Starting your own business is essentially striking out on your own; entering the business community as the captain of your own ship. However, navigating the waters of a new business usually requires a series of complementary functions that the captain and his crew may be unable to perform on their own. This is where outsourcing comes in.
Angela Lee Loy, Chairman of Aegis Business Solutions explains why outsourcing has become so popular for businesses both large and small and why it’s often a necessity for things to run as smoothly as they can. “Very often, when someone is starting a business, the most important thing is your product delivery; it’s your area of expertise, after all. To really be able to have the expert knowledge or the time to deal with the back office functions is why outsourcing is necessary.”
These days, the list of services that one can outsource is limitless but when making your foray into business on your own, there are some functions that are absolutely key for your business to function as it should, both in sense of efficiency and legality. Here are four principal services that will be beneficial to your new business:
“Very rarely does anyone starting a business have the knowledge of proper bookkeeping and filing tax returns,” Lee Loy explained. “Businesses need persons with the technical expertise to carry out these functions.”
Certainly, staff can always be hired to enter and process data or to look over the numbers but adequate accounting savvy is attained by years of training, field practice and subsequent certification. As an ACCA-accredited firm, Aegis operates in accordance with international standards; thus, our accounting staff provides a high-quality service rooted in a culture of top standards and broad expertise.
In fact, most major MNCs in the US currently outsource their financial functions, accounting included. Not having to be concerned about the books allows them to keep their focus on the target and to perform at their best.
The delicate practice of HR management is both an art and a science, in that it requires the establishment of metrics to govern the company culture while allowing for the varied needs of the staff as well as any number of unexpected circumstances that may arise.
The layered and intricate nature of these functions can prove to be quite the distraction from your company’s value proposition, especially as a young entity faced with much competition.
“HR can be very time-consuming with having to deal with the vagaries of human and industrial relations, especially in relation to kind of climate we have in Trinidad and Tobago. You need someone who can implement the correct procedures,” Lee Loy advised.
Salaries are yet another delicate matter—everyone needs to be remunerated for their work but maintaining accuracy after the adequate deductions, bonuses and other considerations requires a heightened attention to detail that can be better spent on activities such as product development, marketing and customer relationship management (CRM) strategies.
The generation of clear and readable payslips as well as the task of making these accessible to staff in both paper and virtual formats are some of what outsourcing payroll services can offer.
“It can be of value to do your own payroll, but there are strict guidelines that one needs to follow when it comes to processing salaries,” Angela Lee Loy advised, warning of the high nuisance value of taking on payroll tasks on one’s own.
Corporate governance is another crucial aspect of the functioning of a business—dealing with the incorporation of the entity, mergers, the management of shares and support for Board and shareholder meetings, to list a few of the areas.
Contracting a team to manage these crucial tasks based on a customised corporate governance approach allows you to rest assured that the matters of compliance with local legislation and due diligence are in capable and experienced hands.
Many contemporary markets are quite saturated, making launching a business from scratch more challenging than even in recent years. You and your team need to place a maximum of focus on your company’s value proposition to stay ahead of the competition and to remain steady and afloat in the current economic climate. Outsourcing the above-mentioned functions can ensure that you can give attention to the primary things, leaving the behind-the-scenes tasks in good hands.