Outsourcing your startup’s financial needs to a professional team will save you time and money and allow you to focus on growing your business. Services that benefit emerging technology startups the most include outsourced accounting, tax planning, compliance services, budgeting and forecasting, and CFO-as-a-Service (CFOaaS).
By outsourcing your accounting needs, you’ll have access to a team of experts who have the knowledge and experience to ensure your financial information is accurate and timely. Knowing that the dreaded “surprise” financial adjustment is very unlikely will give you peace of mind. Outsourced accounting teams tend to be on the leading edge of accounting technology and implement the best tools. These tools help automate repetitive tasks, make it easier to access and analyze your financial information, and reduce time waste.
Good financial management in a startup environment means monitoring your cash burn rate and working with a well-constructed budget and regular forecasts. Most outside advisors have access to the tools and experience required to create and maintain a dynamic financial model that not only shows your traction to date, but also the direction your business is heading. Maintaining a dynamic model will give you the confidence to make decisions quickly, and give your Board confidence that you have a good grip on the finances.
By utilizing CFOaaS, you gain access to a seasoned financial professional who has firsthand experience and knowledge to provide you with strategic guidance and help you make the best business decisions. This will speed up your ability to grow and prevent time wasted unraveling sticky situations. As a startup CEO, it’s also important to have a good advisory team to consult with for strategic or significant decisions even if they are not entirely financial in nature.
These types of outsourced resources are generally more cost-effective than hiring full-time employees. Typical plans are flexible and allow you to pay for the services you need when you need them, with the ability to scale with your startup. This will save you money in the long run, as you won’t have to worry about paying for employee benefits and other overhead costs.
When it comes to the latest accounting software and technology, outsourced accounting teams tend to be on the leading edge and implement the best tools. These tools help automate repetitive tasks, make it easier to access and analyze your financial information, and reduce waste.
By utilizing outsourced accounting services in your emerging technology startup, you can move faster, make better decisions, and focus on what you do best.