Virtual bookkeeping offers a refreshing change of pace from the traditional office setup. By eliminating the overhead costs of physical workspace and providing employees with a distraction-free environment, virtual bookkeeping can significantly boost productivity. While domestic virtual teams offer amazing advantages, tapping to virtual bookkeeping beyond borders can unlock even greater cost-efficiency and access to specialized skills.
Bookkeeping and accounting have come a long way. We’ve evolved from paper ledgers to spreadsheets, and now, online bookkeeping is making our lives easier than ever.
The amazing part about online bookkeeping? You can do it from anywhere—home, office, or even a beach. Online bookkeeping proved its worth during COVID. As we all switched to working from home almost overnight, we managed to keep the wheels turning smoothly.
Once the dust of the COVID tornado settled, many employees preferred to continue working from home, making virtual bookkeeping the new normal.
So what exactly is virtual bookkeeping? If a bookkeeper is using online bookkeeping software but working from the office, is that virtual bookkeeping? The clear answer is NO.
In simple terms, all virtual bookkeeping involves online or cloud bookkeeping, as technology enables work from anywhere. However, not all online bookkeeping qualifies as virtual bookkeeping. Virtual bookkeeping specifically refers to situations where an employee can access and manage work only through virtual software.
Virtual bookkeeping isn’t just about convenience; it’s about creating a more efficient, productive, and flexible work environment. And modern accounting firms are embracing this change to make the teams productive, widen the talent pool, improve employee satisfaction, and reduce turnover.
When I say virtual bookkeeping is the new norm, I mean it. I hear and read so many stories of accounting firms catering all sorts of accounting services with a virtual team. The article published in AT Think on Managing a Virtual Practice grabbed my attention.
Let me introduce you to Steven Zelin, better known as “The Singing CPA.” Steven is a successful sole practitioner CPA running Zelin & Co. and managing a virtual staff of 20 people.
Steven’s practice hinges on a simple but powerful routine: a daily 10:00 a.m. huddle on Zoom. This isn’t just a check-in; it’s a structured meeting where every team member shares what they’re working on, the status of their projects, and their plans for the day. The key? Keep it short and sweet—no longer than 15 minutes. This daily touchpoint ensures everyone is aligned and keeps communication flowing smoothly.
Steven’s success shows just how powerful technology can be. By using Zoom and other online tools, he’s built a virtual workspace where productivity and collaboration flourish.
Beyond his expertise in accounting, Steven has a unique talent—he performs music with tax-related lyrics, and thus the name – The Singing CPA.
Just as virtual accounting is effective for a team based in the US, it can also be effective with team members located anywhere in the world. The key to success is having a skilled team, regardless of their physical location.
In other words, the location of your team doesn’t impact the quality of virtual accounting. What really matters is the expertise and skills of the people working for you. As long as you have a talented team, virtual bookkeeping and accounting can be successful from any part of the globe.
In addition to that, a global virtual bookkeeping team offers additional benefits—cost savings through currency differences, access to a wider talent pool, and the ability to address the ongoing talent shortage in the industry.
Virtual Bookkeeping is often recognized as a cost saving measure for SMBs replacing an in-house bookkeeper with a virtual. But it comes with even greater benefits for an Accounting Firm.
Imagine your business is booming, and you need to scale your accounting team quickly to handle the increased workload. With a traditional in-house team, this process can be lengthy and expensive. But with a global virtual bookkeeping team, scaling up or down is as easy as adding or removing team members.
There’s a significant shortage of skilled accountants in many countries, including the United States, leading to high salaries and difficulty finding qualified staff. However, countries like India have a vast pool of accounting talent. By tapping into this global resource, you can quickly expand your team without sacrificing quality.
When you limit your search for accountants to a single country, you’re narrowing your options. Expanding to a global virtual bookkeeping and accounting team opens doors to a vast array of skilled professionals.
By looking beyond borders, you tap into a wider pool of talent. Accountants and bookkeepers in many offshore locations receive rigorous training to meet the standards of businesses in countries like the United States. They are well-versed in Generally Accepted Accounting Principles (GAAP), ensuring accurate and reliable financial reporting.
One of the most compelling reasons to consider a global virtual bookkeeping team is the cost savings. By outsourcing your accounting functions to a country with a lower cost of living, you can significantly reduce your operational expenses.
The resources you save can be redirected into areas that drive your accounting firm forward. Whether it’s expanding your marketing efforts, investing in new technology, or pursuing other strategic initiatives, these savings can be a game changer.
A global virtual bookkeeping team not only helps you cut costs but also frees up resources that can be reinvested into your business.
A global virtual bookkeeping team gives you access to a diverse pool of accountants with specialized skills. You can tap into experts in specific industries like healthcare and tech, as well as specialists in tax laws, financial analysis, ERP systems, and fraud prevention.
This means you get tailored solutions for your client’s unique business needs. Instead of relying on general accountants and bookkeepers, you have specialists who deeply understand your industry and financial challenges, providing better insights and results.
A well-staffed accounting team is essential for providing excellent client service. By leveraging a global virtual team, you can maintain optimal staffing levels to handle fluctuating workloads without compromising quality.
Different time zones can be a huge advantage. By having teams in various locations, you can offer round-the-clock support to your clients. This translates to faster response times, increased client satisfaction, and a competitive edge.
The shift towards virtual bookkeeping is undeniable. It’s changing how accounting firms operate, offering more efficiency, cost savings, and access to a global talent pool. By adopting virtual bookkeeping, firms can focus on high-value services, enhance client satisfaction, and drive sustainable growth.
Virtual bookkeeping has its own set of challenges. Here’s some food for thought: If you’re not ready to tackle the challenges of virtual bookkeeping and offshoring accounting work, how will you handle the ongoing talent shortage and rising salary demands? Accepting these changes is the key to staying competitive in the industry and catering to rising client expectations.
Virtual bookkeeping is as good as your staffing partner.
I get it, finding the right virtual bookkeeping team can be tough. That’s where Credfino steps in. We’ve helped over 100 CPAs and accounting firms by understanding their specific needs. At Credfino, we offer a skilled and diverse virtual bookkeeping and accounting team, along with ongoing support to ensure your success.
Schedule a call to know how Credfino can help your accounting firm.
A virtual bookkeeper is an accounting professional who performs bookkeeping tasks remotely. Instead of working in a traditional office, they operate from their own location, using cloud-based software to access and manage client financial data. This allows for flexibility and cost-efficiency for both the bookkeeper and the client.
Yes, bookkeeping can be done remotely. The advent of cloud-based accounting software and robust internet connectivity has made it possible for bookkeepers to efficiently manage client finances from anywhere in the world. This has led to the rise of virtual bookkeeping as a popular option for businesses.
Virtual bookkeeping can significantly enhance client service. With remote access to client data, bookkeepers can often provide faster turnaround times on tasks. Additionally, they can offer flexible working hours, accommodating clients in different time zones. Moreover, virtual bookkeepers can specialize in specific accounting software or industries, providing deeper expertise and better service.
There are several ways for accounting firms to find suitable virtual bookkeepers:
I’ve had conversations with hundreds of accounting and tax firm owners about their capacity and profitability challenges. A few of them trusted us as their staffing partner.
In cost-based pricing, you set your fees according to the overhead costs and other expenses you incur. With competition-based pricing, your charges align with what your competitors are charging.
We’ve all been there: what starts as a straightforward project balloon into something much bigger, straining your team, delaying timelines, and eroding your profits.