Accountants often advise their clients to ‘expect the unexpected’ but this maxim has never been truer for accountants as it is today. With so many industry changes on the horizon, here are 6 key reasons why accountants across the UK may be motivated to use outsourcing solutions more:
The Shortage of the Right Talent
One big problem the accounting industry has generally struggled with is the shortage of talent. In past years, the labour pools were wider but with the expected drying up of EU talent due to Brexit, accountants will have to look for professional outsourcers who are able to supplement back-office accounting teams.
The Need to Cultivate Staff You’ll Need in Five Years
With the changes in the compliance environment and the advent of cloud and data analytics, talent needs are changing across the industry. You now need accounting staff who are able to find tech-based solutions to business problems– staff who can see the bigger picture, who are comfortable with technology and who can provide a high-level of business advisory services.
You may not be able to bring that talent solely through hiring. Retraining and upskilling internal accounting teams has become necessary. But who will deliver the back-office production work while you cultivate the talent you need in the next five years? Utilising outsourcing partners who can provide immediate access to talent for back-office accounting functions, at the scale you require, is important.
Adopting of Cloud Technology
Cloud, OCR, and mobile are helping accountants dramatically increase productivity, ensuring faster response times to client queries and requests for critical financial data. However, for small and medium-sized firms this transition to a new system is proving costly, mostly because of the big learning curve for the new software packages. Outsourcing companies can help accountants transition to the cloud without them having to go through the process themselves.
Making Tax Digital Opportunities
At first, Making Tax Digital, might see like a big operational and software challenge, but in fact, moving to the cloud is a golden opportunity for accountants to bring on more business. But with this shift to digital records, there will be a lot of back-office work that needs to be done. It will impact on deliverables, especially as accountants need to simultaneously upskill their teams.
This is one of the important reasons why accountants will have to seize outsourcing. Outsourcing solves the problem of recruiting staff for non-client facing MTD work.
In a 2017 study commissioned by AAT and ACCA, 47% of MPs said that they believed that Brexit will have a “positive impact” on the accountancy profession. With Brexit becoming a reality 29 March 2019, accountants are going to be in greater demand as clients come looking for information on the tax and financial implications.
In contrast, Brexit will also hamper the ability of accountancy firms to hire EU workers. With traditional talent pools drying up, accountants looking to capitalise on opportunities created by Brexit will need to consider flexible and scalable offshore accounting to deliver the new work that comes in.
To find out how you can scale your back-office accounting teams and successfully navigate the challenges ahead, call us on 0870 803 1033 or email email@example.com to discuss your practice’s outsourcing requirements.