What Contract Mortgage Processing companies do to cut down mortgage processing time by 50%?09 Apr,2021 Read More
Posted by maxbpoblog Nov 23,2019
Entrepreneurship comes with its own set of challenges. One of the major concerns is to manage the cash flow and keep the books. Sometimes, entrepreneurs are so much focused on the product that they do not keep a check on the cash flow. This trait can turn out to be very costly. According to a stat, 29% of the businesses do not reach into their 4th year because they run out of cash.
Often, entrepreneurs consider accounting and bookkeeping services a liability for the company. Product is the most important aspect, it’s true. But, operations do not run without cash.
Bookkeepers and accountants do not have a direct contribution to the revenue of the company. They manage expenses and costs of operations that help maintain a healthy cash flow in the company.
Whether you like them or not but your business needs them for sure. Often, bookkeeping and accounting are confused with each other.
Let us clear their functioning before we learn more about accounting and bookkeeping services.
Bookkeeping is the process of the record-keeping of every financial transaction of the company. Bookkeepers keep the record of sales, expenses, cash and bank transactions in a general ledger.
The process of recording transactions is known as posting.
A bookkeeper may also generate invoices and/or payroll. They do not prepare financial statements.
The main aim of bookkeeping is to keep accurate and correct records for accounting tasks.
While bookkeeping contains more of the clerical tasks, on the other hand, accounting is about decision making.
Accounting is the measurement, processing, and communication of financial and non-financial information about economic entities such as businesses and corporations.
In other words, accounting is the process of the production of financial information. It allows us to see things like how much money you or your company earns, what is the net worth, what are the expenditures, and what measures you can take to make more money.
Now you know the difference between bookkeeping and accounting.
But, still you have got questions and they should be answered.
You are still wondering, “I am an entrepreneur, I can learn some accounting skills. So…”
You are right. You can learn a little accounting and bookkeeping skills because learning never stops for an entrepreneur.
Your finances need to be put into the right operation and the accounts department is not a wise choice at the moment.
The team is already very much focused on the right areas. Product-building has already taken a lot of money and marketing needs more of that.
John is a young and charismatic man who makes toys for kids. He makes toys and sells them into a local market. He keeps his daily earning record in his diary.
One day, he wakes up in the morning and finds out that his product has become an internet sensation. Someone had posted a video of their kids playing with the toy that was made by John.
Now, there is a huge demand for toys made by him.
He wants to encash this momentum and decides to open a small-sized factory to make toys. He calculates all his expenses and costs and applies for a business loan in the bank.
However, he sets up a meeting with a loan officer. The meeting does not go well. The loan officer throws a jargon of heavy accounting keywords wrapped into questions at him.
He couldn’t tell how much profit he had made in the previous financial year. Also, he does not know about his assets’ value or his debts.
The interview does not go well and he loses his chance at grasping a big chunk of the market that was ready for his product. Social media had done marketing for him.
Had he got someone to keep accounts for him, he would not have faced such a situation.
This story was not to bring down the spirit of someone who likes to manage one’s accounts themselves. But, this is the real story of thousands of next to-be big companies that fails due to lack of bookkeeping and accounting expertise.
Accounting and bookkeeping are the show-runners of any business. Rather than being a liability, accounting and bookkeeping can help you build assets.
Now you know how important both the services are, but one more question that occurs to your mind would be,
This dilemma often occurs. It depends on the scale of your business. If your business is a small scale general store located in a small locality, only bookkeeping will work fine for you.
But, if you are planning to scale that business into other cities and you have a vision, then go for both, accounting and bookkeeping services.
This suggestion is for any business owner who wants to grow in general. Not only like Walmart or Amazon or Microsoft level but also even if you want it to be the best in your town. Then you must have a dedicated accounting and bookkeeping team.
The size of the team depends on the nature and size of your business.
Now that you are aware of the importance of opting accounting and bookkeeping services, the next question you might have is,
Again, it depends on how you want to run operations in your company. Quite often, during the initial phase, business owners want to keep everything under their control.
They head several departments in their organization. However, as time passes and each department scales. It becomes difficult to keep an account of the whereabouts of every department.
Then they hire chief for each particular department which helps the company to grow and scale into a profitable business.
Every department contributes towards the assent creation of the company. But, accounts and bookkeeping department does not contribute towards the creation of assets.
It does not mean that this particular department is of no use. We have talked enough about its importance. The accounting and bookkeeping department keeps a record of the assets of the company.
Every business has its heydays and dull-days. One such dull-day can make the accounting department a liability.
Resources spent on hiring and maintaining an in-house team are not worth the risk. It also diverts a company from its core business.
These points make it clear that hiring an in-house team can be a major risk. So, the in-house accounting and bookkeeping services team is out of the picture.
This leads us towards the next doubt you might have,
The answer is simple, to avoid the above-mentioned risks. Outsourcing them will save a lot of monetary funds for the company. That fund can be used towards the betterment of products/ services of the company.
You do not have to hire a few professionals after a long interview process. Instead, you get ready to perform, a team of experts at a very affordable price.
There are experienced companies that outsource accounting and bookkeeping services and act as an asset for the company.
For an entrepreneur, scalability and stability are the two most important objectives. Hiring an in-house team may or may not provide both of them but outsourcing will surely help the company to thrive.
What Contract Mortgage Processing companies do to cut down mortgage processing time by 50%?09 Apr,2021 Read More
How outsourcing Mortgage process to Mortgage Loan Processing Company can be beneficial in coping with future trends?06 Apr,2021 Read More
Pragmatic Offline Data Entry Services Influencing Business05 Apr,2021 Read More
Benefit by Outsourcing Mortgage Underwriting in the year 202103 Apr,2021 Read More
What you should know about Mortgage underwriting services in the United States?02 Apr,2021 Read More
Maxdata has been supporting Bisnode in data processing for many years & represents a reliable & important partner for us. We therefore are looking forward to a continuing good business relationship.
I know that now we can rely on Max BPO to provide helpful advice that makes a meaningful difference to our business. Our operating model used to be stressful & was something we avoided. Max BPO provide Medical Coding, Billing, Collection, Records Indexing, Pre-Authorization & Charge Entry Services which enrich resource allocation, boost financial performance & increase the effectiveness of our business. Max BPO is part of our business now & a great asset.
Working with Max BPO is an outstanding experience. Since launching our claim management services with their suggestions, services & recommendations, we have experienced 55% savings in operating cost. They were dedicated to offer Reconciliation, Subrogation, Claims Verification, Claims Validation, File Closure, Claim Processing, Claim Adjudication & Portfolio Management. Handing over Business Process Outsourcing to Max BPO was our strategic option to achieve cost reductions while improving service quality, increasing bottom-line & focusing on core specialties of your business.
Our inbound & outbound leads have grown so dramatically. We proud to hire a dedicated sales team that is making sales calls & sending emails to potential customers (leads) for the purpose of generating interest & selling our App. That was never the case before using the customer acquisition & retention services rendered by Max BPO.
We developed a great partnership with Max BPO & their dedication to our data processing of online directories & account receivables. We appreciate their attention to detail, creative approach & experience to deal with our diversified requirements.
A great company to work with, for debt collections services! I worked with Amanda, she was very profession and the teams delivered the result in quick time with higher successful recovery rate. I really appreciated the professionalism and care she puts into her job. Great job!
MAXLLC BPO data entry services are quick and efficient. The project manager was very kind and had good business understanding. The team helped in managing large volume of data as per our customized requirement. Their data entry services are competitive.
Had a great experience in working with the data entry team.
Ever since we availed MAX BPO Call center services, our inbound calls value was increased we required best call center who can give our clients support and feedback. Their customer service is amazing. The 24X7 inbound and outbound call center services were beneficial to our company growth.
We are very much satisfied with their call center services for past 2 years. This is a great partnership with amazing results!
We are very pleased with MAX BPO medical debt collection agency as choosing our outsourcing partner. True HIPPA Compliance Company. They provided us with full service medical billing and collection services that helped us in improving revenue cycle management. They know how to make good professional relationship with the insurance company and patient.
The debt collection team has good work ethics and local and nation law knowledge. Will recommend the company.
The data mining services availed by MAX BPO was amazing. The team delivered the project in quick turnaround time with 99.95?curacy as per industry standards. The data provided exact insight for business decision making.
They were able to meet up our requirement with great flexibility and professionalism. Would recommend the company and in future will surely use the cost effective services.
Perfect logistic data entry and audit services by MAX BPO for our Logistics business. Expert and experienced logistic clerks team in document processing for logistic business. The services were very highly accurate, cost effective and with minimum turnaround time. The team was very supportive.
Outsourcing Account and Bookkeeping services to MAX BPO was the right decision by the management as they provided efficient financial data management. The professional services provided were cost effective, accurate and timely services. The team was dedicated and accurate and knows they job well.
The company has been providing bookkeeping job for past 5 years. Looking forward to work with them in coming years too.
MAX BPO is a true professional company when it comes to taking care of business bookkeeping services. They are experienced in the finance and accounting services and have been providing the services to our company for last 3 years. Must say the services are exceptional.
They have fantastic accounts team that are quick and efficient.
I would recommend and have recommended them to my business partners too.
We availed ecommerce product data entry services from MAX BPO, must say are thoroughly professional and expert in what they do. If you are looking to make a mark in online business and need help, you can 100% rely on MAX BPO.
There domain expertise is very good as they have super expert team in eCommerce shopping carts and platforms. The working experience with the MAX BPO team was amazing as they provided the project with deadline and at within our budget without compromising the quality.
We outsource Medical Bill Services to MAX BPO. We have switched our in-house billing to 5 years ago. Must say working with them was the best experience. Their services are consistent, reliable and cost effective. The expert billing team helped in increase reimbursements and quickly recovers outstanding claims. The services were transparent and used latest modern technologies that helped our company.
Medical Billing Experts that you can trust :)