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Advantages of the BPO Accounting Companies in the Philippines
Accounting BPO companies in the Philippines are increasing because of foreign demands. Many big firms prefer to outsource rather than hire an in-house team. This gives them flexible budget control over the workforce.
Besides that, the Philippines BPO also has top-notch data security. They invest a lot in solidifying their digital protection. Foreign corporations partnered with Filipino call centers can attest to this feature.
Additionally, there are a significant number of professional accountants in the Philippines. There are more than 200,000 Filipino Certified Public Accountants (CPAs). On top of that, there are an additional few thousand CPAs yearly. This shows how future-proof your company is when you outsource in this country.
These are not the only benefits of partnering with an offshore company. This article will explain why foreign companies prefer the Philippines’ BPO services.
Accounting and Tax Services Philippines: Agent’s Best Features
Being affordable is the selling point of the Philippines’ accounting and tax service. However, other things make them the best in Asia. Here are some of their accountants’ characteristics:
1. Diverse Knowledge
Bookkeeping and accountancy involve more than just computing numbers; they are complicated tasks. Therefore, having a CPA who knows everything greatly benefits your company.
For example, you already have a mainstay accountant who has no idea about checkbooks. There, you need to hire another one just for this service. It is counterproductive and, at the same time, a waste of your money.
2. Experienced Young Professionals
Although fresh graduates, some Filipino accountants have various experiences from different fields. This is because they usually have rigorous internship training. Aside from that, they typically do volunteer work to gain more skills.
Furthermore, schools also have programs to train them in the corporate world. Most of the top schools in the Philippines offer accountancy courses. This assures you that every CPA in the Philippines has the necessary skills to support your firm.
3. Flexibility in Any Industry
As stated, young professionals and fresh graduates accumulate several experiences. This training came from various industries and companies. This shows how adaptable Filipino accountants are to any business.
This will help those entrepreneurs who own multiple businesses. They can only hire one CPA for all of their checkbooks.
4. Amenable to Changes
Being flexible is one thing. But, having the ability to learn new things is an exceptional skill for them. They are always ready for a new system. Besides that, they are also eager to learn new techniques every time.
This is a bonus attribute for any CPA. It will help your company in so many ways. For example, they can try new methods to make auditing efficient. They can also introduce additional processes to improve your profit.
5. Versatility in the Latest Technologies
The majority of fresh graduates here are computer literate. With this in mind, they can adjust to any software update. Technologies are improving as time goes by. It would help if you had an accountant to go along with these changes.
Additionally, Filipino CPAs are also tech-savvy. They can work on different software and technologies simultaneously.
6. Proper Work Ethics
Integrity is valuable in any profession. Without it, your operation will most likely topple. It is also essential in accountants. They need integrity as they will assess all the transactions in your corporation. They can manipulate and hide fraudulent businesses for their or others’ interests.
The majority of Filipinos value honesty. They are also very passionate about their work and will not let anyone influence it. They also practice transparency in everything that they do.
7. Team Player
Being a team player is a significant part of being an accountant. It means coordinating with different departments to confirm transactions. This is important to ensure that every fund is well accounted for.
Filipinos are amiable people. They want to establish relationships with everyone inside the office, which gives them a sense of comfort. Being a team player for Filipino accountants should not be an issue.
A Closer Look at Specific Accounting Services Offered in the Philippines
The Philippines’ BPO industry is well known for its comprehensive range of accounting services tailored to meet the various intricate needs of clients worldwide. Below is a closer look at its capabilities.
1. Bookkeeping and Financial Management
Whether working with a small business or financial services institution, Philippine BPO accounting firms deliver detailed bookkeeping services, ensuring accurate keeping of financial transactions. This is critical for effective financial management and informed decision-making.
Services include ledger maintenance, bank statement reconciliation, balance sheet preparation, and income statement preparation. The Philippines’ excellent education system underpins their ability to deliver work as meticulously as this, producing tens of thousands of top-notch CPAs each year who are schooled in comprehensive financial management.
2. Tax Preparation and Compliance
Navigating the labyrinth of tax regulation becomes far easier under the expert services of Filipino accounting professionals.
They specialize in tax preparation, ensuring compliance with local and international tax laws, filing tax returns, and strategic tax planning to optimize tax liabilities. This is particularly valuable for multinational companies aligning their operations to the tax regulations of numerous jurisdictions.
3. Payroll Processing
Efficient payroll processing is critical to a business’s seamless operation. BPO firms in the Philippines manage payroll calculations and tax withholdings and ensure timely wage disbursement.
They also handle associated filings and compliance with employment laws, providing a comprehensive solution that alleviates companies’ administrative burden.
4. Financial Reporting and Analysis
Strategic financial reporting and analysis are critical to successful business operations. Filipino BPOs provide extensive financial reporting. This includes preparing financial statements, calculating and issuing cash flow analyses, and assessing overall financial performance.
These insights are invaluable for companies that must make data-driven strategic decisions, identify and pursue growth opportunities, and maintain financial health.
5. Compliance Management
Philippine BPO firms are well equipped to guide companies through the complexity of compliance management with their deep understanding of the financial regulations business operations must adhere to, experience providing audit support, and a commitment to ensure that a business’ practices meet both the letter and the spirit of the law.
Filipino CPAs undergo rigorous training and professional development that allows them to seamlessly work with domestic and international clients subject to various compliance requirements.
The Cost of Bookkeeping Fees in the Philippines
As mentioned, the Philippines BPO has the most affordable prices for accounting assistance. Although inexpensive, it doesn’t compromise the quality of the service. Several big companies partner with Filipino accounting firms.
The basic in-house bookkeeping costs are $3,000-$4,000 monthly. That is a large amount of money. Especially if you are just a start-up business, meanwhile, outsourcing can cost you $500-2,500 monthly. You can get it for $200 at the lowest in some instances. The difference is enormous compared to an in-house team.
Based on these figures, you already know why many businesses choose offshore services. The saved amount for outsourcing is usable for business expansion. You can also use that to improve your product or service.
Addressing Potential Concerns with Proactive Solutions
Outsourcing may be an effective strategy for gaining access to skilled talent, increasing operational efficiency, and saving costs. However, companies may have concerns about cultural differences, data security, or geographic and time-zone distance in a country like the Philippines.
However, BPO firms in the Philippines have considered these potential barriers and developed robust, well-defined strategies for addressing each of them to provide seamless outsourcing experiences and the myriad benefits of ‘outsourcing to the Philippines.’
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Ensuring Data Security Through Robust Protocols
One of the most pressing concerns regarding outsourcing is client and company data security. Fortunately, Philippine-based BPO firms are leading the way with some of the world’s most advanced digital security infrastructures. Many firms have achieved ISO 27001:2013 certification.
Recognizing the potential for costly data security breaches, firms like Magellan Solutions maintain ISO 27001:2013 certification to demonstrate their robust commitment to data security. Magellan Solutions and similar firms have adopted sophisticated data protection measures, such as encryption, secure access controls, stringent security protocols, regular security audits, and adherence to global data protection regulations.
These extensive measures assure concerned clients that their data will remain secure no matter what happens.
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Bridging Cultural Differences for Seamless Integration
Cultural alignment is key to integrating outsourced services seamlessly. The Philippines boasts a unique cultural affinity with Western nations, stemming from its colonial past with Spain and the U.S., which eased its integration of Western business practices.
Filipino professionals are fluent in English, making it easier for them to communicate with their Western counterparts. They can also adapt quickly to cultures outside of their own and are highly familiar with Western corporate culture, having worked for many U.S. business process outsourcing (BPO) firms.
BPO accounting companies in the Philippines expand on this cultural alignment with training programs for their accountants that delve into communication skills, cultural sensitivity, and business etiquette that match their client’s expectations.
This training means that Filipino accountants can integrate seamlessly with their clients’ teams so they can get right to doing business collaboratively and efficiently.
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Overcoming Communication Barriers with English Proficiency
Effective communication is at the heart of any strong outsourcing partnership. Filipino professionals’ high level of English proficiency affords them this unique advantage. The nation is one of the largest English-speaking countries in the world and the largest in Southeast Asia.
Along with Filipino, English is an official language used in education, government, and business, making it the language of choice for accountants. BPO firms in the Philippines are building on this linguistic edge with intensive training in business English and the technical jargon related to the accounting and finance field.
This eliminates the communication barrier, ensuring that Filipino accountants can communicate easily with their international clients, prepare reports as articulate as their U.K. or U.S. colleagues, and even join meetings where no one speaks their native tongue.
Closing Thoughts: BPO Accounting Companies in the Philippines
Knowing why the Philippines is the best finance and accounting offshore business is not enough. There are tons of BPO accounting companies in the Philippines that offer assistance. Still, you may find yourself confused with a lot of options.
For start-up businesses and SMEs, Magellan Solutions is your best choice. We have the best system to integrate into your accounting process at a cost-effective solution. On top of that, we have the best agents to handle your business. They undergo sophisticated training to ensure quality service.
Our data security is also top-of-the-line. We have an ISO 27001:2013 certification to support our high-standard safety protocol.
You also do not have to worry if you are new to finance and accounting outsourcing. Our Implementation Managers are here to assist you in your development. They can help you to determine how many agents you need. They can also assist you in setting key performance indicators (KPIs).
Contact us today and get a free 60-minute consultation.
