When we tell accounting firms that the pandemic has resulted in a notable shift toward offshore staffing, they are still skeptical and cautious of offshore staffing! Several firms have expanded their horizons and are now considering offshore outsourcing from a new perspective.
When people hear "OFFSHORING," they automatically assume that we're talking about replacing their in-house staff or firing them. But that is not the case as offshore teams can be hired alongside the onshore team; they can be bought on board for just one project or a certain period. Besides, offshore outsourcing teams with a good track record save you time and money compared to hiring new employees.
Creating an offshore team allows for a reduced workload to maintain a much improved work-life balance for your employees. In addition, it will enable your onshore managers/seniors to focus on just the high-value client-facing advisory work leaving the more streamlined projects to others.
Due to the restrictions brought on by the pandemic, most US accounting firms have realized the value of outsourcing, some of their accounting to offshore firms or teams. It is estimated that over five years, US accounting firms plan to outsource over 500,000 jobs to offshore employees that are 8% of their workforce, a substantial amount.
While the trend toward offshore outsourcing has grown in recent years, research shows that their success is far from guaranteed. The outcomes of their offshore efforts were assessed as "pretty effective" or "too early to tell" by 50% of those who responded to the poll.
This is a story of a CPA firm that has built a solid team of 10+ offshore employees, thereby freeing up their onshore team for more high-value client-facing work.
These days, accounting firms are more comfortable with outsourcing and remote teams, especially after experiencing the whole work-from-home situation brought on by COVID. They have no concerns in informing their clients that they are leveraging the global workforce. Most clients want wonderful service, great experience, and services at a fair price. It's the accountant's mindset more than their client's mindset. However, it always helps to be careful in selecting your offshore staffing partner.
Here are a few things to check before hiring your offshore partner
- Check out their client testimonials and references on their website and social media.
- Check for their reviews across different platforms.
- Examine their IT policies, as well as their internal data security and confidentiality policies, as well as their compliance.
- Before you sign up, look over their agreements to see whether there are any relevant clauses.
- Examine their cyber security and E&O insurance, as well as their certifications.
You may also request a virtual tour of their workplace if necessary!
Offshore hiring is being regarded as a long-term expansion opportunity, and firms have been embracing it with both hands in recent years. It's reasonable to assume that firms invested in offshore staffing have avoided the pandemic's slowdown.
CPA firm feedback on offshoring with Entigrity: "We came across Entigrity and found knowledgeable, educated professionals who're kind. Everyone we've interviewed with has been truly good. We feel the warmth and sincerity of the folks we're dealing with; these are typically young honest, hard-working people who care about doing well in school and subsequently care to do well in the workforce."
Basil Agrocosta, CPA
Agro Accounting CPA, New York
So to conclude, there has been a significant mindset shift towards offshore hiring by accounting firms. However, there are still many CPAs and Accountants out there who are still resisting this change. The best step forward would be to explore the suitability of offshore hiring for your firm.
Since the pandemic, over 250+ accounting firms have partnered with Entigrity to meet their staffing needs and build their offshore team. Every month, an average of 30 new accounting firms choose Entigrity to take the first step forward in building their offshore teams.
Entigrity™ is a trusted offshore staffing partner to over 500+ accountants, CPAs, and tax firms across the US and Canada. Our flexible and transparent hiring model gives helps firms of all sizes to hire staff for accounting, bookkeeping, tax preparation, or any other task for 75% less cost. As a firm 'run by accountants, for the accountants', Entigrity captures the hiring needs of accounting firms most precisely, providing staff that works directly under your control and management, still, you are left with least to worry about compliance, payroll taxes, overheads or any other benefits.