Accounting

BENEFITS OF VIRTUAL CFO SERVICES: WHY IS IT A GROWING TREND?

Posted on 20/01/2022

Outsourced virtual CFO Services will oversee your current bookkeeping and controller staff in the startup.

There is a common misconception that a bookkeeper and an accountant are enough to run the financial aspects of the company. 

The role of a bookkeeper is limited to maintaining the daily transactions in the organization. In some cases, the bookkeeper can extend their services during the accounting season but with limited expertise. 

The role of an accountant is to get the data from the bookkeeper and work at the end of every financial year to tally the accounts and help the company save from paying a huge tax. 

The roles mentioned above contribute to the successful daily operations of the organization. However, when it comes to the bigger picture to sustain the organization for a longer period, a financial expert is required to manage the cash flow, create budgets, analyze expenses, understand profitability, predict financial risks, and devise a winning financial strategy. 

And who plays these roles? A Chief Financial Officer, a.k.a. A CFO. 

Business owners who wear multiple hats often sideline these tasks for the end and endeavor at the last minute to fix things. But, little did they realize that the financial department is the lifeline of an organization. It needs attention and planning daily. 

Regardless of the company’s size, the CFO is mandatory if you want to maintain an organizational balance. From ensuring compliance to financial planning and deciding investments, your company needs a CFO to scale the growth. And a CFO will require a hefty compensation. However, if you do not have the budget to compensate the CFO’s monthly salary requirements, we recommend hiring a virtual CFO (v CFO) and getting the best virtual CFO services for startups.

Who is a Virtual CFO? 

A virtual CFO (or a vCFO) is a financial service provider, an operational and financial professional that executes the duties of a conventional CFO. The only difference between a traditional CFO and a virtual CFO is that the latter works remotely, on a contractual, part-time basis. 

Working with a virtual CFO is like outsourcing your finance department to an expert outside your company. 

Virtual CFOs are a great option for companies that may not be able to match the salary demands of a dedicated, full-time CFO. A virtual CFO works no lesser than the in-house CFO. Your company will benefit equally as your virtual CFO will stand at the helm of your financial department.

Benefits of Outsourced Virtual CFO services 

Today, with new technologies booming often, data is easier to accumulate. It has quite loosened up the time of accountants to draw multiple interpretations of the data and produce reports for each. The accountant’s expertise ends there. For the financial well-being of the company, a CFO has to step up and work on the insights to drive the business forward and make operational decisions. No other executive other than the CFO could see the story behind the numbers and arrive at a decision that will serve the welfare of the company. Only a (virtual) CFO can generate value in strategic and operational ways. 

Here are a few of the services a virtual CFO might provide:

• Assistance with determining annual financial and strategical goals

• Communicating financial goals to the stakeholders

• Financial planning that will entail

  • forecasting and cash flow management
  • analyze and identify opportunities 
  • scenario modeling
  • planning and annual budgeting

• Opportunity identification

• Forecast creation

• Financial statement creation, evaluation, and reporting

• Financial risk management that will contain

  • cost-benefit mapping
  • contingency planning

• Cost management that includes

  • productivity and talent evaluations and direction
  • supply chain analysis and insights
  • capital-investment review and due diligence

• Funding calculation and management

• Debt minimization and administration

• Organizational transformation

• Fundraising support

Does My Business Need a Virtual CFO?

Now that you understand who is a virtual CFO and what are the best virtual CFO services, it is time to identify if your business needs one. It is a direct answer, however, we will get to the specifics and tell you when your business needs virtual CFO services. 

– Your business is intensifying

When it was just a handful of you, probably your finances would have been manageable. 

Eventually, when your resources, contacts, and administration are intensifying, financial components will add to it. It is an indication that your bookkeeper or an accountant wouldn’t suffice to provide you a financial solution to handle the complexity. 

– Your business is growing 

Planned growth is one, and rapid growth is another. When you are growing as planned, you have everything in your control. With rapid growth, your finances will be at a breakneck speed. Getting the best virtual CFO services will help you navigate in control through unprecedented growth. Besides, a virtual CFO will also help you plan the next episodes of your business in a streamlined manner. Your business’s pulse and cash flow will be in control to handle the revenue influx. 

– You want to explore untapped areas of your business

The economy is on a roller coaster. There are changes every day, and it depends on how you want to utilize that change for your business’s growth. A virtual CFO will help you understand if you should utilize that volatility or bolster your present situation during economic distress. 

– Your financials are undergoing apocalyptic proportions

Financial catastrophes are inevitable. The solution is to be cognizant of the situation and comprehend why it is happening. And, if you don’t have an answer for it, a virtual CFO will be able to address that gap. He will also help you sail through the financial distress safely. 

– You lack financial comprehension 

A business is all about making decisions and eventually growing to make informed decisions. A virtual CFO can help you control your business’s decision-making handgrip from the beginning. From managing your books and ledger transactions to guiding your mergers, virtual CFO services will help. 

11 benefits of virtual CFO services

1. Flexibility and customized services

When you outsource virtual CFO services, you are defining the terms, time, and cost only for the work hours. You can scale it either up or down based on your requirements. In the end, you will only pay for the deliverables and time spent for your business. 

2. Broad Experience

Virtual CFOs work with diverse industries. They would have more knowledge, experience, expertise, and insights on different business scenarios. That knowledge will translate into a custom perspective for your business. 

3. Accounting Expertise

You can be demanding in hiring a virtual CFO that holds an accountant degree. In addition to their CPA degree requirements, they would have a myriad of knowledge and expertise working with other businesses. Besides, they will be updated about the latest market trends because their profession demands so. 

4. A Different Perspective

As a business owner, you will be laser-focused, unknowingly limiting yourself to seeing things from a different perspective. 

Hiring a virtual CFO for your business can give you new ideas that will overhaul your finance departments and also identify other growth opportunities. 

5. Ability to handle challenges

A virtual CFO with an accountant degree can bring the knowledge, expertise, and also problem-solving skills required for managing complicated accounts. You can hit the brief of two jobs with a virtual CFO.

6. Expert reporting

An experienced virtual CFO knows to create streamlined and well-organized reports. In addition, his accounting skills will serve as an auxiliary to create customized client reports that will give comprehensive deets required to make informed and well-thought-out business decisions. 

7. Software and systems recommendations

There is a lot of financial software available in the market for organizations today. The choices are plenty which only an expert can decide what is best for the company.

A virtual CFO will have had his hands-on on diverse products and systems. They should be able to give you experiential advice on which systems, software, and products will match your business requirements. It will save you from making the expensive mistake of engaging with a wrong choice.

8. Well-established reputation

Onboarding a virtual CFO means you are bringing in an expert who has established his expertise in the market with diverse clients. This way, you are finding means to gain access to your virtual CFO’s other clients. Besides, he will be the right person to connect you with business leaders if required. Refine your hiring process right to enjoy the benefit.

9. Better problem-solving skills

Every business will have its share of problems as they expand. A virtual CFO can help you deal with financial catastrophes and emergencies in a way you could not have solved. The problem-solving abilities will be a lot better, refined, and efficient to bounce back sooner, if not immediately.

You can enjoy the advantage of skipping a few grave mistakes by leveraging the virtual CFO services.

10. Faster resolutions

Virtual CFOs are known for bouncing back quickly from issues and providing quicker, yet intellectual resolutions to the problems. Over years, they will have built the experience to enter a crisis mid-way and take it to resolution from there. From a financial point of view, they will be able to quickly assess the problem, gather information, refine financial reports, implement efficient accounting practices, scale towards completion, and forecast the results.

11. An experienced team player

Virtual CFOs possess emotional intelligence, leadership skills, and exhibit team-player qualities that will help them work with various individuals. They put forward financial expertise and assist your team members to achieve success as an entity. 

How to get started with a virtual CFO?

We can give you the best virtual CFO services, best practices, and excellent results. Our virtual CFO services entail budgeting and forecasting, financial reporting and analysis, strategical goal alignment, and service provider relationships.

Engagements with our virtual CFOs can range from one day a week to 4-5 days a week with the versatility to stop the contract any time, we recommend at least six months. Ideally, this time frame will be required for a business to understand the progress it makes.

Outsource your finance department to us and let us help you grow your business. Contact us today to learn how we can alleviate your financial burdens and help you understand your business’s growth potential.

Topics: Accounting


Outsourced Accounting Services for small business

Posted on 15/01/2022

What are Accounting Services in Dover?

Common accounting services include tax preparation and consultation, tracking expenses and revenues, accounting is about producing accurate financial records and maintaining efficiency for small and medium businesses.

You’d be pleased to know that Velan offers offshore and outsourced Accounting and Bookkeeping Services to CPA firms, SMEs, Retailers, and Real Estate/Property Management companies, not just in Dover, but at a global level. We strictly adhere to Generally Accepted Accounting Principles (GAAP), International Accounting Standards (IAS issued by IASC), and International Financial Reporting Standards (IFRS issued by IASB).

We’re ISO 27001:2013 and ISO 9001:2008 certified, and practice the highest standards of compliance and security.

What do we offer?

 Setup of accounts

 Cleanup of books

 Recording of all expenses and income

 Maintaining various ledger, and sub-ledger accounts

 Fixed assets accounting

 Reconciliations – Bank accounts, Credit cards, Vendor and Customer Statement, Inter-company, Ledger and Sub-Ledger

 Month-end and year-end closing

 Consolidated financial reporting

MIS reporting

Why should you outsource Accounting Services inc?

A significantly lower cost compared to a traditional in-house bookkeeper or a local accountant is one of the major advantages of outsourcing your bookkeeping. Customization is another benefit as the bookkeeping solution can be tailored according to the specific needs of the client while this flexibility cannot be expected from a traditional accountant.

Scalability which is available in an outsourced solution becomes vital for every growing business. Service providers like Velan often have tonnes of experience dealing with multinational clients and can help businesses navigate complex tax regulations and compliance requirements.

Is this secure?

Bookkeeping service providers like Velan employ high-security encrypted web servers and foolproof user-based access levels for all their employees. By utilizing quality bookkeeping tools like QuickBooks, they ensure a secure pathway for all your transactions and guarantee accuracy and privacy. Almost all of their servers are located in highly secure compounds, thereby offering maximum security for sensitive client data.

Why not a traditional bookkeeper?

An outsourced accounting and bookkeeping service can offer you their services throughout the day with consistent support and maintenance. We can solve your technical and functional problems seamlessly. As mentioned before, you can hire an outsourced service provider at just a fraction of the cost of an in-house permanent bookkeeper, significantly reducing your operational cost. Equipped with a robust infrastructure, we can seamlessly complete a process or a task faster than any traditional bookkeeper.

What are the technologies involved?

Equipped with the experience and proficiency in handling the latest tools available, Velan’s bookkeepers can offer customized solutions, depending upon the size of the business. Here are some tools we are proficient in.

  • QuickBooks
  • Peachtree
  • Quicken
  • Caseware
  • Master Builder
  • MYOB and SAGE
  • Intuit ProSeries
  • Intuit Lacerte
  • Simply Accounting
  • Business Vision
  • Business works
  • Creative solutions accounting
  • Net Suite

Why Velan?

Velan primarily focuses on offering uninterrupted and seamless bookkeeping and Accounting solutions at an affordable price. Equipped with a comprehensive array of solutions with frameworks to assist businesses of all sizes and industries, Velan has amassed lots of experience dealing with clients in various countries. We have built up a solid infrastructure with the best people available to offer personalized solutions, where the client can customize the services according to the needs and wants of the business. Choose Velan and values will be delivered.

Topics: Accounting


Why is Monthly Cleanup of Books & accounts Important?

Posted on 02/05/2018

Have you ever wondered why your bookkeeping system is in shambles? We do realize how an organized, clean, well maintained books of accounts depict the health of the business. This scenario arises when a lukewarm attempt is made to DIY bookkeeping, lack of time, incompetent bookkeeper or just failing to get it done.

A sensible way is to start your bookkeeping in the correct way from the beginning. Maintaining the books and balance sheets regularly, or rather at the end of every month will generate squeaky clean books. Considering the fact that you haven’t been updating on a monthly schedule, you need to start all over. Installing QuickBooks or any other bookkeeping software of your choice will be the first step.

For your benefit, here is a run through of bookkeeping tasks to close the books every month. This monthly routine helps you maintain cleaner books, easier business decision making and get tax-ready for the end of the financial year.

Cleanup of Books & accounts Important

Accounts Receivable

Your monthly invoices for work done for clients have to be scrutinized and all the deposits and cash are posted to QuickBooks should be checked. Try to reconcile your accounts receivable report, making adjustments against General Ledger and Balance Sheet.

Accounts Payable

Make sure monthly recurring bills and payments such as, car insurance and loan payments are entered in the respective books of accounts. Outstanding vendor bills and statements must be in line with Accounts Payable accounts and the Balance Sheet. The final monthly checkup of accounts should match your vendors’ records.

Monthly Reconciliation statements

Bank reconciliation statements for your multiple bank accounts, credit card transactions for the month should be updated, printed and filed for future reference. Reconciling loan balances and credit against the monthly statement should also be filed as it would make bookkeeping at the end of the financial year easier to handle.

Prepaid Income and expenses

Check for appropriate journal entries posted for prepaid income and expense adjustments, this would make your bookkeeper’s job a lot less time consuming.

Write off Bad debts

Bad debts that are uncollected are to be written off. QuickBooks has the facility to write off bad debts using the Credit Memo.

Keep an eye on your fixed assets

Any changes in your Fixed assets including depreciation must be updated on a monthly basis.

Validate all checks and Invoice numbers

Check books and invoice statements are generated in numerical order. Watch out for any missing numbers on checks or missing transactions and bring it to records. Any void or cancelled checks are listed and kept on record.

Review Financial statements

Check all postings in the financial statements for errors, missing records and unusual balances. When you identify any untoward transactions, review them and make necessary adjustments. Printing and filing Financial statements and reports are required for perfect cleanup.

Close Books and Backup

The Closing Date feature in QuickBooks permits you to lock the previous months and is password protected as well. When all the adjustments for the month is completed, the bookkeeper closes the books for the month and a backup of the books are done.

Keep tabs on your Budget

Reassess your actual numbers against budgeted numbers. You will understand why there is a difference and how a workable budget can be reinforced and managed for the following month.

The above measures are not only helpful to clean up your books of accounts, but also gives you the confidence of running a healthy business. As we are drawing close to the end of the financial year, well maintained accounts are an advantage for preparation of taxes. One of our services in demand is the cleanup of books for small, medium and large businesses. So, if you are looking for a shipshape financial book of accounts on a monthly basis or at the year end; an added bonus  is your peace of mind. Do contact us for a consultation.

Topics: Accounting


10 Small Business Accounting Trends to Kick-start 2018

Posted on 16/01/2018

10 Small Business Accounting Trends to Kick-start 2018

2018 is here and just like every other year, we’re mopping our brows thinking the previous year went down way too fast. But the New Year is not about moping on bygones but learning from the past and looking forward to the future! So here are 10 Small Business Accounting Trends for the year 2018.

Small Business Accounting

For all small businesses who’re looking to make bookkeeping and accounting a lot easier this year, your first thought should be to approach a reliable outsourcing partner. Not only SMEs but CPAs and accounting firms should ideally look to increase workforce as well. We all know – “that” time of the year is pretty near! After the lull of the holidays, it is time to spring back to action with a lot of holiday workload piled over – the best way to keep up is to avail outsourced bookkeeping and accounting.

What went by in 2017

Automation process gradually replaced manual work in accounting during 2017. We hope in 2018 accounting will continue traversing the path of further innovations and keep up the trend of automation. CPAs, accounting firms, & business owners have started concentrating on the key areas of analysis and forecast. It was evident in 2017 that CPAs, accounting firms and business owners were able to achieve more returns on their time and investment, all thanks to nifty insights, analysis and forecasts.

2018 Small Business Accounting Trends

Without further ado, we’re going to delve into the predicted trends for 2018.

  1. As we have seen in 2017, we believe 2018 will also see automation gradually work towards reducing the paperwork. A paperless environment will prove highly conducive to outsourced bookkeeping and accounting.
  2. 2018 will take business owners to the point where there will not be any requirement to manually categorize the transactions.
  3. Accountability has drawn a lot of focus from business owners and rightly so. 2018 will see business owners, CPAs, and accounting firms focus on the positive impacts that an accountability-driven work culture can have, on retention, service, profitability and growth.
  4. AI in 2018 is going to play a fairly big role in driving accountability.
  5. 2018 will see an upraise in the demand for reporting nonfinancial information as well – something the CPAs and accounting firms need to pay close attention to.

Know More..

  1. Intangible assets of the S&P 500 were 17 percent in 1975 and 84 percent in 2015. It’s a trend that the accounting profession simply can’t ignore and 2018 will also demonstrate the same.
  2. The trend of hiring outsourced bookkeepers and paraprofessionals will be on the rise.
  3. You didn’t have to hear us say it but here goes – blockchain technology will continue trending. How it affects us – we will save that for another post.
  4. The timing of tax reform is an area that could impact tax season for accountants.
  5. The need for informed business decisions using business insights will be on the rise with the increased availability of expertise. Business owners, CPAs and accounting firms will look forward to having extra time to focus on accounts analysis, thereby improving quality.

If you’re looking to increase time on hands using reliable outsourcing services, give us a call at +1-860-215-4997 or email us at info@velaninfo.com and our executives will be happy to assist you.

Topics: Accounting


10 Things to do this Christmas!

Posted on 15/12/2017

Hey CPA, are you going to let an extensive workload ruin Christmas this year? We hope not. Avail outsourced bookkeeping and accounting services, and do these 10 things to keep stress at bay and live it up this Christmas. May the joy and cheer of the season keep your spirits high, and workload low. So read on to know how you can steer clear of long hours this holiday season.

10 things to do this Christmas!

It isn’t realistic to say holidays can be stress-free. Anyone who has been through caroling, greeting cards, shopping, eggnog, stockings and lighting, knows for a fact that holidays are anything but stress-free.

But the point here is, what kind of stress do you prefer these holidays – planning Christmas, or working long hours at the office? Honest to God, we hope you said “planning Christmas”, because that kind of stress is bittersweet. The memories and happiness Christmas brings, lasts an entire year! Although, if you’re about to spend the holidays in front of your computer, we really do feel sorry for you.

How can CPAs and Accounting Firms, steer clear of workload this Christmas?

The simple answer to this is to outsource your accounting and bookkeeping to Velan Bookkeeping. We can help you tackle the entire workload with dexterity. We set realistic expectations with our clients when it comes to delivery times and rest assured you get the highest quality output. So this holiday season, if you want work to be completed while you’re spending time with your family, call Velan Bookkeeping at  +1-860-215-4997 or email us at  info@velaninfo.com  and we’ll make sure that you get enough time off from work to decorate the best Christmas tree ever!

Here are 10 things you absolutely need to do this Christmas

10. Sing Christmas Carols

Here are 5 most popular Christmas Carols to sing this year.

  • Silent Night
  • Good King Wenceslas
  • Once in Royal David’s City
  • Hark! The Herald Angels Sing
  • God rest you merry, Gentlemen.

9. Send Christmas Greetings

Missed it last year? Prep up for the perfect family picture and log in to one of the many online portals for sending Christmas Greetings. Make sure everyone in your family knows that this CPA is sipping warm cocoa with his family this Christmas, and not working late!

8. Shopping

No more last minute gifts. Thanks to outsourced bookkeeping and accounting, you’ve got more time on your hands and that means a better shopping experience! No more rush hour shopping – pick the best and plan your budget. You can do budgets like no one can!

7. Watch Movies

Yes! Spend time with your loved ones and watch all the movies you missed the entire year! Or if you’d rather, cuddle in and check out this list of top-grossing holiday films complied by CNBC.

6. Attend Parties

Go on and meet all your friends & relatives or just take your special someone to that happening nightclub, because after outsourcing to Velan, you’re going to have a relaxed winter knowing for a fact that we’re already working on delivering terrific quality in a commendable TAT!

5. Drink that eggnog

If you’re out of the “love it or hate it” dilemma, take a look at George Washington’s very own recipe for Eggnog – just remember that he forgot to record how many eggs he used! A dozen sounds likely to us though.

4. Make cookies

Or stock them up and start munching. We’re serious.

3. Hang stockings

Santa can drop by you know.

2. Bring out the lighting

Show some Christmas love to your home. Bring out the lights and get down to decorating. What’s Christmas without lights and a makeshift snowman?

1. Decorate the Tree

Decorate your Christmas tree with stars, turtle doves, candy canes, and what not. While some Americans get to have a real tree, an artificial indoor tree is a great option too! So put your DIY skills to good use and decorate a mind-blowing tree this time!

Outsource bookkeeping and accounting to Velan Bookeeping and find time to do all that’s listed on the “10 things to do this Christmas” list! Call us @ +1-860-215-4997 or email to info@velaninfo.com and we’ll ensure your work continues as usual while you get time to enjoy Christmas.

Topics: Accounting