What Is Accounting Outsourcing?

The premise of accounting outsourcing is that the company cuts the entire financial process into many sections, and only one of them (that is, a certain business process) or two sections is given to the outsourcing company, such as the company's balance sheet, including receivables, inventory And other content, and the inventory can be divided into procurement, storage, storage and other links, which means that outsourcing is only a part of the subdivision. At the same time, the outsourcing of certain processes in finance can save managers some time and use this time to increase the company's revenue; accounting outsourcing makes the company more efficient and therefore more profitable. Generally, the financial function includes the following parts: accounts payable, accounts receivable, general ledger, and fixed asset accounting. These steps not only provide the company with valuable reference for decision-making, but are inefficient and increase the company's operating costs.

Accounting outsourcing

Right!

The premise of accounting outsourcing is that the company cuts the entire financial process into many sections, and only one of them (that is, a certain business process) or two sections is given to the outsourcing company, such as the company's balance sheet, including receivables, inventory And other content, and the inventory can be divided into procurement, storage, storage and other links, which means that outsourcing is only a part of the subdivision. At the same time, the outsourcing of certain processes in finance can save managers some time and use this time to increase the company's revenue; accounting outsourcing makes the company more efficient and therefore more profitable. Generally, the financial function includes the following parts: accounts payable, accounts receivable, general ledger, and fixed asset accounting. These steps not only provide the company with valuable reference for decision-making, but are inefficient and increase the company's operating costs.

Chinese name

Accounting outsourcing

Nature

Outsource

Attributes

accounting

category

Corporate affairs

At present, the status of financial non-disclosure of most Chinese companies has been strongly dissatisfied by overseas investors and regulators, and has seriously hindered their overseas financing process. The lack of financial forecasting and early warning functions caused by financial opacity is a major problem for Chinese companies Fatal injury. Of course, some Chinese companies' CEOs and CFOs have realized the benefits of accounting outsourcingreducing costs, scientific management, and financial transparencyand accounting outsourcing is becoming a crutch in their direction of choice.

Other companies have benefited from the rapid development of China's macro economy in recent years, and began to enter the fast track of expansion in 2003. A large number of companies have fallen into financial crisis because of lack of financial management capabilities. For these growing companies, they began to understand that they Must focus more and more on core business. For them, accounting outsourcing means: can reduce costs, get rid of the current situation of financial management out of control as soon as possible, get rid of the limitations of internal resources, provide support for corporate strategic decisions, improve financial transparency and attract strategic investors.

Accounting outsourcing is an inevitable trend after IT outsourcing. In 2005, global accounting outsourcing business revenue was US $ 14 billion. According to a research report released by IDC in July, the global financial and accounting (FA) outsourcing market size will reach US $ 47.6 billion in 2008; from now to 2008, its compound annual growth rate will be Reached 9.6%. In this huge, fast-growing market, it is a challenge for Chinese companies to seize the opportunity to occupy a large market share.