Reduce Costs for Accounts Receivable using Outsourcing

What is termed by Accounts Receivable?

Accounts receivable are payment claims to the business for the goods and services delivered to the customers on credits. These are in the form of invoices that are delivered within a specified time frame to the customers in either print form or electronic form as email. Account receivables are considered as assets in the balance sheet. Accounts receivable is critical to a company. Since bankruptcies are increasing day by day, it is essential to collect accounts receivable.

Outsourcing Accounts Receivable is a Better Option

Outsourcing accounts receivable is a good alternative for managing accounts receivable. Organizations can outsource accounts receivable to companies or agencies that deploy experienced professionals to meet the needs of the customers. They use high quality software and technology to provide accurate and fast customer services. This is a cost effective and efficient method as compared to the accounts receivable activities that are handled by the internal team of the company. They provide effective billing services for the customers of the business. Some of the components included in the billing services are:

  • Electronic Bill Preparation
  • Electronic Payment
  • Customer Support
  • Print and Mail Support

Benefits of Outsourcing Accounts Receivable

There are a number of benefits for the businesses. Some of the benefits of outsourcing accounts receivable are:

  • Improved Customer Service
  • Reduced Cost
  • Increased Business Revenues
  • Increased Return on Investment
  • Improved Cash Flow
  • Customer Retention
  • Increased Profitability
  • Reduced Risk

What is the Need of Outsourcing Accounts Receivable?

A dedicated accounts receivable outsourcing expertise can be hired. They provide high quality customer service and efficient business performance. They provide both inbound and outbound services to manage account receivables. They provide receivable management solutions as well. They use effective resources to manage accounts receivable. Companies can monitor and review the processes completed by the outsourced team.

After ordering to outsource accounts related work to the companies and agencies, it is required to be followed up to ensure the work is going on its full potential. If the companies update the outsourced team about the latest information, it becomes easy to schedule the tasks within the specified time frame to give better results on a regular basis.

What are the Advantages of accounts receivable outsourcing?

On deploying resources from outside, internal resources of the company can be utilized in the core functionality of the business. This leads to better performance and increased business revenue. This would enhance the business growth as well.

Outsource accounts as it can help in the improvement of balance sheet presentation and reduction of indebtedness. Other than this, it can ensure accounts receivable reminders to the professionals. Outsourcing provides customized solutions for accounts receivable. This helps the companies saving a lot of time and money.

Accounts receivable outsourcing is an economical solution for businesses. The time required to mail the bills to the customers and following up through telephone would be time consuming and tedious. Outsourcing is a cost effective method of dealing with accounts receivable that leads to business growth. Rather than deploying the in-house team for billing related tasks, an experienced outsourced team can lessen the burden by performing all the tasks at comparatively low prices.
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Simplify Tax Processes using Outsourcing Tax

Importance of Outsourcing Tax

Processing of taxes and returns is complex in nature and hence requires expertise to effectively handle it. Outsourcing tax helps in overcoming the challenges and difficulties faced during the processing period. There are a number of companies that provide tax outsourcing services to accounting professionals. Before outsourcing of taxes and returns, a written consent of disclosure from the accounting professionals is taken by the outsourced team.

Why Companies Go for Tax Outsourcing?

A number of companies find tax outsourcing as one of the preferred methods to process taxes. Outsourcing companies provide the preparation of both domestic and international tax return. There are a number of benefits of outsourcing tax:

  • Improved Customer Service
  • High Quality Ensured
  • Expertise Involved
  • Accuracy and Efficiency Ensured
  • Timely Delivery of Tasks

What Tax related Services are outsourced?

Outsourcing tax returns helps in providing solutions to all types of problems related to taxes. It includes solutions of simple to complex problems viz. processing children’s returns, K-1 forms, brokerage statements etc. Other than outsourcing taxes, the companies also outsource other tasks related to accounting.

The technical outsourcing team is well trained of software applications required to process taxes and the information about how to handle overseas tax returns. The tax related files can be easily transferred and communication between the company and the outsourcing team can be easily done via email.

What is included in Sales Tax Outsourcing Services?

Sales Tax Outsourcing Services including tax Preparation and processing outsourced to companies or professionals may include the following services:

  • Taxes for individuals
  • Taxes for Partnerships
  • Taxes for Companies & Corporations
  • Sales Tax Liability Services
  • Balance Sheets
  • Interpretation of P/L terms
  • Tangible and Intangible taxes

How Sales Tax Outsourcing is done?

The process of sales tax outsourcing or tax outsourcing starts from sending the scanned documents and all the data files related to taxes in specified formats to the outsourcing team. Once the documents are received, the technical team updates the tax software applications with the related information according to the sent documents. Afterwards, the team audits the tax related information available in the software application and verification of the information is done.

The updated returns are then transmitted to the company via FTP for reviewing in the form of questions, answers and comments. After the information is reviewed and finalized, it is updated on the software applications by the technical team and sent to the company in scanned form.

What are the Benefits of Tax Outsourcing?

The best thing about tax outsourcing is that timely delivery of taxes is ensured along with accuracy. The outsourcing services can be reliable, secured and have high performance. Outsourcing services are helpful for both individuals as well as businesses. It has been found that outsourcing tax services are 60 percent less costly than the usual tax services.

This reduced cost for tax processing can help in increasing the profits. The technical expertise used for outsourcing uses high performance software applications, high technology and efficient system of processing taxes.