How Outsourced Controller Services Can Help Your SMB Thrive

We work with a lot of clients that have an in-house accounting system in place and may even have a bookkeeper. However, they seek our outsourced controller services because they need more strategic support, such as help with major financial decisions, creating budgets or generating reports. 

A virtual controller offers many benefits to your operation’s current and future operations.

4 Benefits of Working With an Outsourced Controller

1. Outsourced Controllers Save You Money

You can hire an in-house controller to fill the position, but you’ll need to commit to a high-salary employee, pay benefits and find the right fit for your operations. Outsourced services offer you:

• Cost-savings
• Lower commitment period
• Access to skilled professionals

Unless you have the resources and have an in-house accounting team that can help you with the hiring process, it’s often easier to work with an outsourced controller.

2. Demystify Your Business’s Finances

Controllers typically have 5 – 15+ years of experience in the accounting industry. Fast, efficient and skilled, these professionals will work to make sense of your finances and provide robust reports that will help you:

• Understand your business’s financial health
• Make smarter, data-backed decisions

Critical business decisions rely on you having complete control over your finances. In competitive industries, the clarity that a controller provides will help you leverage opportunities faster than competitors.

3. Improve Cash Flow

Poor cash flow is responsible for 82% of business failures. Outsourced controller services work on revising your budget and boosting cash flow. These professionals will review and generate reports to learn about your business’s:

• Cash flow
• Cash inflows
• Cash outflows

Controllers land in their positions because they pay close attention to detail and make actionable recommendations that can improve your business.

4. Expert, Honest Advice

On top of improving cash flow, a controller will provide you with honest advice about the health and trajectory of your business. For example, if you’re struggling to keep healthy cash reserves, they may find ways to encourage customers to pay faster, revise payment terms, reduce days sales outstanding, recommend lines of credit and even recommend negotiating discounts with suppliers.

Controllers provide the honest, blunt advice that owners need to continue growing their operations.

Depending only your working relationship, here are some other areas they may assist with:

• Determining the best software for your accounting department 
• Review existing terms and contracts to identify ones that need restructuring in the future
• Disagree with your choices when necessary to shed light on issues others will not mention

If you listen to the advice of an outsourced controller, they’ll often help you save money and find ways to reinvest in your business.

Note: It’s important to know that there is a difference between a controller vs comptroller. If you’re a nonprofit or government agency, the latter is the right choice for you. Otherwise, a controller is often the better choice.

3 Signs It’s Time to Consider Outsourced Controller Services

If you’re not sure that working with a controller will help your business, the following three signs are a good indication that a financial controller can help you find success:

1. Your Accountant Isn’t Enough

Hiring an accountant is a fantastic decision that all businesses should make, but there are times when you’ll need more than what your accountant can provide. In the initial years of operation, a bookkeeper or tax preparer may be all that you need to run your business efficiently, but as you grow, you may need a controller.

2. Your Company is Growing

Growth is the goal of many business owners, and demands will rise for a controller as you continue to expand operations. For example:

• Multiple departments may need the controller to run and supply reports to them
• Accounting reports may need to be adjusted to specific managers’ needs

Controllers provide timely reports that your business will need more often as you grow your operations.

3. Forecasting and Strategic Planning Can Help Your Company

Smaller businesses may outgrow their basic forecasting and planning abilities. Controllers can help in numerous ways, including:

• Forecasting the cash you’ll need to keep operations running
• Financial analysis to help you make smarter decisions
• Plan for the future
• Improve and adjust budgeting
• Compare budgets to actual results and make recommendations
• Engage in strategic planning to grow your operations in the best way possible
• Project future cash needs, allowing you to seek financing that offers the best terms

Working with an outsourced controller will strengthen your business’s operations, allow you to take advantage of time-sensitive opportunities and have peace of mind that your company is in good financial help.

To learn more about outsourced controller services or how we can help you with your accounting needs, schedule a consultation now!