A recent QuickBooks survey found that over 60% of small business owners in the US are stressed about finances. If you run a growing business, you most likely already know whether to employ a local accountant or consider remote accounting services for your books.
Accounting is no more about payroll and taxes only. It is about knowing your finances so you can make better choices. It is a huge decision between remote and local accounting teams as technology makes remote work more easier than ever. Each choice has advantages and disadvantages and the best choice is determined by your business's requirements, budget and expansion plans. In this blog, let us break it down in simple terms.
What Can a Local Accounting Team Offer?
A local accounting team lives in your town or region and is available for in person meetings. Whether it is your CPA office across town or maybe a small firm in your business district, working with somebody nearby simply seems convenient and familiar.
Pros of Local Accountants
- Face-to-Face Communication: You could walk into their office or call a meeting if needed. Some individuals think it is simpler to explain finances and business in person.
- Local Expertise: A local accountant usually knows more state and city-specific tax laws, licenses and regulations. This is especially useful for companies with brick-and-mortar locations.
- Hands-On Support: Need help organizing physical documents or receipts? Local teams can provide onsite visits, audits or even staff training.
Cons of Local Accountants
- Higher Cost: Local firms charge more frequently in more expensive locations like New York or San Francisco.
- Limited Availability: You might have to make appointments ahead of time. And when they are short-staffed, they could experience delays.
- Smaller Talent Pool: You are restricted to the professionals in your area, which might restrict your access to specialized abilities.
What Are Remote Accounting Teams?
Remote accounting teams and virtual accountants can work from anywhere, usually in different time zones. They contact you via emails, video calls, cloud software and secure platforms.
They're often part of remote accounting services offered by outsourced accounting firms.
Pros of Remote Accounting Teams
- Cost-Effective: Hiring a remote accountant is generally less expensive than keeping a local, in-house team. This is particularly true when you use outsourced accounting services which provide flexible plans.
- Access to Experts: You aren't bound to geography. In case your small business requires someone experienced in eCommerce bookkeeping, SaaS tax reporting or multi-state payroll, a remote accountant can assist you.
- Scalability: Want help just during tax season or a huge audit? Remote teams scale their support as necessary, saving you cash in quieter months.
- Round-the-Clock Work: In case your team works across time zones or around the world, having remote accountants from various areas can provide 24/7 financial monitoring.
Cons of Remote Accounting Teams
- Less Personal Interaction: Not everybody is comfortable managing very important matters via Zoom or email. It can feel impersonal sometimes.
- Challenges with Communication: Time zone differences or unclear instructions can cause confusion if expectations aren't set clearly.
- Security Concerns: You're posting private financial data online. Nearly all remote accounting services have stringent security systems but it is a genuine concern for most business owners.
Local vs Remote Accounting Team: Main Differences at a Glance
|
Feature |
Local Accounting Team |
Remote Accounting Team |
|
Accessibility |
Face-to-face meetings |
Video/phone/email communication |
|
Cost |
Generally higher |
Usually more affordable |
|
Talent Pool |
Limited to your area |
Global access to skills |
|
Flexibility |
Fixed hours |
Scalable and on-demand |
|
Compliance Help |
Strong local/state law expertise |
May need local support |
|
Technology Use |
Often traditional methods |
Heavy use of cloud tools |
When Should You Choose a Local Accountant?
These are instances where hiring an accountant locally might be the proper move :
- Your business has lots of paperwork, regular audits or in-person meetings.
- You work in a state regulated business (like construction or medical practice).
- You are not tech savvy and enjoy old fashioned, face-to-face conversations.
- You need somebody who understands your town's licensing, local tax incentives or business grants.
Tip: In case you aren't quite ready to totally outsource your accounting, you can still see a local CPA quarterly for strategic advice.
Why Make Use of a Remote Accounting Team?
A remote accountant or outsourced accountant is best if:
- You are a startup or business aiming to bring down operating expenses.
- You currently use cloud solutions like QuickBooks Online, Xero, or FreshBooks.
- You will need specialized expertise (multi-state tax filing, digital product sales, etc.
- You have to scale up or down with no long term contracts.
- You know how to manage remote teams or freelancers already.
Tip: Some remote accounting services provide packages that include monthly reports, compliance checks, tax filing and even financial planning without an in-house hire.
Also Read: Seizing Global Accounting Services for CPA Firm Development
Conclusion
So, should you choose a local team or remote accounting?
If you like personal interaction, require hands-on support and work in a location sensitive industry, a local accounting team could be for you. But in case you want flexibility, cost savings, expert access and scalable support, hiring a remote accountant might be your smartest hire.
The main consideration is that the team recognizes your objectives, your working style and your company. Accounting forms your financial base. Whether you go local or remote, pick wisely and then plan ahead.
