
Accounting & Bookkeeping Service: Why Your Startup Needs It
Running a startup feels a bit like juggling flaming torches while riding a bicycle. The pace is fast.
4 min read
Hand your whole accounting and bookkeeping function to a trained team that works inside the software you already run. You keep the client relationship; we do the work behind it.
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The whole function rather than a task list: day to day entries through to the financial statements on top of them.
Outsourced accounting, or back office accounting and bookkeeping support, is the accounting department run by somebody else. Day to day transactions go into the books, accounts payable and receivable are managed, the bank is reconciled, and the financial reporting and cash flow statements come out of the same set of records. The scope covers what an in house accounting department handles, in the same order it handles it.
The value is not only in the entries being made. It is in better reporting of the numbers once they are, in the control and transparency that comes from a second set of trained eyes on the ledger, and in being able to answer a question about the business on the day it is asked rather than at the year end.
For a CPA or bookkeeping firm the arithmetic is different again. Outsourcing the production work lets the firm take on more accounts without hiring against them, which is the difference between turning work away and growing the practice.
Six areas of work. Take all of them, or only the ones you do not want to staff for.
What you need, what you already run, and which of the two fee models fits. Nothing is scoped over email.
Files shared over the internet, or remote desktop access to your own server. The books stay where they are.
The same accountants on your account, with a regular call to go through the numbers rather than a ticket to raise.
The work is delivered under your firm’s name. Your clients deal with you throughout, and the certified accountants behind it are ours.
Money owed and money due, kept in step. AP and AR reporting is what lets a business hold its supplier and customer relationships without chasing either.
The credits and debits reconciled every month. It is the exercise that confirms a transaction happened at all, and the one that catches fraud and error in the books.
Employees paid accurately and on time, every cycle, without the inefficiency and cost of running the calculation in house.
The ledger maintained and the statements prepared from your existing records. Statement analysis and quarterly and year end filings where you want them.
All of the above as one engagement, from daily operations through to the annual financial statements, so there is one team rather than four vendors.
Scope is agreed before an engagement starts. Nothing above is a fixed bundle, and a firm that only wants reconciliation and payroll takes only those.
The argument a practice makes to itself before it makes the call.
A firm that outsources its production work can carry more clients at no added headcount cost, which goes straight to the margin. It is how a practice builds a name in its market without breaking its own bank to do it.
Staying competitive means holding costs down while the work goes up. Moving the production accounting off your own payroll is the largest single lever most small practices have, and it does not touch the client relationship.
Accounting starts when the information arrives and does not stop. Handing it to a team that works it as a continuous cycle is what leaves you with records that are current on any given day rather than current in April.
Recruiting, training and keeping good accounting staff is the problem most US firms name first. Outsourcing removes the hiring cost and still puts qualified people on your clients’ accounts.
Where the team has actually kept books, rather than everywhere it would be willing to. A trade that is not on the list is worth asking about.
The team works inside your system rather than moving your books into one of ours.
QuickBooks Online
QuickBooks Desktop
Xero
Sage Intacct
Oracle NetSuite
Zoho Books
FreshBooks
MYOB
Wave
ADP
Paychex
Gusto
Expensify
Dext
Hubdoc
ShopifyNot on the list? Tell us what you run. Most engagements start on software the client is already paying for, and moving a set of books between platforms is a project of its own.
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Hiring, training and keeping good accounting staff is the problem most firms name first, and it is the one outsourcing is aimed at.
Outsourcing gives you access to experienced staff at rates well below a US hire, and it scales with the work rather than with your recruitment.
The office runs a paperless process with limited internet access on the floor, and an information security system governs who can reach what.
Access to your systems is on credentials you issue and can withdraw. The books stay in your software.
Most engagements are web based, so files and communication go over the internet. A brief description or a document is enough to start.
Where the work has to run on your own machines, the team will need remote desktop access to your server.
The contract is annual and carries a 60 day termination for convenience clause. Written notice is all that is required, and no reason has to be given.
For what it is worth, the firm’s retention rate is 90%.
Two models. A full time equivalent arrangement, where you are buying a share of a person’s time, or a flat fee for a defined scope.
Which one fits depends on how predictable the volume is, and it is settled at the initial meeting rather than quoted off a page.
Every accountant on the team has at least three years of experience in the US accounting industry.
The wider team includes chartered accountants and certified professionals, and the hiring bar is a problem solving attitude as much as a qualification.
No. The team works inside the software you already run, and the list on this page is what it is trained on.
If your platform is not shown, ask. Moving a set of books between systems is a project of its own and is not something to take on as a side effect of outsourcing.
Yes. White label is one of the six areas of the service: the output goes to your clients under your firm’s name and they deal only with you.
It is the arrangement most CPA and bookkeeping firms take, and it is why several of them are on the industries list above.
A call first, to work out what you need and which fee model fits it.
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