Accounting is considered a non-core operation that needs to be run in a systematic way for the proper functioning of a business. You will also have good control over your investments and cash flow if the company accounts are maintained properly.
An accurate accounting procedure can help in knowing the financial condition of your U.S. company so that you can make adjustments in your futuristic plans. An in-house team of accountants can give good results but it is an expensive affair for businesses of every size, as it can drain your resources. The best option is to outsource accounting to India by finding a dedicated outsource accounting service provider in India.
But, why India? Accounting outsourcing companies from India offer many valuable benefits to startup businesses in the United States. Outsourcing to a reputed Indian accounting outsourcing firm can leave you with ample time to focus on your core business activities.
Startup Businesses in the US
Startup Companies often find it difficult to manage all aspects of business including financial management. Smooth financial handling can help such startups grow strong and deal with the competitive market. As startups, some companies are prone to make mistakes that could dampen their growth prospects.
Such startups are attracted towards India for their outsourcing needs as the country provides relatively cheap labor and competitive services. As a US startup, if you are not very sure about dealing with complex financial accounting services, it is advisable to find a trusted accounting outsourcing service in India to guide and assist you in your financial journey and deal with the initial business challenges related to accounting.
Let us elaborate on the top highlighting features that help US startups reap the benefits when they give accounting outsourcing services to India:
- Cost-Effective – The most attractive factor for a US startup considering outsource accounting in India is the significant cost savings. The cost of labor in India is lower as compared to America. The substantial difference in employee pay packets is a motivating factor for US startups to look for skilled accounting professionals or a resourceful accounting team from India at a fraction of the price it would cost in the domestic market. This savings is not just about salaries, even operational costs incurred for setting up the infrastructure and technological systems are way cheaper in India, thus presenting an enticing cost package for any US startup company.
- Workforce with Top Skills – India is gifted with a large pool of talented and highly knowledgeable professionals with the best educational training. The country is known to produce many CA toppers and best-ranked finance graduates every year. These top-skilled professionals are well-versed in foreign accounting regulations and standards such as GAAP – Generally Accepted Accounting Principles and IFRS – International Financial Reporting Standards. Armed with international accounting certificates, these Indian professionals can handle all kinds of regular accounting tasks as well as deal with complex financial projects, audits, and tax-related compliances.
- Time Zone Trump Card – The time zone gap between the USA and India is roughly around 9.5 to 13 hours, which surprisingly is seen as a good advantage. When the US businessmen sleep, the Indian professionals are busy at work on accounting tasks, thus ensuring that all important accounting work is duly completed before the day time begins for US businessmen and company heads. This clockwise service aids in a quicker turnaround period and can support startup financial projects to run smoothly minus any downtime.
- Technology & Infrastructure – India has made remarkable headway in the technological segment along with robust infrastructural development. These advancements can be visible in the BPO and the IT sectors. Reliable accounting companies in India offer brilliant financial strategies including world-class technology, automated accounting software systems, and cloud-based tools. This high-power technological supremacy ensures that American startups receive the most superior accounting services with seamless procedures to blend with their existing accounting systems and real-time access to critical data.
Indian Accounting Outsourcing Firms are in tune with Global Standards.
Indian accounting and financial service providers are quite proficient in handling all the complicated compliance needs of foreign businesses including state and federal laws, accounting reporting standards, and filing of documents for regulatory compliance. Outsourced accounting service providers from India help US-based startups stay compliant with all essential regulations in check to avoid any kind of penal charges.
Outsourcing accounting work to well-established Indian companies such as VJM & Associates LLP, a leading chartered accounting firm can give flexible and safe accounting solutions. A startup, in its initial stages or showcasing exceptional growth, the reputable firm offers an exhaustive range of chartered accountant services tailored according to the needs of US-based startup businesses. There is no need to invest in setting up expensive in-house resources or employ additional chartered accountants to oversee the financial operations.
FAQs
What are the security measures adopted by Indian accounting firms?
U.S. businesses are often concerned about their data security, especially when outsourcing to distant countries like India. Prestigious accounting firms including VJM & Associates LLP are aware of this fact and implemented vigorous security measures to safeguard sensitive financial data and info. Complying with global data protection laws like the implementation of GDPR and authentic certifications including ISO 27001 also works best to maintain high safety standards.
How effective is the communication between US-based foreign businesses and Indian accounting service providers?
Adapting to the Western ways, India is culturally compatible and the workforce is naturally gifted with high English proficiency, which helps immensely in communicating between the US startup company and the third-party accounting service provider. This cultural bonding minimizes misunderstandings and ensures all parties involved that business projects and operations are conducted as planned without any glitches.
Explain some of the government policies for outsourcing sectors.
The Indian government has been very supportive and actively promoting the outsourcing accounting sectors and financial sectors by offering suitable policies and lucrative initiatives. From tax incentives to ease regulations, the government has provided a favorable environment for the progress of outsourcing accounting services in India. This also ensures that accounting firms offer competitive packages and attract a lot of US startups.
