Why outsource accounting to the Philippines?
Here are the reasons why accounting outsourcing in the Philippines is a good idea:
- Cost-effectiveness: Outsourcing accounting functions in the Philippines can result in significant cost savings, with associated labor expenses possibly reduced by up to 70%. This substantial reduction is primarily due to the lower cost of living and labor rates in the Philippines compared to many Western countries.
- Expertise access: Outsourcing partners based in the Philippines offer specific expertise and comprehensive support to help you optimize your outsourcing strategy.
- Operational flexibility: Outsourcing to a different time zone allows you to extend your company hours, provide round-the-clock service, and enhance your business model’s responsiveness and dynamic nature.
- Growth opportunities: Reallocating resources saved from accounting outsourcing in the Philippines can propel business development while the support from offshore staff broadens your company’s operational capacity.
- Job satisfaction enhancement: By delegating specialized tasks to offshore teams, your local workforce can focus more on their core responsibilities, boosting morale and long-term satisfaction.
What services are offered by outsourced accounting services in the Philippines?
The Philippines has established itself as a leader in outsourced accounting, offering specialized services to meet financial management needs in global enterprises. These services are designed to navigate the complexities of financial management so businesses can handle their financial obligations. Below are the nine services that are offered by outsourced accounting services in the Philippines:
1. Tax accounting
Tax obligations can be intricate and vary significantly across jurisdictions. Accounting outsourcing in the Philippines is adept at navigating these complexities, offering services that include processing tax returns and ensuring adherence to the tax procedures and laws pertinent to the client’s country. This service is invaluable for businesses that maintain compliance while optimizing their tax positions.
2. Statutory compliance and reporting
Accountants in the Philippines ensure that businesses keep up with the ever-evolving financial regulations by organizing and submitting their required documents to appropriate authorities, safeguarding against possible legal complications.
3. Payroll processing
Payroll management is time-consuming, yet outsourced services streamline this essential function. By handling repetitive payroll tasks, these firms allow businesses to reallocate valuable time towards strategic growth initiatives, enhancing overall efficiency.
4. Management accounting
Management accounting services offered by BPO companies in the Philippines extend beyond simple bookkeeping. Accountants in the Philippines prepare detailed financial reports and leverage operational metrics and KPIs to furnish insights that guide better decision-making processes.
5. Accounting audits
Regular auditing is fundamental to validate the accuracy of financial reports. Accountants meticulously examine financial documents to detect inconsistencies, ensuring businesses adhere strictly to accounting standards and avert fraudulent activities.
6. Forensic accounting
Outsourced forensic accounting services are essential for addressing financial anomalies. These services dig into financial records, identifying and resolving discrepancies that could indicate serious legal concerns, such as fraud or embezzlement.
7. Financial controller services
Accounting outsourcing in the Philippines offers financial controller services to businesses seeking oversight of their accounting operations. These entail managing and ensuring the accuracy of a company’s financial information, alongside providing strategic financial advice to foster better cash flow management and financial planning.
8. Bookkeeping
Accurate outsourced bookkeeping is the cornerstone of solid financial management. Outsourced bookkeeping accurately documents all financial transactions, ensuring records are current and reflect the business’s fiscal health, thus supporting informed decision-making and strategic investments.
9. Financial analysis
Leveraging the power of financial analysis, accounting outsourcing in the Philippines simplifies accounting records to assess contracts, evaluate product costs, and forecast profitability. This comprehensive review aids businesses in refining their financial strategies to better position themselves in the marketplace.
How to pick the right company for accounting outsourcing in the Philippines?
Selecting the perfect accounting outsourcing partner in the Philippines requires diligence and awareness of your business needs. Here are five steps on how to pick the right company for accounting outsourcing in the Philippines:
Step 1: Know your options
Investigate potential accounting firms, evaluating their portfolio, industry experience, and capability to navigate financial disruptions and innovate.
Step 2: Learn their integrations
Choose a firm that integrates advanced accounting software and offers automated bookkeeping, ensuring familiarity with cloud-based tools such as Xero, QuickBooks, and FreshBooks for optimal productivity.
Step 3: Guarantee compliance
Confirm that the firm stays current with regulatory changes, understands your tax obligations, and demonstrates flexibility in updating systems for compliance assurance.
Step 4: Assess client satisfaction
Review client testimonials to ascertain satisfaction levels and seek indications of enduring partnerships that speak to the outsourcing firm’s industry reputation.
Step 5: Evaluate cost-effectiveness
Compare financial packages from various companies offering accounting outsourcing in the Philippines to find competitive rates that promise quality services. Analyze their potential to deliver cost savings and a solid return on investment for your business.
How Own Property Abroad can help
Are you ready to enhance business efficiency and ensure compliance through professional accounting outsourcing? Explore the strategic advantages of partnering with Own Property Abroad in the Philippines. Our highly educated, English-speaking professionals are dedicated to providing you with the best in financial management, from tax compliance to forensic accounting.
With Own Property Abroad, navigating the complexities of international accounting standards becomes seamless. For more information on our comprehensive accounting solutions, please provide your details below or contact us at [email protected].
Frequently Asked Questions (FAQs)
What are the top accounting firms in the Philippines?
The top accounting firms in the Philippines include SGV & Co., P&A Grant Thornton, Reyes Tacandong & Co., Punongbayan & Araullo (P&A), R.G. Manabat & Co., Isla Lipana & Co., Navarro Amper & CO., Guerrero & Associates, R.S. Bernaldo & Associates, and C.L. Manabat & Co.
What are the biggest accounting firms in the Philippines?
The biggest accounting firms in the Philippines are SGV & Co. (EY), P&A Grant Thornton, R.G. Manabat & Co. (KPMG), Isla Lipana & Co. (PwC), and Navarro Amper & Co. (Deloitte).
What is the process of outsourcing accounting?
The process of accounting outsourcing can be completed in 5 steps: identifying your key drivers for outsourcing, selecting the right outsourcing partner for your firm, choosing the right model, engaging your local team in your strategy, and preparing your outsourcing implementation plan.
Is outsourcing legal in the Philippines?
Outsourcing is legal in the Philippines, and the country actively promotes and protects the industry through supportive legislative measures.
What is an example of outsourcing in the Philippines?
An example of outsourcing in the Philippines includes services such as contact centers, IT services, data entry, technical support, accounting, and marketing.
