Parth Shah

5 tips to optimise workflow automation in your accounting practice

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Most accounting practices aim to deliver error-free services on time and handle high-value clients efficiently. Unfortunately, in reality, many firms struggle to achieve this ideal scenario.

The current state of workflow in accounting practices is frequently poor, leading to numerous challenges, including report errors, missed deadlines, lower quality of work, and dissatisfied clients.

Ask any accountant, and they’ll tell you how manual accounting processes significantly hamper their productivity, highlighting the urgent need to change how they operate.

Herein lies the opportunity to build robust workflows for your accounting practice.

How, you ask?

By automating repetitive tasks, you can streamline your work and experience improved accuracy, on-time delivery, and higher client satisfaction, paving the way for a more prosperous and efficient accounting practice.

This blog explains how technology implementation can enhance workflow automation in your accounting practice to the next level.

How to build a workflow automation process in your accounting practice

1. Map your current workflow

First things first – audit your current tech stack. This involves determining the scope of the workflow and identifying bottlenecks that might cause inefficiencies.

This exercise will help you identify outdated tools that need to be replaced with the latest accounting technologies.

It will also provide you with a clear understanding of your current capabilities so that you can identify areas where workflow automation is of the utmost importance.

This brings us to the second point.

2. Identify areas for improvement

Now that you have audited your current tech stack, you should have a clearer idea of the areas that need automation. Once your workflow is mapped, it is time to analyse every step carefully.

Ask yourself the following questions:

  • Is this a manual, repetitive step? If yes, it will become the focus area where you need automation.
  • Is there a possibility of human error? Manual data entry is susceptible to human errors, but automation can help minimise these mistakes and significantly speed up the work process.
  • Can this be automated with technology? You need to identify which software is beneficial for your accounting needs carefully.
  • Does this step add value to the process? If the value addition is negligible, it is better to eliminate it and or assess a different task that will add value.

The most common repetitive tasks in an accounting practice’s workflow include manual bookkeeping, invoice generation, tax filing, and creating accounting reports for clients. Incorporating workflow automation in these areas will help you deliver a superior service.

3. Research and compare different software options

Finding the perfect accounting software requires comprehensive research to balance budget, features, and support appropriately.

While comparing different software vendors, check the pricing to see if it fits your budget. Many vendors provide subscription-based pricing, where you pay an annual or monthly fee to access the workflow software, which may make it more viable for you than an upfront payment.

Look for software with a user-friendly interface, which will reduce the time spent on support and training for your staff.

Consider the software’s functionalities. Ensure you’ll efficiently use all its features and that it’s not over-specified for your needs. Check its ability to integrate with your existing accounting workflow.

Importantly, ensure it addresses your specific needs, such as automated bookkeeping, data entry, and tax planning, and isn’t limited in ways that could impact your accounting practice in the future.

Finally, focus on the vendor’s support for your new software to navigate any technical issues and offer ongoing updates for compliance and improvements.

For instance, practice management software like Xero Practice Manager and Senta are known for integrating various accounting tools and improving project visibility.

4. Test and refine

Always test the new workflow with a small sample of tasks before fully implementing it to identify any technical glitches in the system.

Gather feedback from your staff members and use their insights to refine the process for a seamless user experience. Fine-tune the software settings to optimise your accounting workflow for maximum efficiency. If the software isn’t meeting your needs, be honest and make necessary adjustments.

5. Emphasise security considerations

While selecting workflow automation software, ensure it complies with robust data security standards. Look for features like encryption and access controls to protect your data. Additionally, prioritise regular security updates from your vendor to address potential security breaches.

How accounting outsourcing helps practices with tech-led workflow automation

1. Access to the latest technology

One of the most important benefits of partnering with an outsourcing company is access to the latest accounting technologies, which can be expensive to attempt on your own. Outsourcers use various technologies for multiple services. This ultimately enhances your profitability by reducing investment in your current workflow.

2. Improved data analytics

Outsourcing companies like Stellaripe have tech-led workflow automation that provides tailored data analytics solutions to meet the unique needs of accounting practices. For instance, you could offer your clients real-time accounting insights with a customised dashboard that fetches real-time data.

3. Scalability and efficiency

Outsourcing companies specialise in using scalable tech solutions to handle and process large volumes of accounting data. This benefits individual accounting practices, which can outsource client work during the Self-Assessment tax season, for instance, when the workload is heavier.

Read: How to grow your accounting practice in 2024

4. Enhanced compliance and data security

Accounting practices prioritise data security because they handle sensitive client information. Outsourcing companies like Stellaripe understand this concern and prioritise data protection at their facilities, which includes implementing robust measures to safeguard data.

Final words

In today’s ever-evolving digitalisation, accounting workflow automation tools are no longer a luxury but an absolute necessity for accounting practices to thrive.

Additionally, outsourcing your clients’ functions will help your practice achieve higher accuracy, efficiency, and client satisfaction.

Take the first step of initiating accounting workflow automation with a reliable outsourcing partner like Stellaripe. Book a free consultation and explore how our cutting-edge tech-led accounting solutions can help with your business goals.

How accounting practices can thrive without enough trained professionals

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Many accountants today in the UK are asking themselves: “Is there a shortage of accounting professionals?”

The question is a valid one—a 2023 survey revealed that 90% of accountants are facing significant challenges with hiring new employees. The impending retirement of baby boomer accountants is set to leave an even bigger gap in the UK accounting space.

Meanwhile, smaller accounting teams are being forced to juggle more work, leading to higher stress levels and higher attrition rates.

The fact is, regardless of whether your practice finds suitable hires or not, you need to maintain a high standard of service for your clients. And that requires leveraging smart tactics to make the most of your existing staff without putting undue pressure on them.

Read on to know more about how to solve an accounting shortage for your UK accounting practice.

1. Embrace technology and automation

Accounting software and automation tools have come a long way, and by investing in them, your practice can manage its workload efficiently even with a smaller team.

From bank reconciliation to payroll calculations to completing tax forms, there’s a lot that can be done with the right tools, and that leaves your staff free to take on the high-value core services.

This is also a good way to guard against the concern about: “Are accountants going to be replaced by AI?” By incorporating technology into your work stream, it can become an aid to human endeavour rather than a threat to it.

2. Invest in continuous training and development

If you ask UK accountants: “What are some of the major challenges facing the accounting profession today?” you’ll get several answers around the theme of having to stay abreast of the latest technological advances and industry trends so as to serve their clients better.

So rather than worry about hiring more staff, why not upskill your current team members to handle more complex tasks? There are several training programs and relevant certificates that can help accountants deepen their areas of expertise, become savvy with modern software, and even improve their client relationship skills.

Offer these courses to your staff, or give them a budget to complete training of their own choice. By fostering a culture of continuous learning within your accounting practice, you’ll always be ready to take on new challenges.

3. Outsource non-core functions

An easy way to avoid overworking your in-house staff is by outsourcing some functions. Several tasks like payroll and bookkeeping lend themselves easily to outsourcing, and you get the advantage of a specialised team delivering timely results at a competitive price.

That way, your in-house accountants can focus on the core strategic functions that they’re uniquely poised to do. The best part? You can scale up or scale down your outsourcing as you like, depending on your accounting practice’s needs.

4. Foster a flexible work environment

A survey by The Behavioural Insights Team showed that job openings advertising flexibility attracted 30% more applicants. Over the last decade, and especially since the pandemic, companies of all kinds have seen the many benefits of offering flexible or remote work arrangements to their team.

By giving your accountants a choice about how often to come to the office, you let them design a schedule that suits their work patterns, boosting their productivity and their mental wellbeing.

Strategies to experiment with include the option to work from home two days a week, having asynchronous meetings, and using communication tools like Slack for quick updates rather than calls or meetings.

Understandably, some times of the year will call for longer hours than others (such as tax season). You can offer extra time off after tax season to help your accountants decompress—they’ll definitely welcome the break.

5. Enhance recruitment and retention strategies

Having a structured recruitment policy will help you connect with strong candidates sooner, such as by maintaining an active online presence and having an easy-to-understand hiring process.

Be sure that the salaries and benefits you’re offering are competitive and commensurate with the candidate’s skills. In addition, it may be a good idea to take a closer look at “Why is the accounting profession declining?”

Many accountants are choosing to opt out on account of the long hours and inadequate work-life balance — for which, as we’ve mentioned above, building a flexible work environment is a good idea.

It’s also important to nurture a strong workplace culture where every employee feels seen and where they feel like they’re part of a close-knit team. The more connected your staff feels to your accounting practice, the more likely they’ll be to stay on.

Read: Proven strategies for productivity and client trust

In conclusion

While the accounting talent shortage is undoubtedly a challenge, there are ways for accounting practices to adjust to it without compromising on their good name.

Indeed, investing in technology adoption and smart hiring techniques now is key to the long-term survival of any practice, given that the economy and market forces will always be in a state of flux, regardless of how many or how few accountants you hire.

At Stellaripe, we believe that processes are as important as expertise, and our accountants live up to that by seamlessly integrating technology with the human touch in every working relationship.

When you outsource your clients’ accounting processes to us, you gain the expertise, experience and resources to get your practice to where you want it to be—minus the hassle.

Learn more about how our accounting outsourcing operates or simply reach out to book a consultation with Stellaripe today to understand how we can help your practice.

Impact of AI in accounting: What accountancy practices should know

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In a world where technology evolves at breakneck speed, accounting is no exception. Imagine a future where smart algorithms flawlessly handle mundane tasks like data entry and invoice processing, freeing up your time for strategic decision-making and client consultations.

This is the impact of AI in accounting – a revolution that’s not just on the horizon but is already transforming how accountants like yourself work, enhancing accuracy, efficiency, and insights like never before.

QuickBooks’ 2023 survey shows that 86% of accountants believe AI can help them become strategic growth partners for their clients.

Additionally, 76% agree that businesses partnered with accountants using AI are more likely to survive due to benefits like richer insights and accurate forecasting.

If you’re too keen to leverage AI to provide superior client service but don’t know how, this blog post is for you. Here, we’ll discuss the impact of AI in accounting, the challenges in adopting the technology, and how outsourcing can aid your accountancy practice.

The impact of big data and AI in accounting

1. Automated data entry and bookkeeping

By utilising AI-driven bookkeeping solutions, your practice can drastically reduce the time spent on manual data entry. This increases accuracy and frees your staff to focus on more high-value jobs, such as budgeting and forecasting.

For example, tools like Dext and Xero’s Hubdoc can automatically extract data from receipts and invoices, streamlining bookkeeping.

2. Enhanced financial forecasting and budgeting

Big data analytics enables you to create more accurate and detailed financial forecasts and budgets. AI algorithms analyse historical data to identify trends and patterns humans might miss. This is useful for helping clients plan for future growth or navigate economic uncertainties. Tools like Futrli and Float use AI to enhance your forecasting capabilities.

3. Fraud detection and risk management

AI and big data have improved mainly the detection of fraudulent activities and the management of financial risks. Machine Learning (ML) algorithms can analyse large datasets to identify unusual patterns and anomalies that may indicate fraud.

They continuously learn and adapt to new fraud techniques, providing an ever-evolving defence mechanism. Tools like MindBridge AI Auditor use AI to detect anomalies and assess risk levels in financial transactions.

4. Advanced tax planning and compliance

Big data and AI streamline tax planning and compliance by analysing vast amounts of data. You can use these technologies to provide your clients with optimised tax strategies and ensure they comply with ever-changing tax laws. This reduces the risk of errors and penalties. Solutions like Avalara and Intuit’s ProConnect Tax Online use AI to simplify tax planning and compliance tasks.

5. Client advisory and strategic decision-making

AI-driven analytics provide deeper insights into client data, enabling you to offer more strategic advisory services. They can offer clients data-driven insights and recommendations that drive business growth and efficiency. Tools like Sage Intacct and Oracle NetSuite provide advanced analytics and reporting capabilities that enhance advisory services.

6. Fraud detection

Top-quality AI accounting software can detect irregularities or anomalies in financial data, which is vital for catching and preventing fraudulent activity and conducting internal audits much more smoothly.

Generative AI in accounting can even help design high-level strategies against fraud within the specific constraints of the client business’s resources. It can also design specific statistical models to detect anomalies in datasets based on the constraints you feed it with.

Read: Accounting technology trends of 2024

Challenges in adopting big data and AI into accounting workflows

1. Data security and privacy concerns

Adopting big data and AI involves handling vast amounts of sensitive financial information. Ensuring the security and privacy of this data is crucial, as any breach could lead to significant legal and financial repercussions. Therefore, you must invest in robust cybersecurity measures and comply with data protection regulations to safeguard client information.

2. High initial investment and implementation costs

The transition to big data and AI technologies requires substantial financial investment. This includes the cost of acquiring new software, hardware, and possibly even new infrastructure. Additionally, maintenance, updates, and support are ongoing costs. If you’re a small practice, these costs can be a significant barrier to adoption.

3. Lack of skilled personnel and training requirements

Successfully implementing and utilising big data and AI tools requires a workforce skilled in data analysis, ML, and AI technologies. Many accountancy practices may find that their current staff lacks these specialised skills, necessitating investment in training or hiring new employees with the requisite expertise.

4. Integration with existing systems and processes

Integrating big data and AI solutions with existing accounting systems and workflows can be challenging. Compatibility issues may arise, requiring significant customisation and potentially disrupting daily operations. You must carefully plan and manage the integration process to minimise disruptions.

5. Resistance to change from staff and clients

Adopting new technologies often meets with resistance from staff and clients accustomed to traditional methods. Your staff may fear job displacement or struggle to adapt to new tools, while clients may be wary of the security and reliability of AI-driven processes.

Effective change management strategies are essential to address these concerns and ensure a smooth transition.

How outsourcing accounting service providers help accountancy practices take advantage of big data and AI

1. Access to advanced technology and expertise

Outsourcing providers often invest heavily in the latest AI and big data technologies, which might be prohibitively expensive for individual practices. For example, they might utilise AI-driven software for automated data entry and real-time financial analysis.

By partnering with such a provider, you can access these sophisticated tools and the expertise to use them effectively without incurring high direct investment costs. This also allows you to offer high-value services like predictive financial modelling that you otherwise couldn’t.

2. Customised data analytics solutions

Outsourcing providers can develop and implement tailored data analytics solutions that address the unique needs of each accountancy practice.

For instance, a provider might create a customised dashboard integrating various data sources to provide real-time insights into a client’s financial health. An example could be a custom-built AI tool that helps forecast cash flow for manufacturing clients based on industry-specific data trends.

3. Scalable data management services

Outsourcing providers offer scalable solutions that can handle varying data volumes efficiently. For example, during tax season, you might experience a surge in data processing needs.

An outsourcing provider can scale up their resources to manage this increased workload seamlessly, ensuring you can operate smoothly without interruptions. This scalability is crucial for practices that experience seasonal fluctuations in their data management needs.

4. Enhanced compliance and risk management

Outsourcing providers stay abreast of the latest regulatory changes and use AI to monitor compliance continuously.

For example, they might employ ML algorithms to analyse transaction data to comply with the latest tax regulations, automatically flagging discrepancies or potential issues.

This proactive approach helps ensure your clients comply with all regulatory requirements, reducing the risk of audits and penalties. A specific example could be an AI system that monitors VAT compliance in real time, ensuring all transactions adhere to the latest HMRC guidelines.

5. Integration support and seamless workflow

Outsourcing providers assist with integrating big data and AI tools into existing accounting systems, ensuring a smooth transition. For example, they might help you integrate an AI-powered expense tracking tool with your existing accounting software.

This support minimises disruptions and ensures that the new tools enhance, rather than hinder, productivity. They can help you quickly adapt to new technologies and maintain efficient workflows by providing hands-on support and training during the integration phase.

Learn ways to grow your accountancy practice in 2024.

Over to you

AI and big data technologies can automate several tasks in accounting processes, perform analysis, and derive hidden insights for practice growth. You can choose a dependable outsourcing provider to outsource their clients’ accounting tasks using AI.

But the key here lies in choosing the right provider to cater to your business needs and requirements. When choosing an outsourcing firm, security, compliance, costs, and integrations must be considered.

With the best outsourcing provider like Stellaripe, you can scale and dominate their market with accurate insights. Book a free consultation with our team to find out more about outsourcing.

Solo success: How outsourcing accounting services can elevate your one-person practice

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As someone who runs a one-person accountancy practice, you’re probably used to doing everything yourself. Being in control lets you bring your unique touch and high standards to every service you render.

As your practice grows, you might struggle to handle the higher volume of work. At that point, why not outsource some of it to an external accounting company? Entrusting someone else with your valuable client work might seem daunting.

But if you choose the right outsourcing partner, it’s one of the best ways to expand your business reach and save your own time.

In this blog piece, we discuss why outsourcing accounting and bookkeeping services makes sense as a sole practitioner and how you could prepare for it.

Benefits of outsourcing accounting services as a sole practitioner

1. Expertise at your fingertips

When you choose a top-rated accounting outsourcing company, you work with someone who has spent years honing their skills and efficiency. They’ve handled all kinds of clients and know the latest laws and regulations back and forth.

That means they will fulfil your tasks quickly and accurately and have ideas for how your clients can cut costs or introduce time-saving measures.

2. More time, more value

As you grow your sole practitioner business, certain accounting services may no longer be the best use of your time. While bookkeeping, filing taxes and managing payroll are essential, they don’t necessarily need your specific input.

When outsourcing accounting services, you can save your practice hundreds of hours a year that can now be devoted to client prospecting, client relationship management, advisory accounting services, upskilling, or simply more rest for yourself.

3. Cut costs, not corners

Sure, when you outsource to someone, you need to pay them, which is an extra cost. However, think about if you were to hire an in-house accountant. You’d have to pay them a regular salary and benefits, which would be a pretty hefty expense. An outsourced accountant bills you only for the work done and nothing else. Or think about doing it all yourself. You can, certainly, but you may find it overwhelming to take on so many responsibilities. Especially as a sole practitioner, your time is probably best spent on services involving the high-value strategic insight that only you can bring — and for which you can charge a higher fee. By outsourcing accounting services, you can eliminate the time and effort you put in doing client bookkeeping or payroll for example.

4. Hassle-free human resources

An accounting outsourcing company is only involved with you to the extent of their service. They’ll not have any stake in your business decisions or access to any data that you don’t share.

This helps keep things professional and avoids the potential conflicts that can arise from in-house employees having more of a say or from the need to balance work relations with social relations when interacting with an employee daily.

On the plus side, outsourced accountants can offer an outsider’s perspective and help you see things you might otherwise miss.

5. Flexibility to flourish

When your practice scales, you can outsource more work to your external partner. When you’re cutting back for a while, you can modify the contract or even pause it for as long as needed.

Stellaripe, for instance, offers outsourcing accounting services under three types of engagement models so the clients can get the most out of their investment. Everything is scalable and flexible when you outsource, unlike an in-house hiring situation which is more rigid, irrespective of how your practice is doing.

6. Robust accounting tech

As you’ll already know, accounting software can be expensive. While you probably already use some as a sole accounting practitioner, getting the latest specialised tool for each separate service (payroll, tax returns, bookkeeping, etc.) is likely not financially feasible.

Instead, you can work with an outsourced accountant who specialises in that specific service and will thus already have the latest tech installed.

They’ll execute the service and send the deliverables in a format that integrates with your tech. They can also guide you through using the specialised software so that you can choose to install it later if it makes sense for your practice.

7. Improved data security

Outsourced accountants stay current on the latest data protection standards and security measures to ensure the safety of client data. You and your business clients will benefit from those safety measures, too, no matter what functions you outsource.

Ready your systems and processes for outsourcing accounting services

Working with an outsourced accountant isn’t just about emailing them a task and leaving them to it. You must ensure your systems are integrated with theirs and agree on business processes, timelines, and communication.

Are there specific tools you use for client account management or time tracking? How often do you expect updates? Have a straightforward onboarding process in place so that the outsourced partner knows exactly what you expect of them, and you can clarify any questions up front.

Set up your accounting software for success

In today’s tech-first world, your accountancy practice is only as good as the software you use to run it. As you prepare to work with an outsourcing partner, it might be a good time to upgrade to the latest accounting software.

Not only will it make it easier to manage the tasks you outsource, but it will also come equipped with the latest accounting formats and relevant legal standards. That’s an investment worth making when outsourcing accounting services.

Final words

The bigger your accounting practice grows, the more you’ll need to invest in its long-term viability, and the easiest way to do so is by asking for help when you need it. There are so many advantages of outsourcing accounting services!

By having a trusted outsourcing partner by your side, you can hand over certain functions to them and know that it’ll get done accurately and on time, leaving you free to focus on other parts of your practice.

Of course, be sure to do your research on different service providers and pick the one who resonates most with your goals. Make the right choice now, and you’ll have a reliable partner for the long term.

You can always outsource your workload to Stellaripe’s capable team without burning a hole in your pocket or compromising quality. Book a free consultation to understand why outsourcing to us could be the step to take for effective practice growth.

How to grow your accounting practice in 2024

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Now that tax season is long over, it’s time to think about the new tax year and how to make it even better for your accountancy practice than the last. You see, the accounting industry is competitive, and client expectations are going up by the day.

But unlike what you might think, scaling an accountancy firm sustainably involves a few simple approaches and best practices that, if done correctly, can be implemented.

Whether you’re looking to onboard new clients, invest in new tech, or attend more conferences to build your brand, several business growth tips for accountants will help you up your game in the tax year 2024-25.

How to grow your accounting practice in 2024

1. Expand your client base with targeted business onboarding

Focus on acquiring clients in sectors where you already have expertise or see potential for growth. Since business returns tend to be more complex and lucrative than individual returns, targeting clients in industries like tech startups, local manufacturers, or non-profits can be particularly beneficial. These clients are much more likely to opt for additional services like bookkeeping, financial analysis, and forecasting in addition to basic tax services. However, to accommodate this growth, assess and upgrade your staff’s capabilities. Conduct training programs for them on advanced tax issues and specialised software. In addition, hire experienced outsourced accountants with industry-specific knowledge. Enhancing your processes through automation and streamlined workflows will also help you handle an increased client load without sacrificing service quality.

2. Enjoy operational efficiency with an integrated tech stack

Clients increasingly prioritise accountancy practices that make the end-to-end client experience smooth.

To meet these expectations, thoroughly evaluate your current technology stack and determine whether upgrading any software or finding a better way to integrate the tools you currently have makes sense.

Find out if there are gaps in client communication, data management, or accessibility. Implement a unified software solution that facilitates smooth, secure interactions across all touchpoints.

For instance, a platform like Xero or QuickBooks Online offers end-to-end features from scheduling and communications to invoicing and reporting, all accessible via client-friendly portals. These tools are also easy to learn and incorporate into your daily routine.

3. Drive revenue with strategic cross-selling

Offering extra services to your existing clients can often be easier than finding and onboarding new clients.

We recommend using data analytics to identify which types of clients to target and the services they are most likely to be interested in. For instance, a client using tax preparation services may benefit from estate planning or financial advisory services.

It’s also vital to pay close attention to client satisfaction at each level of the cross-selling process, as even small changes can have a massive impact on whether or not customers continue to buy.

Implement training programs for your staff to enhance their ability to identify cross-selling opportunities and articulate the benefits effectively to clients.

4. Boost growth through client and partner referrals

Referrals from those who’ve worked with you are a great way to attract new prospects with a positive impression of your accountancy practice.

Consider creating a formal referral program that rewards the referrer and the new client. For example, offer a 10% discount on the next service for each successful referral or introduce a loyalty program for repeated referrals.

In addition, encourage your clients to share written testimonials on Google Business Reviews or your social media pages, as these improve your search ratings and serve as a first line of validation for your prospects.

Communicate the value and impact of these referrals regularly through newsletters or personal emails to keep your network engaged and appreciative of their contributions.

5. Adopt a multi-faceted marketing strategy

Building a successful accounting practice requires you to market consistently. For maximum impact, diversify your tactics to encompass both offline and digital marketing strategies, including:

  • Share high-quality content that positions you as a thought leader, such as articles on tax planning, audit checklists, and personalised financial advice.
  • Utilise video content to explain complex accounting issues in an accessible way and host webinars to reach a wider audience. For example, you can share relevant accounting tips and tricks and industry news through Instagram Reels.
  • Localised SEO strategies can help you target potential clients in your geographical area. Optimise your website and content for local search terms, such as “accountants in [City Name]” or “best tax preparer near me.” Ensure your practice is listed on Google Business Profile (formerly Google My Business() and other relevant online directories.
  • Join and be active in professional groups and accounting societies. These can provide valuable networking opportunities, potential client leads, and resources for professional development. To further establish your expertise, offer to speak at society meetings or write articles for their newsletters.
  • Send regular newsletters that provide valuable tax tips, reminders for critical tax deadlines, and updates about changes in tax legislation to keep your clients informed and engaged. Tailoring content to meet the specific needs of different client segments—such as small businesses, individuals, or sectors you specialise in—further personalises the reading experience.

How to implement accounting firm growth tips

1. Reflect on what went well

Too often, we’re caught up in and bogged down by the negative things—like missed deadlines, clients that parted ways, and losses incurred. That’s why you must start on a good note by looking back on your successes during the tax year that just ended.

List them out and allow yourself to feel good about them, whether they involve successfully navigating complex tax law changes, staff professional development and certifications, or successful audits. By celebrating these things, you also remind yourself to aim to repeat those things in the future.

2. Evaluate what can be done better

Having a clear idea of the challenges you face is vital to knowing exactly the problem areas and what you need to work on. In addition to introspecting independently, the best way to see how you can improve is by asking the people around you.

These include:

  • Colleagues – The people you work with will often have fresh insider perspectives on how to smooth things out at work. This will also help ensure that you’re all aligned strategically from the get-go.
  • Communities – Your industry peers can be a great source of support and ideas. Find professional membership groups in your area or online, and read the reviews to ensure they prioritise actual support and have a clear code of conduct.
  • Clients – Talk to your clients about their experience with your practice and ask what improvements they’d like to see. For instance, a standardised onboarding process can save everybody’s time and effort.

As a starting point, the new tax year is an excellent time to re-evaluate your pricing models and see whether you want to increase (or decrease) any of your rates.

3. Plan how to get it done

The best way to achieve the goals you’ve committed to is to craft a feasible plan to work through each. For example, the SMART framework stands for Specific, Measurable, Attainable, Relevant, and Time-bound.

A SMART goal for your accountancy practice could be structured as follows:

  • Specific: Enhance the efficiency of tax filing processes.
  • Measurable: Reduce the average time spent on each tax return by 15%.
  • Achievable: Implement a new tax preparation software and train staff on its use.
  • Relevant: Increasing process efficiency can free up staff time for more complex tasks and client engagement, improving service quality and practice profitability.
  • Time-bound: Accomplish this reduction within the next six months.

When you set goals with all these five attributes, you’re far likelier to accomplish them. And, of course, don’t forget to check in on your progress periodically to see how you’re measuring up against those goals.

Things to remember as you go forward: How to grow your accounting practice

1. The rise of AI

It’s no secret that AI is transforming processes everywhere. In accounting, it can be a game-changer in terms of automating routine tasks, so be sure to research ways to incorporate AI into your accounting workflows.

And if you were worried about AI replacing human jobs, don’t worry – the critical thinking skills and business experience you bring can never be replaced. Think of AI as an assistant that frees up your time for the high-value tasks you excel at.

2. The role of advisory services

As AI takes over routine tasks, the role of accountants is moving increasingly towards advisory services like business strategy and financial planning.

This involves using your expertise and industry experience to understand your clients’ needs and offer them personalised business advice. It might be worthwhile investing in skill-building courses to help you accomplish this better.

3. Upholding professional standards

The emergence of AI-powered technology also has a flip side. In 2024 and beyond, it’ll become more important than ever for accountants to maintain their professional integrity by keeping sensitive client data safe. When using AI, it’s important to be transparent about it and to ensure that decisions made by AI are in line with legal and ethical standards.

Final words

Having a visible and authentic industry presence is more important than ever this tax year. Achieving this requires thoughtful planning, continuous visibility into the client experience, and the right tech stack to keep things moving.

Remember that a little extra strategising now can make all the difference later. And if you need assistance, don’t hesitate to ask Stellaripe experts for outsourcing support. We have the proper knowledge and tools to help you grow your accounting practice.

Call us at 20 3475 3537 or fill out this contact form. We’ll be happy to answer your growth or outsourced-related questions as soon as possible.

How impactful is Generative AI in accounting

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Generative AI refers to a subset of Artificial Intelligence (AI) technologies that can generate new content, including text, images, audio, and video, that resembles human-created content.

It works by learning from a large dataset of existing content and then using that information to produce new, original content that did not previously exist.

The technology behind Generative AI includes various Machine Learning (ML) models, with deep learning neural networks being particularly prominent.

Generative AI is not just a cool buzz word thrown around by businesses and individuals. It has become an integral part of every function and is, in fact, giving humans stiff competition when it comes to executing tasks faster and more accurately.

AI in accounting software, particularly, is fast becoming the gold standard for accounting processes everywhere, and with Generative AI, accountants can take process automation and efficiency even further.

In this blog post, we will take a quick look at how Generative AI in accounting can transform how your practice works.

Use cases of Generative AI in accounting

The practical applications of this technology in your sector are manifold. Let us talk about some of the most significant benefits of Generative AI:

1. Integrated tax, payroll, financial reporting, and document automation

By analysing transactional data, Generative AI can generate comprehensive financial reports, including income statements, balance sheets, and cash flow statements.

It can prepare and file tax returns by automatically identifying deductible expenses, calculating tax liabilities, and suggesting optimisation strategies for tax savings.

Regarding payroll, Generative AI can undertake research, payroll, leave management, bank reconciliation, and task assignment. It can create financial documents, contracts, and agreements based on templates and specific input data.

This automation can help you focus on analysis and advisory roles rather than manual report preparation.

2. Automated data entry and transaction coding

Generative AI in accounting can potentially lead to the complete redundancy of tasks like manual data entry, formatting, or invoice analysis by automating the entry of transactions into accounting systems and categorising them into the correct accounts based on learned patterns. This will significantly reduce manual data entry errors in bookkeeping and save time, allowing you to focus on the strategic tasks that call for your unique perspective. Going forward, we will likely see a complete overhaul of tools and technology used by accounting functions such as ChatGPT and other large language models (LLMs) expand in ability and scope.

3. Financial forecasting and analysis

This is one of the most fundamental applications of AI in accounting and finance. AI-powered software can study market trends, parse large volumes of data and draw deep insights from it, supplying you with timely and relevant inputs on the decisions you wish to make.

You can create detailed financial models and forecasts, helping your client businesses with budgeting, financial planning, and investment decisions.

4. Learning and development

Generative AI in accounting can help to train yourself and your practice staff in relevant skills and knowledge areas.

The technology can draw up summaries of books and research papers, craft step-by-step tutorials and questionnaires, and offer custom tips and prompts based on the individual’s weaknesses and strengths.

It can also help you with complex tasks by designing custom Excel formulas. In other words, it serves as a personal, all-knowing tutor to accountants looking to level up their technical skills.

5. Audit and compliance

Generative AI in accounting can analyse large volumes of financial data to identify anomalies, potential fraud, or errors, making the audit process more efficient and accurate. It also ensures compliance with constantly changing tax laws and financial regulations.

The penalties for improper financial reporting can be massive, so having AI accounting software to check everything for accuracy is a big plus. Generative AI can also handle tasks like filling in complex policy documents or writing footnotes to financials.

6. Fraud detection

Top-quality AI accounting software can detect irregularities or anomalies in financial data, which is vital for catching and preventing fraudulent activity and conducting internal audits much more smoothly.

Generative AI in accounting can even help design high-level strategies against fraud within the specific constraints of the client business’s resources. It can also design specific statistical models to detect anomalies in datasets based on the constraints you feed it with.

Benefits of AI in accounting

There are several clear benefits to the introduction of Generative AI for accounting firms. For instance, the technology can:

  • Reduce the time required for accounting processes through automation
  • Easily scale up or down support based on the volume of transactions and data
  • Pinpoint areas where your client businesses can reduce costs, such as by choosing different vendors or automating certain tasks
  • Offer tailor-made recommendations that are actionable right now and not at the end of the accounting period
  • Reduce human errors in data analysis, leading to more accurate financial statements and tax filings

What does the future of Generative AI in accounting hold?

Many have raised concerns about whether AI in accounting and finance will “replace” humans. Remember a similar debate when outsourcing entered the picture in the 1990s?

Well, AI experts agree that advanced technology cannot take over things involving creativity and abstract problem-solving.

Moreover, this technology is only as good as the prompts it is fed with, so you must invest in skill-building and gaining practical knowledge of how AI works. You should learn the art of issuing smart commands to tools like ChatGPT for optimal results.

Please be aware, there will be a learning curve to contend with, especially for accountancy practices that are not tech-heavy to begin with.

Get ready for Generative AI and accounting outsourcing

Accounting outsourcing, when combined with the capabilities of Generative AI, represents a transformative shift for your accountancy practice. This fusion allows you to delegate routine tasks to external specialists, optimising operational efficiencies and focusing internal resources on higher-value activities.

This arrangement also opens up new avenues for service offerings, including real-time financial analysis, predictive insights, and personalised financial advice. It empowers you to deliver superior client value, and adapt more swiftly to the changing financial landscape.

If you want to learn more about accounting outsourcing, contact us today!

Accounting technology trends of 2024

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Technology has revolutionised all sectors, yet our awareness of these changes varies. The impact of eCommerce and CRM platforms on shopping habits is immediately apparent to many. However, the subtler shifts in the accounting industry might not be as easily recognised.

When one says the word “accounting,” they still picture people wearing formal business attire and horn-rimmed glasses surrounded by stacks of paper, ledgers, and calculators, working through numbers by hand.

But the truth is, many accounting technology trends and concepts like Metaverse and Generative AI have taken the world by storm and are fast becoming part of the standard accounting toolkit.

In this blog post, we will talk about some of the key trends that are redefining accounting:

1. Blockchain

Blockchain is a distributed database or ledger technology that allows data to be securely stored and shared across a network of computers.

It is best known as the underlying technology behind cryptocurrencies like Bitcoin, but its applications extend to asset management, supply chain, and beyond.

Blockchain is also one of the most powerful accounting technology trends. Applied correctly, it can be a complete replacement for activities like bookkeeping and reconciliation.

Blockchain gives accountants complete clarity over financial information, asset ownership transfer, and data verification at each stage. Here are some use cases of Blockchain in accounting:

  • The technology can automate reconciliation, a time-consuming task for accountants. By recording transactions on a shared ledger, both parties in a transaction have access to a single, immutable version of the ledger, which boosts data credibility.
  • The immutable nature of Blockchain makes it an effective tool for reducing fraud. Once data is entered into the Blockchain, it cannot be altered without the consensus of the parties involved, making it difficult for anyone, including hackers, to manipulate records.
  • Smart contracts can automate various auditing processes by predefining conditions for transactions and financial reporting. These contracts can execute and verify compliance automatically, reducing the need for manual auditing and increasing accuracy.
  • Blockchain enables precise tracking of sales, purchases, and other taxable events, ensuring that all accounting activities are accurately reported to tax authorities, which, in turn, leads to a reduced risk of penalties for non-compliance.

Using Blockchain does not by any means imply that accountants will be replaced. Instead, the scope of an accountant’s role will move away from conventional tasks and towards transactional accounting, such as taking over the authentic economic interpretation of Blockchain records.

This could involve checking up on the actual location and worth of an asset whose ownership has been recorded or determining the recoverable value of a debtor. Overall, Blockchain can tremendously increase the efficiency and value of the accounting function.

2. Generative AI

Generative AI, a subset of Artificial Intelligence, focuses on generating new content and data using Natural Language Processing (NLP), specifically Large Language Models (LLMs).

This technology can analyse vast amounts of data, learn from it, and generate predictions, reports, and insights. It is no surprise that it is viewed as one of the most vital accounting technology trends to watch.

Here are some of the ways Generative AI is being used in accounting:

  • It can automate entering data into accounting systems and categorising transactions correctly, ensuring proper data organisation and minimal errors.
  • By analysing patterns and anomalies in accounting data, Generative AI can identify potential fraud or financial discrepancies more efficiently than traditional methods. Its ability to learn from ongoing transactions allows it to adapt to new tactics used by fraudsters.
  • Generative AI can optimise tax strategies by analysing tax regulations and company data to identify efficient tax compliance methods, generate tax-saving suggestions, and automate tax return preparation for enhanced efficiency.
  • It can help accounting firms provide more personalised and sophisticated services by analysing client data to generate insights and recommendations tailored to each client’s unique financial situation.

However, it is essential to note that advanced AI platforms like ChatGPT do not use real-time data, and with any AI application, it is vital to remember that there is no substitute for the human touch. Using any technology is only as good as the person manoeuvring it.

It is crucial for accountants not to depend solely on AI and to cross-verify outcomes and suggestions whenever necessary. They should not allow Generative AI to compromise the quality of their services.

Rather, they must use it to deliver exceptional client service and gain a competitive advantage. Still, Generative AI is certainly one of the accounting automation trends that pretty much every accounting firm will adopt in some way or another.

3. Internet of Things (IoT)

IoT refers to the network of physical objects embedded with sensors, software, and other technologies to connect and exchange data with other devices and systems over the internet.

From manufacturing equipment to wearables, IoT has found use in different strata of business and life in the past decade. Today, it is regarded as one of the biggest accounting technology trends to watch out for.

Accountants can use IoT to gain more detailed real-time insights into financial data, enabling greater task efficiency and accuracy.

For instance, using barcode scanners, details of a client’s purchase can be instantly scanned and sent to the accounting team, who can then automatically log in to the books of accounts through connected bookkeeping software.

Similarly, smart sensors can collect all relevant data from multiple departments like inventory and operations and instantly parse them into meaningful insights.

This allows accountants to maintain up-to-date records, be instantly alerted to anomalies or suspicious activity, and keep tabs on the client’s financial health.

Lastly, IoT can streamline compliance and reporting by automatically collecting and reporting data required by regulatory bodies.

This reduces the manual effort needed to compile compliance reports and helps accountants ensure clients meet regulatory requirements efficiently.

4. Embedded analytics

Embedded analytics involves the integration of analytical capabilities within an existing business tool. This enables users to access, analyse, and visualise data without needing to switch between different applications or platforms and gain powerful insights with ease.

In many ways, this is one of the most significant accounting technology trends. It offers a highly convenient option for accountants to get used to predictive analytics, as they can continue to use the accounting software they are comfortable with.

Here is the impact of embedded analytics in the accounting sector:

  • The technology provides real-time access to financial data and insights directly within the accounting software. Accountants can monitor indicators such as cash flow, profitability, and expense trends, enabling quicker responses to challenges and opportunities.
  • With embedded analytics, accountants can create detailed financial reports, dashboards, and visualisations directly accessible within their accounting systems. This capability makes it easier to share insights with stakeholders.
  • Accountants can automate routine data analysis tasks, reducing the time and effort required to compile and interpret financial data. This automation frees them to focus on more strategic activities, such as financial analysis, risk management, and advisory services.

Without a doubt, embedded analytics serves as a “stepping stone” to more elaborate accounting innovations. The case for investing in analytics, of course, makes itself.

With a finger on the pulse of the financial numbers, accountants can monitor the client’s financial health, invest promptly in the right opportunities, make decisions to improve their profitability and save considerably on time and resources spent.

5. Metaverse

The Metaverse is a collective virtual shared space created by the convergence of virtually enhanced physical reality, Augmented Reality (AR), and the internet. In simple words, it involves users interacting virtually in real time through simulated scenarios.

The technology offers immense potential for new ways to operate a business and interact with customers.

In the accounting context specifically, the Metaverse holds many possibilities for building client relationships across the globe and offering real-time accounting services, as well as creating a more closely connected practice staff through virtual interactions.

Everyone in the team can socialise, undergo training and have meetings in real-time with the extra benefit of a realistic presence without compromising on remote working.

In fact, US-based CPA firm Prager Métis recently opened up Metaverse virtual headquarters on Decentraland, a virtual reality platform.

Additionally, accounting firms can leverage the Metaverse to visualise complex financial data in three dimensions, making it easier to identify trends, anomalies, and insights.

This immersive approach to data analysis can enhance decision-making processes and provide a more intuitive understanding of financial information.

The emergence of this technology allows accounting firms to also offer new types of services, such as virtual CFO services, Metaverse-specific tax consulting (for transactions and activities that occur within virtual environments), and advisory services for clients looking to enter or expand their presence in the Metaverse.

According to Goldman Sachs, up to 33% of global spending could eventually be tied to the Metaverse. So, while its actualisation could still be a long way off, it is a good idea for accountants to start learning about this radical technology that could soon power digital transformation in accounting.

6. Outsourced accounting

Outsourcing has always been an integral component of the operational strategy for many accounting firms worldwide, leveraging external resources to enhance efficiency, access specialised expertise, and improve service delivery. The UK is no exception.

Although outsourcing typically does not fit in the list of top accounting technology trends, it does so in a quintessential way, thanks to technological advancements, globalisation, and the evolving demands of the accounting profession.

This year, several key factors are driving the adoption and evolution of accounting outsourcing:

  • Outsourced accounting firms provide access to an expert team with knowledge across various sectors and the latest accounting standards—valuable for accountants helping their clients navigate complex regulatory environments or expand into new markets.
  • Cloud computing has made outsourced accounting more efficient and accessible. Cloud-based accounting platforms enable real-time collaboration between accountants and their outsourced accounting firms, leading to better financial visibility and decision-making.
  • With increasing concerns about data security, outsourced accounting firms are adopting stringent security measures to protect sensitive financial information. This includes using encrypted data transmission, secure data storage practices, and compliance with international data protection regulations.
  • Outsourced accounting firms implement AI technology to automate routine tasks, improve financial decision-making, and utilise predictive analytics. This provides accountants access to advanced financial analysis, reporting, and management tools without requiring significant investment in software or staff training.

Final words

Accounting has long moved out of the realm of just bookkeeping and balance sheets, and in 2024, it is set to be more dynamic than ever, and these accounting technology trends prove that.

Stellaripe has always believed in upgrading itself with the latest tools and strategies to deliver superior customer services, gain a competitive edge, and drive higher revenues.

This blog post clearly indicates that automation, analytics and technological transformation are indeed gaining steam and, in many ways, becoming the new norm rather than just a “trend.”

Going forward, accountants must be as comfortable with technology and its evolving faces as accounting rules and know how to combine the two best to meet business goals.

They will also need to stay nimble and resilient as they adopt new trends and keep an eye on emerging ones. In short, the future of accounting is here, and it is up to accountants to define when they want to join the ride.

If you want to take the first step and learn more about optimising your accounting firm processes with outsourcing, contact us, and we will take you through its benefits.

Remote accounting done right: Proven strategies for productivity and client trust

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While for some, the jury is still out on whether remote work wins over in-person work, there is no denying that remote is a popular choice among businesses of all sizes, including remote accounting practices.

It is a great way to ensure everyone can set a work-life balance, saving on the expense of maintaining a regular office space. UK accountants are no exception, with many bookkeepers and accountants working from home either full time or part time.

According to AccountingWeb research, 4,100+ accounting professionals in the UK are adapting to current accounting trends, such as adjusting to a mostly virtual work environment with clients, leveraging new technologies, and seeking ways to improve their client engagement processes remotely.

Remote work has its downsides, though – and as a small accounting practice owner, some of these might potentially impact your ability to deliver client jobs on time, especially during the busy tax season, which has officially begun.

This transition has been part of the emerging trends in accounting that are reshaping the industry. In this blog post, we discuss the most common challenges a remote accounting practice might encounter:

1. Upholding data security with distributed staff members

Managing a remote accounting team comes with difficulties in assessing and implementing cybersecurity measures.

Most work-from-home employees will log in through their home networks or public WiFi networks at places like coffee shops – which are much more vulnerable to cyber breaches.

This creates the risk of potentially losing valuable client data, especially when financial records are in question.

Solution

Implementing VPNs, multi-factor authentication, and regular security audits can strengthen data security. Providing training on cybersecurity best practices to your practice staff is also essential. Stellaripe, for instance, is an ISO/IEC 27001 certified company and complies with it’s proven international standards.

You must mandate and require all your staff members to use company-provided VPNs and conduct periodic security training sessions.

2. Maintaining client confidence in a virtual accounting setup

If you have outsourced clients’ accounting work, there is a chance that your clients will raise concerns about your remote outsourced accountants not being well-versed with the necessary knowledge of local tax and accounting laws.

Some clients might also be concerned about sending their confidential data overseas, as they cannot physically see the security measures the accounting outsourcing company is taking. Such apprehensions could cause your accounting practice to lose valuable business.

Building trust with clients when the team is not on-site requires consistent communication and demonstrating a high level of service.

Solution

Outsourcing in the context of remote accounting often necessitates additional measures to assure clients of the security and reliability of the services provided.

This can be addressed through conducting regular reviews, check-ins, and quality audits with the outsourcing team.

After that, you can host quarterly business review calls with clients to discuss the state of their accounts and address any concerns.

3. Keeping track of tasks and productivity in remote operations

When you run a remote team, there is no foolproof way to ascertain what each staff member is doing and how long they take to do it. While tracking software does exist, they might forget to log their time, make mistakes with when they start or stop, or even falsify their entries.

This poses an especially significant challenge if your accounting practice charges by the hour – without a good way to show the number of billable hours logged, clients might contest the validity of the invoice or even refuse to pay the full amount.

In addition, the lack of visibility into what your staff is doing can make it harder for you to estimate project progress and how close you are to making deadlines.

Particularly for urgent projects or tax season, it can be difficult when keeping in the loop about how things are going is vital.

Solution

Using time tracking and productivity software like Clockify, Zoho, Harvest or Toggl can give better visibility into how time is spent. Agile methodologies like Kanban or Scrum can be adopted to enhance workflow transparency and efficiency.

Also, implementing monthly and weekly planners does help improve further visibility.

From a process perspective, look at implementing a system where your staff members log their hours against specific tasks or clients, making it easier to generate transparent billing statements.

4. Bridging communication gaps in a non-physical workspace

While several communication platforms, such as Slack and Microsoft Teams, are designed for remote work, gaps can and do still occur.

For instance, there is a chance that someone might not see the messages you leave on the team communication platform or that they experience technical issues with the platform.

Even if that delays things for an hour, incidents like that can add up – especially during the busy tax season where every moment counts. There is also the risk of misinterpreting things when they are just written as texts – particularly regarding feedback.

Even video calls often do not have the same impact as in-person meetings in terms of understanding non-verbal cues. This could lead to misunderstanding and friction between team members.

Solution

Implementing an internal wiki or FAQ section where common queries are answered can reduce delays. Project management tools like Karbon HQ, Asana or Trello can keep everyone updated on project statuses.

You can also create a shared document or platform like JIRA where all communication is logged and can be easily referenced by any team member.

5. Ensuring continuous professional development and upskilling

Accountants need to keep up with tax laws as well as advances in the industries that their clients work in. When working remotely, though, such training becomes more of an individual, ad hoc pursuit.

Keeping up with the latest accounting standards, technologies, and industry knowledge remotely requires self-discipline and initiative. And unfortunately, access to training may also be less structured than in an office environment for an accountant working from home.

Solution

To train your staff, you must regularly conduct virtual sessions or share downloadable materials, which could have much less impact than if you were to guide them in person.

This is especially true for new hires, with whom some handholding is always necessary. You can invest in L&D software platforms, such as TalentLMS, as an alternative, but those can be expensive for small practices.

6. Overcoming scheduling conflicts across time zones

One advantage of remote work is that you can hire a bookkeeper working from home halfway across the globe.

However, if the outsourcing partner does not have proper processes or protocols, this arrangement can also lead to co-ordination difficulties when you are trying to ensure everyone works reasonable hours while also getting things done on time.

This is not much of a problem with asynchronous work, but when it comes to essential team meetings or explaining client requirements, finding a time that works for everyone can be tough.

Solution

Scheduling tools like World Time Buddy or Google Calendar’s world clock feature can help plan meetings across time zones. Flexibility in work hours to overlap with team members in different time zones can also be beneficial.

Stellaripe, for example, has established “core hours” where all our team members are available in the client’s time zone for collaborative work. This helps us clear doubts, get approvals, and finish our tasks faster.

7. Fostering team collaboration in a remote environment

Working remotely can make it harder to maintain the collaborative environment of an office. When your practice staff members are all spread out, opportunities for bonding are few and far between – as a result, they tend to feel less connected to one another.

Having a workplace culture without an actual shared workplace is also harder, which could lead to further disengagement. And finally, remote work can make your staff feel like their contributions are not seen or appreciated that much, potentially impacting their motivation as a bookkeeper working from home.

Solution

You could hold weekly video meetings where your staff members share updates and occasional virtual coffee breaks or find some online group games to keep the informal conversations and collaborations going.

This can especially be useful during the tax season when you may have to discuss client priorities and manage workload efficiently as a remote accounting professional.

Over to you

In conclusion, every working model has challenges; the same goes for remote work. However, it is important to remember that all of these challenges can be overcome with a little forethought, accommodation, and the right set of tools.

Remote work gives you access to the best and most diverse set of accountants, who will be ready to work and take ownership of their work as remote accounting becomes one of the significant accounting trends.

So, set expectations upfront, ensure everyone has the tools they need to operate, and assure them that you are there to manage and not micromanage – you will soon be on your way to smooth, successful practice growth.

Why accountants should secure Self Assessment help before it is too late

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As the tax season approaches, it is time to think about a system for completing your clients’ Self Assessment tax returns if you have not already. It can be time-consuming, and you probably already have enough on your plate as an accounting firm.

Therefore, it is a smart choice for accountants like yourself to consider Self Assessment outsourcing as a strategic decision to enhance the practice’s efficiency, accuracy, and scalability. Waiting too long to explore this option might result in inefficiencies, errors, and missed opportunities to provide better client service.

That is why we recommend taking Self Assessment help from an outsourced service provider like Stellaripe. You might be uncertain about this, especially if you have only worked with in-house teams. We get it, but outsourcing is one of the most efficient and affordable business strategies.

Let us talk about how receiving Self Assessment help from skilled offshore accountants can help your accounting firm thrive:

1. Improved client satisfaction and access to a wide pool of experts

Clients value accuracy and timeliness in their tax submissions. Outsourcing Self Assessment tax return preparation to specialists can increase client satisfaction and loyalty.

Offshore service providers have extensive experience completing tax returns for clients of all kinds. They pride themselves on their accuracy. So when you work with them, you can guarantee top-notch Self Assessment help for your clients.

Outsourcing to a specialised service provider like Stellaripe ensures that the Self Assessment process is handled by professionals who have a deep understanding of tax laws, regulations, and compliance requirements. This expertise helps ensure all tax returns are submitted accurately and in line with regulations, reducing the risk of audits and penalties.

They also have clear processes that lay out timelines and documentation needs well in advance for you to gather all the data from your clients upfront and let the outsourced team take over, getting updates from them as and when necessary.

2. Say NO to overtime and YES to better work-life balance

Overtime is part of the game when it comes to tax season. Paying overtime to your in-house staff members can be pretty expensive, specifically on top of their regular salary and benefits.

Further, offering overtime pay to handle tax returns during deadlines doesn’t consistently achieve the desired results. By outsourcing tax return work, you can prevent staff burnout and help them maintain a healthier work-life balance, ensuring they enjoy their professional and personal lives. Everyone needs a break sometimes!

Outsource your Self Assessment help, though, and you only pay a rate you agree upon in advance, no matter how many hours of work you assign the offshore team. Things work out much more cheaply that way.

3. Enjoy more time to focus on core competencies

Tax outsourcing allows accountants to concentrate on their core competencies, such as financial analysis, tax planning, business advisory, and growing their client base strategically rather than getting bogged down in routine tax preparation work.

Self Assessment tax return preparation may not be the flagship service that your practice provides or specialises in. It is a critical part of any accounting service package, though, so you absolutely should offer it – with the help of outsourced service providers.

This way, you reserve your in-house team’s time and effort for the accounting services that require creativity and internal brainstorming, which also tend to be the services clients pay more for. You also have more time left over to communicate with your client and strengthen your professional relationship, thus ensuring that they keep coming back to you.

4. Deliver scalable, economical and top-notch service

Tax return outsourcing provides flexibility and scalability, allowing accountants to handle fluctuations in their client workload without the need to hire and train additional staff.

Research shows that the cost of outsourcing your clients’ Self Assessment tax returns can be up to 50% lower than working with in-house accountants. Plus, you only pay for the services you actually use – you do not need to deal with any benefits, surcharges or hidden charges.

For instance, Stellaripe’s tax return outsourcing pricing starts from as low as £25 per tax return. This helps you plan out your accounting firm’s budgets in advance and make more accurate estimates of how much profit you must make any given tax season.

Lower cost does not stint on the service quality, though! Stellaripe, for instance, uses an extensive checklist to ensure tax returns are accurate and compliant and thereby propel risk-free tax return filings.

Outsourced accountants excel in completing Self Assessment tax returns quickly, even when the deadlines are tight. So your clients can rest assured that they would never have HMRC’s disapproval to contend with.

5. Stay competitive even during busy tax season

You do not need us to tell you that tax season is one of the busiest times of the year. With workloads piling up and last-minute delays to reckon with, your accountants can easily get overwhelmed. This ultimately affects the quality of work, leading to client losses.

By outsourcing the tax returns, accountants can dedicate more time to building and maintaining strong client relationships, ultimately increasing client satisfaction and retention.

By getting Self Assessment help from an outsourcing partner like Stellaripe, you can free up your in-house team’s time for more client-facing roles to invest in professional learning and development or simply to relax and reset.

6. Build your software expertise for the long run

Offshore tax return service providers like Stellaripe have extensive experience with tax production software, including IRIS, TaxCalc, TaxFiler, CCH, Digita, and many others.

We collaborate with numerous accountants who employ various tools. Our ongoing training programs empower our team members to become proficient with different software, ultimately enhancing their expertise and capabilities.

Contrary to what you might think, outsourcing does not actually pose any inherent risk. The software service providers use is equipped with the latest security features, assuring your critical data is in good hands.

Self Assessment tax outsourcing process

At Stellaripe, we pride ourselves on being a process-driven firm. Our dedication ensures our work aligns with your accounting firm’s priorities and objectives. If you do decide to outsource your clients’ Self Assessment tax returns, here is a general process we follow:

1. Data collection

This involves you compiling all necessary financial data, documents, and receipts of your clients for whom you must create tax returns.

We then connect to your system using secure remote desktop software. Our cloud drives are set up purposely for you on OneDrive, allowing us to access your files directly.

Our team in India also uses secure remote desktop solutions like RDP, GoToMyPC, Citrix, or VPN to access and work on your files within your system seamlessly. Learn more about our data security measures.

2. Tax return preparation

Our accountants then categorise, analyse, and prepare your clients’ tax returns. Utilising the latest checklists and tax calculation methodologies, they ensure accuracy and compliance with all relevant regulations.

3. Job review

Once the draft return is prepared, we internally self-review it to make sure all income sources are reported and deductions are claimed, as we strongly believe in maker-checker review. We then notify you to review it thoroughly and ask for any review changes.

4. Job finalisation and submission

If you suggest a few changes or corrections, we do that quickly. When you are satisfied with the tax return we prepared, we will submit it to HMRC on your behalf or share the final version with you for submission.

Our aim is always to provide you with Self Assessment support that is as seamless and efficient as possible, ensuring you receive the best possible help for your accounting firm and clients.

Over to you

We hope this blog post encourages you to seek Self Assessment help from a trusted external provider this tax season before it gets too overwhelming for you and your team.

Therefore, evaluating Self Assessment outsourcing options sooner rather than later can be a wise move for accountants looking to streamline their practice and remain competitive in the market.

Stellaripe specialises in Self Assessment tax returns for UK accountants like you and would happily share our fast, accurate and affordable support with you. Get in touch for a free consultation today!

How to raise your accounting fees while exceeding client expectations

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The accounting industry today is more competitive than ever. Modern customers expect highly specialised services tailored to their exact needs and designed to bring in results.

With increasing global connectivity, they will not hesitate to employ international accountants if local ones do not meet the mark.

Under these circumstances, how does your accountancy practice stand out and attract high-paying clients? There is no easy answer to this – you will just have to offer the kind of service and industry know-how that no one else in your niche can match.

In this blog post, we offer some best practices for you to apply so you can charge higher accounting fees:

1. Consider choosing a specific niche

Given the sheer number of skilled accountants, focusing on one niche such as advisory accounting or any specific industry such as startups or e-commerce or even farming, will help you attract the most relevant clients and raise your rates as a specialised service provider.

For example, the accounting needs of the legal industry are very different from those of the retail industry – and within the legal industry too, corporate law firms will need to treat their books differently from criminal law firms.

When you choose one niche, you can invest in acquiring the skills and industry insights to know that niche inside out, optimise the service you provide, and charge higher accounting fees.

2. Price according to value

Most accountancy practices start by charging on an hourly or project-based model. As you gain experience, however, it makes sense to shift to an accounting pricing model where you present the value that the client will get from the project.

While this may lose those clients just looking for a good deal, it will eventually allow you to attract clients who care about tangible results and charge them higher accounting fees.

3. Have a look at your costs

A relatively easy way to improve your profits is by optimising your overhead and accounting costs. Take a look at your ledger and identify any inefficiencies in your spending, such as unnecessary software subscriptions or expensive furniture that rented pieces could replace.

You can also consider hiring an accounts outsourcing company like Stellaripe to reduce your staffing costs without compromising work volume and quality.

4. Do not underestimate the personal touch - Humanise it

As businesses grow, they will inevitably find it harder to have as much personal connection with their clients as they used to. And yet, retaining that personal touch is critical if your accountancy practice is to truly be the kind of partner your client can lean on.

While having a formal communication system is okay for the most part, think of ways to add an authentic human connection, such as by writing a note by hand to each client at the end of the year to thank them for their business.

It is less time-consuming than one might imagine, and it makes a big difference to how your client perceives you – and makes them more willing to spend that extra bit to pay for your accounting services costs.

5. Involve your clients more actively

An excellent way to build client rapport is to move beyond the traditional dynamic where you simply tell your clients why their books are the way they are.

Instead, you can invite them to events where subject matter experts explain new rules and regulations that will affect their business or where you give them a personal behind-the-scenes look at the process that goes into how you prepare their books.

You could even ask them to offer feedback on their experience with you, emphasising your commitment to making that experience as positive as possible.

6. Harness the power of advanced integrations and automation in accounting

While many accountants have already made the pivotal transition to cloud accounting software like Xero and QuickBooks, the future lies in optimising these platforms for greater efficiency and precision via:

  • Robotic Process Automation (RPA): Implementing RPA can automate repetitive tasks such as data entry, invoice processing, and reconciliation. You can not only reduce the possibility of human errors but also free up your team’s time for more valuable, client-centric activities.
  • Artificial Intelligence (AI) and Machine Learning (ML): Integrating AI and ML capabilities can help in predictive analysis, detecting anomalies, and offering tailored financial advice. For instance, AI can anticipate cash flow patterns and advise clients on potential investment opportunities or financial pitfalls.
  • Integrated ecosystems: Utilising a holistic ecosystem approach ensures that all your tools and platforms communicate seamlessly. Instead of maintaining datasets on multiple platforms, an integrated ecosystem consolidates data, offering a single source of information, which reduces time spent toggling between platforms and guarantees consistent data across all systems.

7. Invest in the sales side of the job

This is more overlooked than you would imagine, but it is vital to closing deals and charging higher accounting fees.

You need to have a streamlined sales funnel and a team of highly trained and motivated staff members who can talk to prospects, convince them that your firm is the one for them and nudge them to a conversion.

If you feel like you could use some assistance here, consider investing in a sales coach who can guide your team through the essentials of researching the client, conversation, presenting a product, convincing the listener and so on.

Remember – knowledge matters, but you need to convey that your knowledge is the right fit for the client!

8. Invest in online marketing

Again, this is an often-overlooked area but a necessary one if any accountancy practice is to make a mark in the digital age and justify charging higher accounting fees in the process.

You do not need to have the most aesthetic website around, but you do need to make sure that it is clean and easy to navigate, contains all the information a client needs to know about you, is up-to-date, search-optimised and comes with clear CTAs

Once you have revamped your website, set up Google My Business and run paid search ads targeting your ideal clients to build up a flow of leads – and as you grow, hopefully, your online marketing will be supplemented by happy clients passing the word on.

Over to you

In conclusion, these are uncertain times for all of us, but by focusing on the core essentials – strong industry knowledge, excellent execution and top-notch client experience – you will prove yourself to be an accounting firm worth investing in.

Your clients need to know that they can trust you completely, and by investing in things like streamlined cloud-based processes and the personal touch, you can show them that you are worth their time and money.

If you are looking for an expert outsourcing partner, look no further. Sort out your workload woes with the help of our experienced staff cost-effectively. Get in touch with us today.