Managing a property is no easy task. You have to take care of endless responsibilities that include maintenance, coordinating with vendors, paying staff on time, and more.
Each property you manage brings more tasks to the table and can soon overwhelm your time. The situation is more common than you think and haunts countless businesses in real estate.
On top of that, agencies have to attend to back office duties and accounting.
As a result, things can go out of control and leave you in the lurch!
Outsourcing your property management accounting
Outsourcing has remained a top solution to achieve business growth. Over 1/3rd of small US businesses outsource a range of functions to chosen partners in different countries.
Real estate agencies can also outsource their back office tasks like property management accounting. It can free up your staff and help you deal with your priorities.
Best of all, accounting is one of the top functions to be outsourced. According to the US Small Business Administration (SBA), it is a perfect option for bridging a talent gap.
That means you don’t have to be a financial expert or even handle your books. In addition, you don’t need to invest time to learn accounting standards or tax rules.
Instead, you can outsource your accounting process and enjoy more efficiency. Moreover, you can take advantage of several perks that are mentioned below.
Ensure business continuity without exception
Businesses can experience a range of disruptions. We don’t have to look far to find an example for what we are saying.
All of us have gone through the pandemic that strained supply chains around the world. As a result, several businesses downed their shutters and stopped operating.
Those who survived were still dealing with inconsistent orders and increasing costs. The matter became so worse that many companies feared their existence.
Outsourcing can be a great option to sail the troubled waters during difficult times. It can take the load off your shoulders and give you space to focus on what’s important.
Therefore, you can delegate your property management accounting and free up your resources. Maybe it’s the reason business continuity was central to outsourcing in 2021.
Lower costs and operating expenses
Cost has always been a top priority for outsourcing back office accounting. Real estate agencies can save a whole range of expenses just by working with an adept outsourcing partner.
What type of costs can you curtail by delegating your accounting?
The first major expense you can save is on recruiting new employees. You don’t have to spend any resources to hire, screen, or interview accountants or bookkeepers.
In addition, you don’t need to pay any regular wages, bonuses, or incentives. There is also no need to offer retirement plans or any type of benefits.
Moreover, you don’t have to rent or lease office space or provide supplies. You can also save on overheads and paying utility bills.
As a result, a business can save 60% of overall costs by choosing to outsource.
Scale your business without restrictions
The demand for real estate is expected to surge in 2022 as we get back to normal. As per Deloitte, 80% of real estate agencies expect to earn more revenues next year than in 2021.
As a result, experts are predicting more demand for commercial spaces in the coming days. Firms can add more offerings to their portfolio to grow their business.
However, many firms are afraid to take advantage of the situation due to a lack of manpower. They don’t have the additional staff to take care of the accounting that comes with each new building.
Yet, there is a simple way to address the whole scenario, i.e., outsourcing. It can eliminate the need to hire additional staff by delegating any extra workload.
In addition, you also don’t have to spend time training your staff.
Instead, you can work with a reliable partner like KriyaGo to access expert accountants. We can provide you additional workforce as you grow your portfolio.
There is no need to wait as you can scale instantly to meet increased demand.
Boost productivity of existing employees
Your back office handles a wide range of tasks every day. The list includes coordinating with third-party service providers, maintaining records, assessing customer feedback, and more.
Along with that, they have to work on administrative tasks and property management accounting. Back in 2017, businesses spent 120 days per year on average working on such tasks.
Now, we have automation to save time, but many firms still rely on paper processes. As a result, they lose out on productivity by wasting countless hours every week.
Outsourcing can be an excellent technique to reduce workload for your existing employees. You can free up essential hours for each employee to be spent more productively.
For example, your back office can coordinate between your sales and marketing departments to convert more leads.
In addition, you will be able to streamline your processes and save more effort.
Choose your property management accounting outsourcing partner wisely
Outsourcing your accounting process is a proven way to boost productivity and efficiency. However, you need to join hands with a proficient partner for the best outcome.
KriyaGo is a leading choice of real estate agencies worldwide to outsource property management accounting. We have a team of adept accountants who have years of experience in working in residential and commercial real estate.
Therefore, you can access top expertise and take advantage of our proven processes. We can help you improve the accuracy of your books, lower costs, and gain more control over your expenses.
Contact us today to learn more about our back office accounting services.
Final thoughts
Outsourcing is a proven method to reduce your workload and focus on your core activities. Real estate agencies can outsource their project management accounting to free up time and resources. It can also boost productivity and help you achieve efficiency in your processes. Best of all, you can stay free to scale your business up or down based on market demand.
