This is the fourth episode in the series where Ron talks to a CPA and explains how offshore staffing is not a niche strategy anymore but becoming more common and used by more and more accounting firms of all sizes and accountants of all generations..
OFFSHORE STAFFING BECOMING A CENTRAL STRATEGY FOR MORE AND MORE ACCOUNTING FIRMS
2 Minute Read
Ron Smith: “Offshoring used to be a niche strategy, today, it is a central one used by more and more accounting firms.”
CPA: “But does that mean everyone should start hiring offshore staff? I can wait and see how things turn out for other firms.”
Ron Smith: “Everyone from baby boomers to GenXers encompass our clientele of 500+ accounting firms spanning across small, mid-size and regional accounting firms. Some of them were ahead of the curve while some just joined us recently. On an average, every accounting firm that has hired an offshore staff and worked with us for over a year has seen a 20% to 35% rise in profitability.”
CPA: “All this sounds good, yet doesn't offshoring cost local jobs? ”
Ron Smith: “To an extent you are right. But, I must give you an example, you must have seen vinyl records. From 1940s to 1980s, vinyl records manufacturing industry provided employment to hundreds of thousands of people. When cassettes became mainstream, the whole industry just vanished and so did the jobs. People had to upskill and move to another profession. The same happened with cameras and a lot many other industries. This is how disruption usually works.”
CPA: “So you are saying that those firms who aren’t using offshore staff won’t survive in future?”
Ron Smith: “It’s a global world we are living in. You can’t limit yourself or your firm. Such disruptions don’t happen overnight. It takes over a course of a few years and usually people realize it when it’s too late. I’m not asking you to be a first mover, I’m requesting you to stay with the curve and take advantage of offshore staffing.”
CPA: “What kind of tangible advantages are we talking about here?”
Ron Smith: “Glad you asked. According to the 500+ clients that we serve across the US and Canada, here are some key advantages that they have observed:
Cost Advantage - You can save upto 75% in employee cost without having to worry about compliance, payroll taxes, benefits, etc. The result is an average 30 to 60% growth in profitability.
Workload Reduction of existing staff - You can reduce the extra workload of your in-house staff by as much as 150 to 300 hours for owners/partners & 250 to 500 hours for staff members
Capacity Building - You can build capacity to take up more incoming work and boost the growth of your firm. 100+ clients of Entigrity have achieved, 20 to 30% of compounded annual growth in revenue.
Competitive Advantage - Your competitors used to be based across town. Now they may be based across the country, or even across the globe. Offshore staffing can help you in gaining new clients as you have cost advantage and capacity at the same time.”
CPA: “Makes sense. Ron, you sure know what you are talking about.”
Ron Smith: “Exactly. This is the reason why more and more accounting firms are motivated to build capacity with offshore staffing, so that they can build capacity to serve their clients in the best way possible.”
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.