As a business owner, it is natural to look for ways to increase your bottom line and reduce costs. In our last blog on 8 Ways to Reduce Costs for Start-Up Real Estate Agencies we discussed various ways start-up agencies can minimise costs. This included shopping around on items like software, insurance and considering a virtual office as opposed to bricks and mortar.
When it comes to minimising costs, the one place you don’t want to skimp is outsourcing your trust accounting.
We’ve outlined our top 5 reasons why you should keep your trust accounting local as opposed to outsourcing overseas.
REAL TIME COMMUNICATION WITHOUT TIME DIFFERENCES
There will be times you need to contact your trust accountant on the spot. Outsourcing overseas means time differences that can play havoc with your deadlines. Working with a local agency means no delayed response. Any emergencies that arise can be dealt with on the spot rather than communicating via email. Information can be lost in translation and interpretations of instructions misunderstood. There may also be matters that cannot be relayed via email and require personal contact.
KNOWLEDGE AND EXPERIENCE
When it comes to trust accounting, experience is everything. You want someone who has walked the walk, and not just talked the talk. You want someone who has been in your shoes before. Someone who knows and understands the limitations of your software. Most importantly, they should understand Australian laws & state regulations and why we perform things in a certain way. There are some things a textbook just cannot teach you – and that comes only from experience.
When outsourcing overseas the risk of under par privacy levels can come into play. Outsourcing within Australia means there is a lower risk of your client’s information being sold or accessed unlawfully.
Outsourcing overseas means that you may subjected to the time differences which can wreak havoc on your business. The overseas outsourcing company will perform the trust accounting functions in their local time, which can affect your compliance and leave property managers chasing their arrears and urgent disbursements. End of Month reporting is complex as it is without adding the addition of time differences to the mix. Public holidays will also not be an issue if outsourcing within Australia.
One of the greatest assets of a business owner is having a reliable team. Knowing you have a dependable team means you’ll sleep better at night. You know the work will be consistent and your team is there to rely on in both the good and the bad.
The appeal of outsourcing due to the reduced cost is appealing. Thoroughly research the company before making your decision.
If you are looking to outsource your trust accounting, get in touch with our team of Angels to see the difference we can bring to your business.