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Outsourcing your Bookkeeping / Accounting Function

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Strong Eagle
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Postby Strong Eagle » Fri, 27 Sep 2013 10:04 pm

livingontheedge wrote:...the accounting measurement and treatment to record in the books is handled directly by the Directors and the accountant simply keys in the Directors' instructions for recording the financial impact.

So........in terms of advisory on accounting treatment.........doesn't seem like the outsourced accountants do much.


This is not correct. Most directors must rely upon outside advice to properly handle transactions. And many run afoul all the time, especially when the opportunity to enhance revenues or reduce expenses to boost quarterly numbers and hence, bonuses, gets in the way.

Example: You are the director of a membership organization. You sell yearly $100 memberships. You sell three times as many in September as you usually do because of a special. How is this to be recorded?

You've just signed a large contract with a MNC to provide janitorial services to the company for three years. How is that recorded?

You are a professional consultant, earning the vast majority of your fees for professional services. As part of a deal, you also acquire and immediately turnover equipment to your client that is worth four times your consulting fees. How is that recorded?

You are a reseller of ISP services. You bill your clients monthly but your bill from the main ISP comes once every six months. How do you record the expenses?

You receive an invoice in your office on October 3, dated September 30, for services rendered in September. When do you record this expense?

You've just taken on a new employee with a wife and 5 kids. How do you record your repatriation liability for all of the EP's and DP's?

Again, even the simplest of businesses, unless it is selling soft drinks and roti prata on a cash basis, will have transactions that fall under GAAP.

sgstudio
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Postby sgstudio » Thu, 10 Apr 2014 6:55 am

Hi katbh, and others. Very interesting thread.
I'm looking to outsource the accounting for my startup, can any of you recommend me a cost-effective and reliable accountant/secretary?

How much should annual accounting cost for ~600 transactions/year ? 99% of transactions are automated (credit card billing through Paypal-like payment gateway). And do accountants charge extra fees to act as secretaries and registered address?

Thank you.

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Postby ArtofLife » Wed, 04 Jun 2014 12:52 pm

Strong Eagle wrote:
katbh wrote:Company debit/credit cards are available for unaudited accounts.


So... you think a bank is going to take a set of financials that could have been completely made up? Unaudited means that no second set of eyes (eyes which can be sued for failure to follow the rules) has looked at your clever recording of revenues, expenses, and profits.

You might be able to get a debit/credit card without audited financials but only if you have already guaranteed your debt with a deposit.

You're also not going to be able to take advantage of various government programs without audited statements. It's just not possible to tell if you're making stuff up, otherwise.


Strong Eagle,

This is so not true. My firm is in the accounting, banking & finance line (we are one of the rarest firm to integrate both services) and i was from the bank previously too in the SMEs business loans department.

Unaudited financials will have NO issues in applying facilities. I repeat, NO issues. The only issue you will face is when you are more than >5mil and you can only provide management accounts. However, you will be able to provide management account if it is not more than 12-18 months old depending on the institutions.

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Postby Strong Eagle » Wed, 04 Jun 2014 10:54 pm

ArtofLife wrote:
Strong Eagle wrote:
katbh wrote:Company debit/credit cards are available for unaudited accounts.


So... you think a bank is going to take a set of financials that could have been completely made up? Unaudited means that no second set of eyes (eyes which can be sued for failure to follow the rules) has looked at your clever recording of revenues, expenses, and profits.

You might be able to get a debit/credit card without audited financials but only if you have already guaranteed your debt with a deposit.

You're also not going to be able to take advantage of various government programs without audited statements. It's just not possible to tell if you're making stuff up, otherwise.


Strong Eagle,

This is so not true. My firm is in the accounting, banking & finance line (we are one of the rarest firm to integrate both services) and i was from the bank previously too in the SMEs business loans department.

Unaudited financials will have NO issues in applying facilities. I repeat, NO issues. The only issue you will face is when you are more than >5mil and you can only provide management accounts. However, you will be able to provide management account if it is not more than 12-18 months old depending on the institutions.


That wasn't my experience at all. To request a line of credit, or receivables factoring or a credit card that didn't require a cash deposit behind it, ALL the banks in Singapore that I approached wanted audited financial statements. And, I don't blame them.

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Postby sundaymorningstaple » Thu, 05 Jun 2014 6:53 am

Additionally, try tendering for a government contract. No audited financials, no tender.

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Postby ArtofLife » Thu, 05 Jun 2014 11:37 am

sundaymorningstaple wrote:Additionally, try tendering for a government contract. No audited financials, no tender.


This i agree. Most of the government jobs require audited statements however regarding strong eagle post, i disagree.

Even right now as I am typing this reply, my loan and business facilities sourcing team are assisting customers as we speak. Perhaps the facilities you requested for is of much, much higher quantum or your company is >5mil turnover thus naturally, an audited report is required.

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Postby sundaymorningstaple » Thu, 05 Jun 2014 12:03 pm

65% of all our revenue is garnered via government contracts across 4 companies of which only one is >5M (barely). All government tenders for BCA registered companies, anyway, (not sure about other industries) require audited financials unless you have a long track record with them.

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Postby ArtofLife » Thu, 05 Jun 2014 12:28 pm

sundaymorningstaple wrote:65% of all our revenue is garnered via government contracts across 4 companies of which only one is >5M (barely). All government tenders for BCA registered companies, anyway, (not sure about other industries) require audited financials unless you have a long track record with them.


Oops, my reply for the banking facilities is referring to strongeagle's reply.

Cheers.

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Postby Strong Eagle » Thu, 05 Jun 2014 9:44 pm

ArtofLife wrote:
sundaymorningstaple wrote:65% of all our revenue is garnered via government contracts across 4 companies of which only one is >5M (barely). All government tenders for BCA registered companies, anyway, (not sure about other industries) require audited financials unless you have a long track record with them.


Oops, my reply for the banking facilities is referring to strongeagle's reply.

Cheers.


You can say what you want. I report my experiences at OCBC, UOB, Stan Chart.

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Postby ArtofLife » Thu, 05 Jun 2014 10:21 pm

Strong Eagle wrote:
ArtofLife wrote:
sundaymorningstaple wrote:65% of all our revenue is garnered via government contracts across 4 companies of which only one is >5M (barely). All government tenders for BCA registered companies, anyway, (not sure about other industries) require audited financials unless you have a long track record with them.


Oops, my reply for the banking facilities is referring to strongeagle's reply.

Cheers.


You can say what you want. I report my experiences at OCBC, UOB, Stan Chart.


No wonder, and your earlier post stated ALL the banks which i found it weird. :shock: :lol:

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Re: Outsourcing your Bookkeeping / Accounting Function

Postby sgjzt » Sat, 16 Jul 2016 11:19 pm

Hi!
We have just recently incorporate our business. Looking to outsource accounting and payroll services.
Any recommendation of accounting firms that provide reliable services?

Thanks in advance!

You can PM me for details of my accountant.

evasun
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Re: Outsourcing your Bookkeeping / Accounting Function

Postby evasun » Fri, 22 Jul 2016 12:52 am

yes there are many. depends on your budget =p
i got mine from friend's recommendation. you can look for the services you need at google. =)

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Re: Outsourcing your Bookkeeping / Accounting Function

Postby sgjzt » Sat, 23 Jul 2016 2:55 pm

Hi evasun, thank you for your reply. =)
Yes we have contacted a few companies from google search.
We decided to outsource our accounting to singaporeaccounting.
http://singaporeaccounting.com/
Our conversation went well.
Like their service and rates for our small business.
Appreciate your help.

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Re: Outsourcing your Bookkeeping / Accounting Function

Postby evasun » Sun, 14 Aug 2016 2:12 pm

That's great to know! All the best! =)

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Re: Outsourcing your Bookkeeping / Accounting Function

Postby FMaccounting » Thu, 15 Dec 2016 11:54 pm

Outsourcing your accounts free the business owners the time to focus more on business aspects eg sales of the company which should be their main concern. Accounting may not be that straight forward if you want to comply fully with the Singapore Financial Reporting Standards. It is not that easy as passing entries for your receipts and payments. There are items such as provisions (bonus, accruals, estimates etc) and percentage of completion for revenue recognition. Most business owners would not be aware of these if they do not have accounting background.


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