How to Build a Solid Partnership with Your Outsourced Accounting Firm

Choosing to outsource your accounting is a significant step towards greater efficiency and financial clarity. You’re not just hiring a service; you’re bringing a new, vital partner into your organization. Like any crucial relationship, the success of this partnership doesn’t just rest on the firm’s expertise. As the client, you play an indispensable role in building a collaborative, transparent, and ultimately more valuable relationship.

Whether you’re a small business owner juggling a dozen roles, a government contractor navigating complex compliance, or a non-profit leader dedicated to a mission, fostering a strong bond with your outsourced accounting team can transform them from a simple back-office service into a strategic asset. Here’s how you can do it.

1. Start with Clarity:

The root of many professional relationship breakdowns is a mismatch in expectations. From day one, it’s crucial to establish a mutual understanding of roles, responsibilities, and goals.

A detailed onboarding process is critical. This initial phase is the time to discuss goals, reporting needs, and preferred communication methods. A client should be prepared to discuss:

• Scope of Work: What specific tasks will the firm handle? Bookkeeping, payroll, accounts payable/receivable, financial reporting, tax preparation, CFO advisory? Be explicit about what is included and what is not.
• Key Deadlines: Clearly define the timelines for monthly reports, tax filings, and other critical financial events. For government contractors, this includes deadlines for DCAA (Defense Contract Audit Agency) compliance and invoicing cycles. For non-profits, this could involve grant reporting deadlines.
• Client Role and Responsibilities: What information are you responsible for providing, and by when? This includes submitting receipts, approving bills, and providing bank statements. Understanding your part of the process is key to a smooth workflow.
• Define Success: What do you hope to achieve with this partnership? Is it cleaner books, better cash flow management, strategic financial insights, or ensuring audit readiness? Sharing your vision helps the firm align its services with your ultimate goals.

2. 2. Communication is Key:

Effective and consistent communication is the basis of a strong client-firm relationship. The accounting team can’t succeed without timely information and context to do their job effectively.

• Schedule Regular Check-ins: Establish a predictable schedule for communication, whether it’s a weekly email summary, a bi-weekly phone call, or a monthly video conference to review financial reports. This prevents issues from festering and keeps the financial conversation ongoing.
• Designate a Primary Point of Contact: To avoid confusion, designate one person within the client organization as the main liaison with the outsourced accounting firm. This streamlines communication and ensures that information flows efficiently.
• Be Proactive, Not Reactive: Is a large, unexpected expense coming up? Are you considering a major purchase or applying for a new line of credit? Let your outsourced accounting team know. Giving them a heads-up allows them to provide better advice and ensure your books accurately reflect the changing financial landscape.
• Ask Questions! Never hesitate to ask for clarification on a report or a financial concept you don’t understand.

3. 3. Embrace the Tools:

Modern outsourced accounting runs on technology and will likely use a suite of cloud-based tools for accounting, document management, and communication. Your engagement and adoption of these tools are critical for efficiency and accuracy.

• Commit to the Tech Stack: Take the time to learn the basics of the software your firm uses, whether it’s QuickBooks Online, Xero, Bill.com, or a document-sharing portal.

• Keep Information Centralized: Use the designated platforms to submit documents and communicate. Sending sensitive information through scattered emails or text messages can lead to security risks and lost data.

• Automate Where Possible: Work with your firm to set up bank feeds and integrations that automate data entry. This not only saves time but significantly reduces the chance of human error leading to more accurate financial data.

4. 4. Be a Good Partner:

A successful relationship is a two-way street. While you are the client, treating the firm as a respected partner will yield far better results than treating them like a transactional vendor.

• Be Responsive and Timely: Your accounting team works on a schedule dictated by deadlines for payroll, taxes, and monthly closes. When they request information, respond as promptly as you can. Delays on your end can have a cascading effect, leading to late reports, missed deadlines, or even penalties.

• Stay Organized: While you’re hiring them to manage your finances, a baseline level of organization on your part is essential. Keep receipts, segregate business and personal expenses, and provide clear descriptions for transactions. The better the information you provide, the more accurate your financial reports will be.

• Provide Context and Feedback: Your accountants see the numbers, but you know the story behind them. Share business context that can help them interpret the data. If you’re pleased with a new report format or frustrated by a process, provide constructive feedback. This helps the firm tailor its services to better meet your needs.

• View Them as Strategic Advisors: The biggest mistake you can make is to view your outsourced accountants as mere data-entry clerks. They have a unique vantage point on your organization’s financial health. Involve them in strategic discussions. Ask for their insights on cash flow, budgeting, and profitability. For government contractors, they can be invaluable in pricing strategies and compliance. For non-profits, they can assist with grant budgeting and demonstrating financial stewardship to your board and donors.

The Payoff:

By investing time and effort into building a strong relationship with your outsourced accounting firm, you elevate their role from a necessary expense to a powerful strategic partner.

Here at Bay Business Group, we work to understand our clients’ business, their goals, and their unique challenges to provide proactive advice and help them to make confident decisions. This collaborative partnership leads to greater financial stability, operational efficiency, and peace of mind for all our clients.