
Outsourcing your bookkeeping services in India involves the following steps:
- Define Your Requirements
Identify the work that you would prefer to delegate. These may include accounts receivables, accounts payable, or balance sheets.
- Choose the Right Partner
Research the internet and choose a company that can provide bookkeeping services in India. Upwork, Clutch, and LinkedIn are examples of available providers’ sources.
- Define Communication Lines
One should consider maintaining regular virtual communication with the outsourcing partner through the help of various platforms like Zoom, Slack, and Microsoft Teams, among others.
- Secure Data Sharing
Maintain proper secure means of passing sensitive financial information, such as using encrypted e-mail or secure website links.
- Monitor Progress
Please review these deliverables serially and give your feedback since this is what I expect for this project.
Is Outsourcing Illegal in India?
Outsourcing is 100% legal in India, and India has strong employment laws that protect data, making outsourcing a very secure proposition for multinational corporations. Businesses outsourcing bookkeeping in India and businesses offering bookkeeping services in India work under legal norms, following other global safety standards such as GDPR and other data safety policies. It is, thus, possible to handle any form of information with a lot of precaution, which is essential in countries where financial and market integrity is a cardinal virtue.
The basis for India to be preferred as a global outsourcing destination includes a talent pool of accountants and other financial personnel skilled in IGAAP and IFRS to support the country’s excellence in this field. This situation makes Indian providers more desirable to businesses that require accurate and precise bookkeeping services. Similarly, most firms in India boast of well-developed technology systems to support accounting services and technology, such as the most current accounting software.
Government policies, as another advantage, have gone further in promoting India as an outsourcing location. Programs encouraging foreign investors and IT enabling have established the country as an ideal outsourcing partner. Complementing the cost advantage and quality consciousness, the Indian industry leads the outsourcing segment. Indeed, outsourcing to India remains a safe and lawful opportunity for any company if there is a need to rationalize the financial flows or cut expenses.
Why CPA Firms Are Outsourcing to India?
CPA firms around the globe are increasingly outsourcing to India, and here’s why:
- Cost Efficiency
By outsourcing accounting services to India, CPA firms have been able to cut operating expenses while still producing high-quality results.
- Access to Expertise
Indian bookkeepers clearly understand US tax policies for businesses, financial reporting practices, and procedures that a CPA firm has.
- Scalability
Outsourcing is also helpful for managing work during intensified periods without expanding the staff list.
- Time-Saving
By outsourcing such insignificant chores as record keeping and finances to the Indian teams, CPA firms can provide more valuable advisories and strategic services to them along with their clients.
Can You Outsource Bookkeeping Services?
Yes, you can! Arranging bookkeeping services requires little effort and is cost-effective, which has added advantages for firms, thus making outsourcing accessible to all firms. Outsourcing bookkeeping in India will help you cut back on your expenses while enjoying the services of these skilled personnel. Thus, India has grown rapidly as the leading outsourcing country because of professional people, the best technology, and cheap solutions.
For a small company, outsourcing your bookkeeping means leaving most of your time-intensive and technical work to the professionals while you attend to what is central to your business. India is equipped with appropriate services in bookkeeping to correspond to the international standards of operations and always preserves your records to stay compliant with GAAP and IFRS.
Moreover, outsourcing to an Indian bookkeeper saves you money and offers the technological advantages of the most progressive software, which you “will not have to purchase outright at high costs.
Outsourcing is versatile as it enables companies to have relational financial services depending on the company’s needs: accounts receivables, payroll, taxes, and balance sheets. You can undoubtedly achieve improved business flows and fewer headaches related to bookkeeping if you address the Indian experts managing your books while staying fully compliant and precise.
Key Points to Consider:
- Data Security: Also, ensure the provider has sound data protection practices.
- Clear Communication: Interface standards should be developed to be followed for frequency and presentation.
- Tailored Services: Go for companies with flexible, structured plans to address your health requirements.
Conclusion
Outsourcing bookkeeping in India has become one of the most popular expectations for businesses worldwide. That is why India remains the most piece outsourced country due to the following reasons: cost-effectiveness, quality workforce, technology, and timing zones. Further, the legal factors and data protection measures ensure that businesses can outsource bookkeeping and accounting-related services from Indian providers.
Are you considering avoiding mechanical financial business processes; then look no further, as VJM Global offers professional, affordable bookkeeping services in India for your business. We are happy to announce that our services are available for you today! Feel free to contact us – and get valuable assistance in attaining clear financial visions and adequate organizational arrangements.
