Checks to make when choosing an outsourcing company

Written by

Parth Shah

Managing Partner

Making sure you undertake due diligence when choosing an accounting outsourcing company is essential. Find the steps to take in this article.

Checks to make when choosing an outsourcing company

There are many reasons businesses take the decision to investigate outsourcing; from lack of staff to a need to grow but without the associated infrastructure costs. Taking that decision is the first step on what can be a fairly uncertain road unless your next steps enable you to undertake due diligence when choosing who to partner with.

Here we look at six major steps that will help you make the right choice to outsource your business tasks.

1 Ask for references and testimonials

Nothing beats experience in the world of outsourcing and the first place to go when choosing a company is to see what others are saying about them. Reading or viewing testimonials is a good place to start. You could also ask for references from their other clients to ensure the testimonials are authentic. Any genuine company will be happy to put you in touch with their clients directly.

2 Sample work/trials

Once you have shortlisted the companies that you may want to work with, you should always ask them for a trial of their work. Again, genuine companies will offer trials as part of their sales process – either free or for a charge – just make sure that undertaking the trial doesn’t tie you in to any longer-term commitment. Asking for a trial also ensures that you get a clear picture of their style of work and allows you to decide if that is how you would like your project to be handled.

3 Check out their IT infrastructure

The company should have a reliable and robust IT infrastructure with security at its heart. You do not want your data held in an unsafe manner. Ask for full details of how they manage data, where their servers are, the security measures they have in place. Can they work remotely in a secure manner, so your data doesn’t have to leave your premises? This information is critical in your decision-making process.

4 Ask to see their current certificates

Bodies such as ISO provide their certificates to companies who have put strict procedures in place and then follow them. Each company that has been awarded an ISO certificate will be independently audited on a regular basis to make sure that they are operating consistently within their set procedures. Check what is the latest version of the ISO certificates they are holding – are they in date? It is easy to say you have a certificate, even if it has expired so make sure they are genuine.

5 Pay them a visit

It is important to fully evaluate the company you are planning to trust with your outsourced business. And the best way to do this is by paying them a visit. Some companies will even cover the cost of the visit but whether or not they do, you will truly get an impression of how the company is run if you take the time to see them within their own offices. It will also enable you to get a feel of the workplace and the company culture. This is a big step for you, you need to make sure it is a company you are happy and confident to work with.

6 Costs and expenses

Finally, once you are satisfied with the rest of the details related to your outsourcing service provider, it is time to clarify the costs and expenses that will be incurred. Effective communication is the key here. Also, it is sensible to get quotations from other companies so that you get a clearer picture of the cost trends in the industry. Remember that before finalizing an outsourcing partnership, both parties should be clear about, and agree, the costs and expenses involved. This can prevent a lot of misunderstanding and complication at later stages.

Following these tips can help you choose the right accounts outsourcing partner and move on to the next steps of a long-term relationship. Feel free to get in touch with us to talk through your outsourcing plans.

Get ready to be inspired

Looking for regular updates and inspiration to help you grow your business, attract new customers and keep up to date on all things accounting? Our monthly newsletter is short and sweet – we know how busy you are. Please tick the box and give us your email address.

     
    Newsletter Subscription