The need for outsourced services is constantly on the rise, as the global market spending on outsourced services increased by over 40% in the last five years.
And outsourced financial services are not an exception, particularly for small and medium enterprises and startups that may not need a whole in-house finance team and where hiring a fractional CFO often makes more sense.
In this article, we'll cover everything you need to know to start outsourcing financial services and the most common solutions available.
Financial Planning and Analysis (FP&A) is one of the most important financial operations as it includes a range of activities like creating financial projections, financial modeling, budgeting and analysis, which are essential for your company's financial well-being.
See also: FP&A vs accounting
If you're a business owner with limited experience in finance, it's highly recommended to outsource financial data analysis to experts who can help you with decision-making, budgeting, setting goals and managing risks.
If you don't want to spend a fortune on an outsourced or in-house team of financial experts, Fuelfinance can be an excellent alternative.
It's not only one of the best financial analysis software on the market, but it's also super user-friendly and comes with unlimited support from our expert team, who will act as your outsourced CFO.
Here are its key features:
Client stories
Case study #1
Teaming up with Fuelfinance, a globally recognized company specializing in smart pet devices, Petcube was able to find solutions that were five times more efficient and ten times more cost-effective compared to their previous software. This not only increased profitability but also made them confident about the future of the business.
“With Fuelfinace we received a 5x better solution that was 10x cheaper, than our in-house financial department. Fuelfinance made a major contribution to our profitability and gave a peace of mind about our business’ future”
Yaroslav Azhnyuk
Co-Founder at Petcube
Case study #2
O0 Design, a full-stack design studio, partnered with Fuelfinance to improve its financial management. They now demonstrate impressive year-over-year growth of 2x, attributing their success to informed decision-making driven by data insights derived from our tool.
“Fuelfinance made us realize that finances can be hassle-free. Plus, it’s a great team of professionals who are on the same page with us. Now all our decisions are based on real data.”
Illia Krupenikov
GM at Ozero.Design
Case study #3
Hampton, a prestigious membership community for CEOs, asked Fuelfinance to get rid of a headache with finances. Fuelfinance helped Hampton get control over their finances and adapt their reporting to meet the evolving needs of a growing business.
“Fuelfinance has been able to reflect the flexibility of our operations as we grow in finance and tailor the reporting to our changing needs”
Jordan DiPietro
CEO at Hampton
Pricing
*You can choose between paying monthly or quarterly, whichever is more convenient for you.
Book a demo call with us to see our financial planning and analysis features in action.
User rating
Capterra: 5
G2: 4.9
Accounting and bookkeeping are both fundamental parts of small business financial management, but many businesses decide to outsource them from the beginning because they can be time-consuming as they need a lot of precision and attention to detail.
If you're not sure what the difference between these two outsourced finance services is, here's a simple explanation:
Bookkeeping focuses on simply recording and organizing financial transactions, while accounting includes interpreting, classifying, analyzing, reporting and summarizing the financial data.
QuickBooks is one of the most used accounting systems that provides a simple method to organize your books and finances and store them on a cloud, even if you don't have a dedicated accounting department to do all that for you.
Here are its main features:
If you want to explore other accounting tools, check out the best QuickBooks alternative options or this article that compares Xero vs QuickBooks in depth. If you like QuickBooks, check out our top 5 QuickBooks integrations.
Pricing
User rating
Capterra: 4.3
G2: 4
In large companies, payroll administration typically falls into the accounting or human resources department domain. However, in startups and small businesses, payroll is often managed directly by the owner, as there are not enough in-house employees to cover this role.
As a founder, this repetitive task can take a lot of your time and prevent you from focusing on the company's growth.
That's why it might be a good idea to start thinking about outsourcing it, but if you can't afford to pay someone else to do it, here's an excellent tool that can help you manage your financial department.
Gusto is a professional payroll processing software used throughout HR departments, but it's also very simple to use even for those who have limited experience.
The reason why we've chosen Gusto over some other payroll tools is that it can be used for both for paying in-house employees and contractors.
Its main features are:
Pricing
User rating
Capterra: 4.7
G2: 4.5
Tax laws and regulations are non-stop changing and staying on top of all updates often feels like a full-time job. It's no wonder that most business owners outsource them for peace of mind.
Tax compliance errors can result in costly penalties and legal issues, and outsourcing tax management to experienced professionals helps you mitigate the risk and stay compliant with all the regulations.
TurboTax is the most reliable way to stay compliant with tax regulations, simplify tax procedures and eliminate manual work, which also helps reduce the risk of human error.
Here is why we've chosen it:
Pricing
TurboTax offers different plans for personal and business taxes. Here are its two business plans:
*Both plans include Audit Defense protection, with no additional cost.
User rating
Capterra: 4.9
G2: 4.4
If you work in the B2B domain or have to deal with a lot of vendors, you know how important it is to manage your invoicing the right way.
Business owners opt for this type of outsourced financial management services not only because it saves them time but also because having a professional deal with it offers you legal protection, simplifies tax filing, payment tracking and many more things.
We've chosen Invoices as it has an excellent mobile app that is great for tracking paid and unpaid invoices, sending reminders and accepting payments in real time, wherever you are.
Here are its main features:
Pricing
*Both plans charge processing rates that go from 1% to 6%, depending on the payment method.
User rating
Capterra: 4.7
G2: 4.7
If you're a startup founder or a small business owner, managing payrolls, performing accounting activities or planning and analyzing your finances can be pretty overwhelming.
The same goes for juggling between multiple financial and accounting services and online tools.
That is why we created an all-in-one tool for comprehensive outsourcing finance – Fuelfinance. It's FP&A software that integrates with various apps, thus helping you manage all your financial functions in one place.
With Fuelfinance, you can forget about time-consuming tasks and additional costs and relax knowing that you can always turn to our team of experts for help.
If you're ready to outsource financial services and free up your time to focus on other things, book a demo call to explore the Fuelfinance tool.
Financial services outsourcing means contracting external finance professionals or using software to handle specific tasks such as doing taxes, payroll, invoicing and accounting operations. This approach can lead to notable cost savings while also ensuring high quality of work due to the expertise and specialized skills of the outsourced professionals.
Accounting services outsourcing involves hiring an external accounting team or company to help with tasks such as bookkeeping, financial reporting and tax preparation. Some companies outsource accounting tasks monthly or quarterly, but if you're a small business owner, it might be enough to do it once a year when taxes are due.
Companies use finance and accounting outsourcing services to get access to financial experts without the need to hire them full-time, which helps them focus on their core activities, improve efficiency, save time and cut costs.
