What if I told you that your team is overpaid, you are working way to much AND you're doing a lot of the wrong work.
That would probably make you a little perplexed but I'm going to be frank with you - it's true.
When I talk to practitioners they are totally burnt out and doing tasks that should never be performed by an accountant.
Like answering client inquiries - which should be handled by an admin.
Or even preparing extensive amounts of tax returns - which can be outsourced.
Do you want to learn how to start doing less work and the right work? Well then, keep reading.
What is outsourcing?
Outsourcing is the act of hiring a third party to perform a certain type of work for your practice. Sometimes work is outsourced to individuals (like when you hire an independent designer to draft your logo); other times, to companies (like when you engage a digital marketing agency to manage your social media).
I see outsourcing becoming more and more common amongst businesses. At my live events, it's always a topic I share with attendees because it's one of the major trends for cutting edge companies. (My live events are the place for CPA firm owners to rub shoulders with other like minded practitioners and benefit from the latest practice growth strategies. For the remainder of 2018, I will be hosting a 4 city tour. Check it out here. Seating is limited since I keep these intensives small for maximum one on one time.).
Should you outsource? In my experience, third-party contractors have been an integral part of the rapid expansion of my practice. However, there are a number of factors involved in making the decision to outsource. For yourself, take a look at the drawbacks and benefits.
Less motivated? Is an outsider going to be as passionate about your business as you, or one of your employees? Maybe, maybe not.
Less control. The outsourced professional manages his or herself. You’re not there to look over their shoulder every few minutes – and that’s a good thing. However, this presents a challenge for “control freak” practitioners. You have to be willing to trust a contractor to do their job, although it’s OK and frankly important to check in periodically to assess progress and goal alignment.
Possible security risk? Some types of tasks may require sharing confidential information and/or proprietary knowledge. The smart practitioner will have a formal written contract with an outsourced partner containing a clause that addresses this.
Incompatible standards? Can you trust outsourced workers to hold themselves to your high standard? Will the work product be excellent, or just mediocre? Will the contractor put in the least possible effort, as long as she’s getting paid? Will he or she be detail-oriented? These are concerns for some practitioners as they should be.
You’re hiring an expert. When you outsource, you’re going directly to an expert. This person works day after day in their area of specialization, honing their skills and their instincts. They can do this task better than you can, and faster.
They love what they do. While other practitioners are worrying about a contractor’s potential lack of motivation or low standards, your practice can reap the benefits of a contractor who loves what they do. Contractors choose the type of work they do. If they didn’t love it, they’d do something else. A love of one’s work goes hand-in-hand with doing a quality job.
Lets you work on growing your practice. As the practice owner, your top priorities should be CEO-level concerns like generating revenue, client nurturing and team development – all the things that contribute to growth. If the work can be outsourced, it should be. You keep your eye on the big picture.
Saves money! Employees cost money. When you outsource, you don’t have to worry about recruitment or hiring expenses, supplying equipment, heating/cooling and lighting the workspace, etc.
A well-chosen contractor can help take your practice to new heights. Just be willing to do a little homework. Before hiring a contractor, check out examples of their work, a list of past clients, and client testimonials. Don’t let fear get in the way of benefiting from the expertise of an outside contractor.
Start doing your research NOW, before tax season, so you can make it home for a few meals with the family.
If you'd like to hop on a call about other strategies to make this tax season better than ever, email email@example.com to schedule a call.