Outsourced Nonprofit Accounting: Three Unique Benefits

It’s understandable: Handling accounting while focusing on achieving your mission is challenging, to say the least — but it doesn’t have to be. When you outsource your nonprofit’s accounting to an expert company, you’re gaining more than help in just those two areas. Here are some additional, unique benefits:

End turnover worries

How much time and money have you spent on hiring properly skilled people to handle your nonprofit’s accounting and finance tasks? Worse yet, how many have you had to let go? The better strategy may be not to hire accounting staff at all. As you know, nonprofits have highly specific needs when it comes to finances. Outsourcing the work to a company that has expertise in nonprofit accounting means you’ll no longer have to worry about the exhaustive (and expensive) process of hiring and firing accounting staff. The bonus? Outsourcing often presents a cost-savings when compared to the higher salaries of a full-time person (or staff) with the necessary skills to do the job right.

Say goodbye to spreadsheets

Are you still using Excel for your reports? While spreadsheets may work for some, most nonprofits need something more powerful. Spreadsheets can quickly become a nightmare, especially as they grow larger (and they always grow larger). What’s worse, a spreadsheet will never have real-time financials. Spreadsheets are only as useful as the data being entered. It only takes one wrong keystroke to make the whole thing (and your reporting) inaccurate. And forget it if you need an up-to-date report done immediately, on the fly. However, if you outsource your accounting, you’ll no longer be dependent on those crazy spreadsheets. Not only would you have experts doing the accounting work for you, but you’ll also have access to much better technology and tools to get your accurate financials — fast. The bonus? Better reporting means you’ll be ready in the event of an audit or when it’s time to prepare your Form 990. 

Attract more funds and funding partners

That improved reporting we mentioned above can mean some additional financial gains. No matter the funding a nonprofit receives, whether it be from an individual donor, government grant, or a foundation, each will want to know their money is being properly utilized. They want to see that the nonprofit is making a difference with their funds. The nonprofits that have excellent data collection, analysis, and reporting tools can easily show their organization’s effectiveness — and, as a result, are in a better position to attract additional funding for their cause. The bonus? Better reporting not only leads to better decision making for potential funding partners, but it also helps your overall organization make better strategic decisions as a whole.

Want to learn more about the benefits of outsourcing your nonprofit’s accounting? Here at Qbix, nonprofit accounting is our specialty — and we know that your success is our success. Schedule a free call with us today to find out how we can help.

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