Book keeping tasks can be really cumbersome and resource draining. If yours is a new firm that is expanding then book keeping is definitely going to be a tough job for you, apart from being expensive. So, what is the way out of it? How can you get rid of all the worries related to book keeping, keep it cost-effective and yet book handsome profits year on year basis? The obvious answer is to outsource your book keeping tasks to Indian companies specializing in it.
Outsourcing book keeping to India can be very profitable when compared to other east European countries. There are a number of reasons for the same. To begin with, India has a large knowledge pool. You may find an equally large knowledge pool in China or Russia as well but what they do not have is proficiency in the English language and a complete understanding of general accounting practices. Another very important factor for India being the obvious choice for outsourcing book keeping tasks is the availability of trained and cheap labor. A task that can cost around $1000 in U.S. or around $700 in other European countries is no doubt going to cost lesser in India as labor costs are very low here. This can be made out from the typical annual wages of Indian masses that range from $3,500 to $7,500 for back office tasks and $5,000 to $12,000 for technical jobs.
Additionally, government policies in India are very encouraging for the outsourcing industry. The tax structure for exports is very encouraging for exporters of goods and services in India. These are a few major factors that work to Indias advantage and make it the preferred destination for outsourcing book keeping tasks.
Apart from the above mentioned advantages that Indian firms have, another important factor that has made India the preferred destination is its geographical location. India’s geographical location makes it possible for US firms to have round the clock service which is not possible with many other countries. The outsourcing firms in India work according to the convenience of their foreign clients and thus provide them with a number of options in which they can get their work done. Secondly, the data that is sent for book keeping is secure and kept very confidential. This is the biggest concern of companies that outsource their book keeping tasks and this concern is handled by Indian book keeping firms very maturely.
The overseas clients are also provided with a number of value added services along with book keeping like cash management, tax preparation, payroll processing, financial data entry and conversion, financial statement preparation, accounts reconciliation, inventory recording and analysis and many other tasks all under one roof.