Why Accountancy Firms Need to Know About Their Outsourcing Finance Department’s Technological Capabilities

The last two years of the 2010s saw a massive upturn in the use of technology in the UK’s accounting industry. All accountants and bookkeepers across the country are now professionally obligated to transition to digital accounting tools. Going paperless and total cloud adoption are two major goals that every accountancy firm wants to achieve by 2030.

Helping them in this pursuit for technological proficiency are outsourcing specialists. The best offshore accountancy experts have stepped up their rate of technological adoption. Since these offshore teams constantly receive large amounts of information from their accounting partners in the UK over the internet, establishing strict data security protocols and policies is the main target. These leading accounting outsourcing firms are showing their commitment to data security by –

• Installing the best Hardware Firewall systems to protect their local networks.

• All staff-members have restricted access to internet access and are asked to practice strong password practices on all of their devices.

• Offshore accounting teams conduct routine data backup procedures to ensure their clients’ data isn’t lost or mistakenly deleted. After completing certain projects or tasks, these offshore accounting experts ensure their clients’ data is either safely stored for future references or permanently deleted.

• Most importantly, the leading offshore accounting teams now work on cloud-based systems. They have private cloud services to ensure safe and fast uploading/downloading of confidential information. All cloud-related activities are hosted on safe cloud servers. QuickBooks Hosting Solutions used by CPAs on Cloud based Windows Desktop.

In addition to these data security protocols, the industry’s best offshore accounting teams also invest heavily in super-fast internet connections to ensure their clients’ work is never delayed due to connectivity issues.

Importance of Technological Advancements in the UK’s Accounting Industry

Total adoption of technological tools like accounting software tools or cloud accounting systems is inevitable for the UK’s accounting industry. Very soon, these advanced accounting tools will become staple components of the industry. Some accountancy firms in the UK adopted computer technology earlier than others in the early 90s. Understandably, the early adopters benefited a lot. Similarly, accountancy firms in the UK that have already partnered with technologically advanced offshore accounting firms will benefit a lot over the next decade.

The positives of tech-driven accounting are too many to avoid. A recent study discovered that accounting firms that use cloud accounting experienced 15% additional revenue growth. The same study reported that accounting firms with cloud accounting capacities were able to attract five times more clients in comparison with firms with zero cloud capacities.

Importance of Partnering with Technologically Advanced Offshore Accounting Teams

Faster Rate of Completing Routine Responsibilities

For starters, it’s easier to partner with offshore accounting experts who are proficient in using advanced accounting software tools like SAGE, IRIS, QuickBooks etc. They can maintain time-consistency, even when dealing with a lot of work. When your offshore accounting department is proficient in using advanced software tools –

• Data entry processes become faster.

• Offshore accountants are able to create more comprehensive financial reports as they have all the tools needed to create error-free reports.

• Manual errors are minimized, thanks to the automation of certain processes.

Offshore experts that use advanced accounting software tools like SAGE are able to charge less for their services. That’s because they don’t need to hire subordinates to facilitate manual accounting.

Cloud Adoption – Why It’s Important for Your Offshore Partners to Be Cloud-Friendly

Another detail accountancy firms in the UK must know about outsourcing finance department is their ability to work on cloud-based systems. Access to high-quality cloud accounting software can help accounting practices grow by ten times. By embracing the cloud, small-scale accountancy firms in the UK can manage multiple clients’ accounts simultaneously without making errors. Plus, cloud systems are safe and secure. So, partnering with an offshore accounting firm that’s on the same level in terms of cloud capacities makes the partnership even stronger.

• Cloud systems offer time-effective solutions to accounting professionals who are burdened with loads of work. Since sharing or collaborating on these systems is so easy, both in-house and offshore teams are able to perform better.

• Cloud-systems with top-notch security features ensure that accounting firms don’t need to spend too much time backing up data.

• There’s zero need for paperwork. The last thing small-scale accountancy firms need is more paperwork!

The overall supervision of financial tasks and firm objectives is much easier when both in-house and offshore accounting experts work on a cloud system. In a recent survey, 90% of the world’s leading accountants said cloud accounting capacities will differentiate accounting firms in the near future. Simply put – with these systems, there’s better communication between offshore and in-house teams, so it’s easier to build long-term professional relationships.

Collaborating to Innovate: The Next Phase

Offshore accounting firms that are technologically advanced can not only compliment the technological capabilities of their UK partners, but they can also help small-scale accounting firms become more technologically proficient. So, what if a small-scale accounting firm can’t invest in advanced software and systems? As long as their offshore accounting teams have advanced technological capacities, they’ll do just fine!