Freelance Bookkeepers in Toronto vs. a Bookkeeping Service
It is not always easy for small or medium-sized businesses to outsource bookkeeping from an accounting firm. Besides, hiring freelance bookkeepers in Toronto or bookkeeping services is an additional cost for a business to bear. Contrarily, hiring a full-time bookkeeper is more expensive for a small business, in particular. A company needs to spend more if it hires a full-time bookkeeper while bearing additional expenses on training, employee benefits, etc. Thus, choosing the right bookkeeping solution is challenging for SMBs. So: Who should a company hire for bookkeeping, freelance bookkeepers, or a bookkeeping service? Let’s find out:
Freelance Bookkeepers. Do Businesses Need Them?
We shall have a look at certain factors to find out if a business should hire freelance bookkeepers for bookkeeping. Here are the factors that can aid businesses in determining whether they should hire freelance bookkeepers or not:
Service Cost:
Most freelance bookkeepers offer bookkeeping services at a fixed or low-hourly rate. They have a good reason to offer their services at low prices, that is they don’t bear heavy overhead. More often than not, freelance bookkeepers provide their services from home and rarely from a business office. Hence, freelance bookkeepers can manage bookkeeping at a reduced monthly cost for a business.
Open to Travel:
Many freelance bookkeepers have no issue in travelling to work from a client’s office. It’s beneficial for a business in the sense it lets them better understand a business. Freelance bookkeepers who accept to work from a business office are easily accessible to answer any questions. Besides, it allows them to better manage day-to-day bookkeeping. However, freelance bookkeepers who work from the client’s office cost more. A business needs to provide freelance bookkeepers with extra office space, a computer, furniture, etc.
Schedules and Deadlines:
Well-recognized freelance bookkeepers can schedule their time to ensure they meet deadlines for their clients. They ensure that the books of their clients remain up to date. Nevertheless, freelance bookkeepers can take vacations; mainly when they get sick, which can periodically hold the books of clients. Therefore, small to medium-sized businesses should seek an answer to the following question while choosing a bookkeeping solution.:
Whether they need up-to-date bookkeeping information weekly, bi-weekly, or monthly?
Bookkeeping Experience:
Business owners are legally accountable for the accuracy of their books. Thus, they must choose freelance bookkeepers in Toronto with the right knowledge and expertise to produce accurate financial reports. A wide range of freelance bookkeepers offer bookkeeping services; however, they don’t share the same experience and bookkeeping expertise. Hence, business owners should enquire about their relevant bookkeeping experience and bookkeeping knowledge before hiring one for a business.
Freelance Bookkeepers. Do Businesses Need Them?
Now, we shall have a look at certain factors to find out if a business should hire a bookkeeping service:
Service Cost:
Hiring bookkeeping services from a professional accounting firm can cost more to a business. Some reasons for it are higher overhead that a firm bears, guarantee that it provides for its services, etc. Nevertheless, hiring bookkeeping services from a professional accounting firm gives businesses access to a large team. Conversely, freelance bookkeepers don’t offer such an advantage to a company.
The Possibility of Remote Work:
Many bookkeeping services can remotely work from their office with clients. Accounting applications, such as QuickBooks Online and Xero, allow them to manage work for clients from their office. Besides, clients can easily access their financial information anytime/anywhere because of this remote assistance. Thus, bookkeeping services have more resources to manage bookkeeping for businesses as compared to freelance bookkeepers.
Schedules and Deadlines:
Most bookkeeping service providers have customized solutions for their clients. Each of their bookkeepers has experience and expertise in the relevant field or industry. Most bookkeepers in bookkeeping or accounting firms feel comfortable using a variety of applications. Thus, bookkeepers of a professional accounting firm manage books for a business more efficiently.
Professional bookkeepers don’t make bookkeeping errors, unlike inexperienced bookkeepers, because they comprehensively understand bookkeeping and business needs. It aids them in effectively managing the books of accounts for their clients. Besides, GTA Accounting is an accounting firm that offers customized bookkeeping solutions to SMBs in Toronto
Highly Experienced and Reliable Bookkeepers:
Professional accounting firms have highly experienced and reliable bookkeepers. They can quickly and correctly answer questions that clients may have in their minds regarding their books or financial data. Additionally, clients can easily contact professional bookkeepers of bookkeeping service providers. In addition, they can arrange meetings with professional bookkeepers of a reputable accounting firm.
Hence, professional bookkeepers are more reliable than freelance bookkeepers but more costly than the latter. However, the benefits that a professional bookkeeping service provides outdo this disadvantage.
Conclusion
Small to medium-sized businesses can manage bookkeeping while hiring a bookkeeping service or freelance bookkeepers in Toronto. Freelance bookkeepers are less costly to hire, and many of them are open to travel and work from a business office. Nonetheless, all freelance bookkeepers aren’t equal when it comes to meeting deadlines for clients and managing their books. On the other hand, a bookkeeping service is more costly than freelance bookkeepers, yet more reliable and beneficial. To sum up, hiring a bookkeeping service is more beneficial for small to medium-sized businesses.
