Outsourcing (or contracting out) is often defined as the delegation of non-core operations or jobs from internal production within a business to an external entity (such as a subcontractor) that specializes in that operation. Outsourcing is a business decision that is often made to lower costs or focus on competencies. Outsourcing always involves a considerable degree of two-way information exchange, coordination, and trust. “Outsourcing” became a popular buzzword in business and management in the mid-1990s. (Wikipedia)

The fact that many large businesses outsource and continue to outsource suggests that, in many cases, outsourcing is successful in that it increases product quality, lowers costs substantially, or both.

Professor Drezner reports that for every dollar spent on outsourcing to India, the United States reaps between $1.12 and $1.14 in benefits. Drezner also points out that large software companies such as Microsoft and Oracle have increased outsourcing and used the savings for investment and larger domestic payrolls.

Likewise, outsourcing can present advantages to non-Western states. "Developing" countries, such as China or India, benefit from the patronage of companies that outsource to them - in terms of increased wages, job prestige, education and quality of life.

On a political level, there are also benefits. As Thomas L. Friedman details, countries with a vested interest in their economies are much less likely to go to war, and there is virtually no possibility that they will go to war with countries that participate in their economies.

Offshore outsourcing has provided many businesses with the opportunity to harvest the benefits of lower labor costs and to exploit the value of less than par foreign currencies. Through outsourcing, companies today have the ability to develop competitive strategies that will leverage their financial positions in the ever competitive global marketplace.

Some of the major advantages that today’s organizations can expect to obtain through outsourcing are:

• Ability to purchase intellectual capital
• Ability to focus on core competencies
• Ability to better anticipate future costs
• Ability to lower costs

Overall outsourcing is viewed by many organizations as a strong business tactic that ultimately is a superior economical approach to developing products and services. (Wikipedia)

Although nobody is predicting that all finance tasks will be completely outsourced, finance remains one of the highest outsourced functions. A study by Ross Research predicts that finance and accounting outsourcing will continue to be one of the hottest segments of the outsourcing industry during 2004.

Timely, accurate financial and accounting information is crucial for corporations hoping to maintain a competitive edge in the market. Outsourcing back-office finance and accounting (F&A) enables the client to focus on their core business while cutting costs.

Finance and accounting outsourcing typically involves managing procedure-driven functions such as accounts payable, general ledger, fixed assets, accounts receivable, billing, payroll, and benefits administration, among others.

Benefits management 51% Payroll 49% Human resources 26% Internal auditing 26%

• One stop-shop for all finance & accounting services
• Lower finance & accounting overheads
• Greater accuracy and faster processing
• Optimized collections, tax management, risk management, financial reporting etc.

We at OutsourcingCPA are conversant, experienced and proficient in using the standard accounting software of QuickBooks and Lacerte and can work and adapt quickly to any customized software as well. We have the standard accounting packages like QuickBooks Premier, QuickBooks Pro and QuickBooks Enterprise Solutions Series.

We extensively use multiple excel files and templates to prepare and generate financial statements and reports.

Nothing is more important to us than maintaining and guaranteeing the confidentiality and security of the information with which we are entrusted. We have developed a comprehensive security policy including:

• 24/7 monitoring
• restrict internet explorer and personal e-mail access
• paperless environment