small business accounting

Why You Need to Outsource Accounting Services of Your Small Business?

Small businesses have distinct characteristics far removed from the world of large corporate trade and commerce and hence their needs too are specific and exclusive. This sector is not standardized, in fact, the parameters that define small businesses differ between countries. However, they revolve around a number of factors – quantum of investment in plant and machinery, the number of workers employed and the level of sales and turnover. Given these restrictions, it is imperative that small businesses follow set patterns to optimize their operational efficiencies.

An analysis of these factors throws up one important point. If, as a small business owner, you want to go to the next level, it is necessary that you take the help of external agencies to do so. You’ll not have the means, both in terms of manpower and financial strength to keep every minute part of functioning fully in-house.

Simply setting up sophisticated systems and the costs involved in it can leave you bankrupt with little margin to maneuver for business growth and development. Hence, all aspects that do not directly require decision making on your part or in-depth monitoring from you can be outsourced at much cheaper options while being assured of a very high benchmark of excellence in output.

One of the crucial sides of business that you can definitely spin-off is your bookkeeping tasks to a top of the line accounting services for small business. Not only will you bring in a great deal of professional expertise in your organization, you’ll also get this at affordable rates that will not lead to a crunch in working capital requirements or require you to divert funds from more pressing needs.

What then are the benefits that you will get by outsourcing small business accounting functions to specialized agencies

  • Time to Focus on Business on Hand – One of the perennial problems of small business owners is a shortage of time. This is because they have to oversee various dimensions of business due to lack of qualified and trained personnel which they can ill afford to hire. But once accounting functions are outsourced, a large chunk of your workload is reduced enabling you to focus on core competencies and business growth and development. You can take business decisions based on financial reports prepared by them that you know are not only precise and accurate but have been compiled by the best in this field. On top of everything, you do not have to monitor daily and routine accounting jobs.
  • Increasing Operational Efficiencies – Setting up a fully functional accounts department with state of the art hardware and advanced accounting software is not easy. Substantial investments are required that have to be diverted from more remunerative functions. It is necessary that small businesses maintain minimum infrastructure only that are paying in the long run. When you take the help of accounting services for small business, such outlay will not be required and you can channelize it for new product launches, competitive pricing and creating brand awareness. All these directly impact operational efficiencies by increasing sales and turnover, profitability and ROI.
  • Getting Dedicated And Qualified Accounting Services – Not all business owners are experts in accounting methodology and have to depend on highly paid professionals in-house to brief them on the state of the financials. But when you outsource bookkeeping functions you are getting the services of equally efficient accounting personnel. All outsourcing agencies have on their rolls, bookkeeping experts who can handle any task to your complete satisfaction. Your accounts will be processed by the most advanced software that will blend seamlessly with your existing systems. You will be kept informed round the clock through updated reports whenever required and dashboards that can be accessed anywhere on Internet-enabled devices such as tablets, smartphones, and laptop. Crucially, the processing will be precise and accurate and reports customized to meet your specific needs.
  • Preventing Fraudulent Transactions – Even large corporations are often laid low by fraudulent transactions, not to speak of the effects it can have on small businesses. When you outsource your accounting functions, all heads of accounts are regularly balanced so that any error is instantly noticed and brought to your notice for rectification. This is especially true for bank and credit card reconciliation that is compulsorily balanced every month. Reconciling between external accounts – bank statement – and your internal records – cash book – is a sure way to eliminate any error or sham entries. For small businesses, this is a big takeaway from outsourcing bookkeeping to agencies with the necessary expertise.

Given the positive impact that outsources accounting services for small business will have on your company, it is essential that you carry out in-depth due diligence process before deciding on the agency. Put a lot of emphasis on those that have a high level of data security measures incorporated in their systems.

If you need top of the line accounting for small business, opt for Cogneesol. Our trained and qualified accountants can deliver consistently and assured results and will customize reports to your specific needs. Your accounts will be processed on advanced hardware and software to ensure accuracy. For more information, contact us at info@cogneesol.com.

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Why Hire Cogneesol to Outsource Tax Preparation Services for CPA’s?

Tax preparation has become a difficult task for small and medium business establishments, tax firms and CPAs all over the world. During the busy tax season, time is the main constraint. Many CPAs, tax firms, and businesses are looking for outsourcing services to ease their pressure by allocating some of their less significant tasks to them. This will enable them to concentrate on more productive activities and enhance the revenue earning potential. Some CPA’s opt for outsourcing services for a better work-life balance.

Tax Preparation Services for CPA's

Cogneesol is among the best companies offering tax preparation for CPA services. The best points of their service are astute knowledge related to income tax preparation, dedication, and commitment to the cause. The services of Cogneesol are ideal for all types of businesses small or medium. By hiring the services of Cogneesol, you will have access to a partner who will help you in everything related to the taxation process. By hiring our services, you can pay complete attention towards more productive activities like building client relationships and marketing. The expert team of Cogneesol has great experience in conducting tasks like tax preparation for CPA and tax reporting. We use the latest software for performing the tasks in an efficient manner.

Advantages of hiring the services of Cogneesol –

  • Before commencing the tax preparation process, we carefully study the balance sheets and financial data to get a fair idea of the financial position of the client.
  • The profit and loss are interpreted in a prudent manner during the process. After conducting the thorough analysis, all the observations are discussed with the client.
  • The team is well equipped in performing its tasks. They remain updated with the latest taxation software and statutory laws of different nations by following the continuous learning process.
  • Your tax preparation costs will go down by about 50% by hiring our services and with the opportunity to concentrate on more significant tasks the profits will also go up.

Methodology followed Cogneesol for tax preparation for CPA 

The clients can send the data for the tax return process in three modes like remote access, secured server and e-mail based. After checking, it is feed into the suitable taxation software. After the processing step is complete, a thorough audit is completed by our team. The returns are sent back to the client along with our comments. The clients finalize the returns by reviewing them. The final copy is then delivered to us.

The following tax preparation for CPA outsourcing services are offered by Cogneesol:

Cogneesol offers its services, keeping in mind the unique requirements of clients and diverse procedures followed in nations like US, Canada, United Kingdom and Australia.

United States :

  • Individual: Form 1040, Form 1040A and Form 1040EZ
  • Partnership: Form No. 1065 and K-1
  • Corporation: Form 1120, Form 1120A and Form 1120s (for statutory corporations)

Canada :

  • Individual: Form T1 General
  • Business: Form T2, T4, T4A, T5, T5018
  • GST/HST Filings

United Kingdom :

  • Individual: SA100
  • Business: SA800
  • Corporation: CT600
  • Value Added Tax: VAT100

Australia :

  • GST calculations and returns

The following Tax preparation software is used by Cogneesol:

United States: Intuit’s Lacerte, Creative Solutions’ Ultra-Tax, Intuit’s QuickBooks accounting software, Intuit ProSeries, Turbo Tax, ATX and ProSystem fx ® Suite – CCH

Canada: Profile, UFile, Cantax, Taxnic, Taxprep, TurboTax, and Quicken

United Kingdom: Sage (UK) Ltd, CCH Software, IRIS Software Ltd, Thomson Reuters

Australia: Thomson Reuters, CCH ProSystem Tax, Handisoft, MYOB, Taxcat

We also offer the free trial option. You can call us at +1 646-688-2821 for further information.

7 Reasons Why Hiring Data Entry Back Office Services is Good for your Business

The modern business environment is all about optimizing business efficiencies that follow specific methods to increase productivity levels. Getting bogged down by focusing on tasks that really do not contribute directly to enhancing profitability and turnover and staying competitive in the market can act as a drag on achieving set goals and objectives. One of the primary ways to circumvent these impediments is to outsource specific tasks to data entry services. This action more often than not results in giving a big boost to operational efficiency.

Back office data entry services have highly qualified and trained staff and the most technologically advanced hardware and software to efficiently carry out data entry and other back-office functions. Because of a large number of clients in their portfolio, they are able to maximize operations to scale and can offer services at highly affordable rates without compromising on the level of output.

Data Entry Back Office Services

What then are the reasons for hiring proficient back office service providers –

  • Able to focus on core competencies – By having to monitor and track back-office functions that do not add to increase business efficiency, your focus is diverted from core competencies. Micromanagement of daily operations will tie you down, thereby curtailing the ability to make quick business decisions when needed. Back office services will take the load off your shoulders while assuring you top class output.
  • Savings in costs – There are specific back-office tasks that can be beyond the capability of your existing staff. To complete the work, you might have to recruit highly paid specialized manpower which in turn can dent your profitability. Outsource these tasks at vastly reduced expenses and be sure that the output will exactly match your requirements.
  • Reducing investments in infrastructure – Back office functions like data entry and bookkeeping requires setting up of cutting-edge hardware and software and recruiting experts to run them. Thus heavy investments have to be made in infrastructure development. But by simply outsourcing these functions, this is not required and this capital can be better utilized for growth through new product launches and creating brand awareness.
  • Maximizing operational efficiency – Some back-office functions require a greater degree of skill and expertise to execute than others. Some data entry areas may need higher degrees of safety and security layers. Hence you cannot have standardized solutions that match different back office needs. By outsourcing to back-office data entry services, you need not worry about this factor as any type of work will be proficiently executed and you will be able to manage your company more efficiently.
  • Optimizing staffing patterns – It is certainly not possible for you to hire and fire staff in tune with seasonal demands. At peak business times if you hire people, you will be saddled with them during days when business is low. This will eat into your profitability. Outsourcing data entry will take care of the highs and the lows simultaneously while you maintain stable staffing patterns around the year.
  • No effect due to employee turnover – The technical departments of back-office functions generally have high employee turnover rates in comparison to say, marketing and sales. When a well-trained employee leaves your organization, the vacancy can be hard to fill with one having matching skills. Your work will get disrupted and might delay vital projects on hand. Outsource back office services and you will have a steady input of reports and processed data at all times.
  • Availing professional expertise – It is always a possibility that you might clinch a large and complex project that requires the skill of highly trained professionals to execute. Data entry in these cases might be a complicated process, well beyond the capability of the infrastructure you already have in place. But data entry services have the best available talent on their rolls and you can safely outsource such tasks to them regardless of their degree of complexity.

Recommended PostHave You Heard? Outsourcing Data Entry Is Secret To Grow

Given these 7 benefits of outsourcing back-office functions, you’ll surely gain by doing so in terms of highly optimized business operations.  For further queries, Email us at info@cogneesol.com

How accounting outsourcing companies can help Medical or Healthcare Businesses?

Like any other industry, doctors and healthcare providers also maintain their accounts for keeping their financial records. Medical practices and healthcare companies have distinct requirements from other companies. They require keeping the patient data safe. In order to maintain the accounts properly, they have to hire in-house accounting staff. This can prove to be a costly practice as both manpower and infrastructure will be required. Healthcare accounting firms offering outsourcing services can be extremely helpful in this regard due to the following reasons:

outsource healthcare accounting services

  • Economical in terms of cost- By utilizing outsourced accounting services, you can avoid paying regular salary to an in-house accountant. By hiring outsourced services, you will only have to pay for the number of hours, the company has worked or the amount of work assigned. You will also be able to save the cost of furniture, payroll taxes, computers, insurance etc.

  • Helpful in better time management- By outsourcing the accounting work, medical and healthcare businesses can use their manpower for more significant work which is directly related to the revenue earning of the organization. Difficult processes like hiring, overseeing and retaining accounting staff will be eliminated. All these processes involve a lot of time and energy. In comparison dealing with the contractual obligations of an outsourced accounting firm would be much easier.

  • Enjoy access to specialized services- The healthcare accounting firms have proficient staff with years of experience in offering professional accounting services. They remain in touch with the constantly changing working environment. The latest accounting software like QuickBooks is also utilized by these companies for ensuring that the expected level of quality is ensured and delivered to the healthcare organization.

  • Helpful in filing tax returns- The accounting records prepared by healthcare accounting firms are accurate and up-to-date. So they will be extremely helpful while filing the tax returns. In developed countries, the commercial ventures are instructed by the government taxation agencies to properly maintain their accounting records for taxation purposes. Owners, who do not follow the guidelines, have to face legal penalties. So in this regard also the outsourced services are useful.

  • Variety of services available- Accounting and bookkeeping company for doctors, dentists, medical practitioners offer a variety of services such as accounting software selection and installation, periodical bookkeeping services, time tracking support, cash flow forecasting, payroll software selection, tax return preparation and planning etc.

Cogneesol is a leading healthcare accounting outsourcing company based in India. By hiring their services benefits like reduction of operational costs, profit optimization, better time management, and tax preparation management can be achieved. For further information, visit www.cogneesol.com

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5 Important Time Saving Accounting Tips for Small Businesses

Running a small business can prove to be lucrative, but requires a lot of hard work and time. As the small businesses have to face stiff competition from established companies, their owners have to spend most of their time on the business processes. The small business owners are unable to find time for vacations, social gatherings, and hobbies. But still, most of the small business owners seem to be satisfied with the occupation. Though most of the small business owners are looking for new ingenious ways to save their time! 

Accounting Tips for Small Businesses

Accounting is one of the processes which involve a lot of time and energy. Below mentioned are some important tips which can help in saving time on accounting functions:

  1. Regularly updating the records – Generally, owners are not specialized in accountancy. Mostly small scale companies don’t use the services of in-house accountants. For cost-cutting, the owners of startups generally perform the accounting functions on their own. Updating the books on a daily basis is an option which can be used for saving time. Suppose if you update the account books after a month’s gap, then you will have to go through a lot of previous information like previous bills or invoices. Locating the previous bills and then updating them could prove to be a time-consuming process. Mistakes could also be committed in this process whereas maintaining regular records will eliminate mistakes and will also help in the taxation process.
  2. Utilize the latest software for invoicing – By using the latest accounting software like QuickBooks, a proper record of the invoices can be easily maintained. This software automatically produces invoices which can be printed or emailed. Accounting reports can be easily created using this software and data entry functions are eliminated. This app also offers the unique function of sending reminders for unpaid invoices etc. So invoices can be managed in a prompt and effective manner by using QuickBooks.
  3. Make the reporting of expenses automatic – Performing the data entry of expenses can also prove to be a time-consuming process. It could take 30-40 hours per year to complete this process. By using QuickBooks Online, these tasks can be completed easily. Various options for tracking down reports, coding receipts, writing checks, snapping pictures of receipts are offered by this advanced accounting software.
  4. Prompt entry of transaction dataQuickBooks online offers the option of Square merchant services device for connecting transaction data into accounts on a daily basis automatically. There is no need to spend hours working on the keyboard. This feature can help in saving a lot of time.
  5. Revisit your credit policy – Maintaining information related to credits and due invoices can prove to be a difficult process. New credit policy can be formulated by taking the advice of bookkeepers and accountants. You can utilize the services of credit collection agencies for dealing with offenders.

Over the last six years, Cogneesol has created a niche for itself as far as offering accounting back-office services to international and domestic clients is concerned. They specialize in offering accounting services for small businesses. For more information, please contact info@cogneesol.com.