In today’s fast-paced business environment, companies are constantly looking for ways to improve their efficiency at a reduced cost. One popular trend and strategy is outsourcing, and the Philippines has emerged as one of the top destinations for US companies seeking to outsource their accounting functions.
With its highly skilled workforce, favorable business environment, cost-effective services, and robust infrastructure, US companies looking for efficient and reliable accounting and bookkeeping services are turning to the Philippines. Whether it’s outsourced accounting, cloud accountants, or other accounting functions, the Philippines has become a hub that offers a range of services to help businesses streamline their operations and focus on their core competencies.
In this article, we’ll take a closer look at why the Philippines is a top outsourcing destination for US companies, which top companies outsource to the Philippines, and the key factors that make the country such an attractive option for businesses seeking to optimize their accounting and bookkeeping processes.
Why outsource to the Philippines
If you are a US company that is considering outsourcing your accounting and bookkeeping functions, you may be wondering why the Philippines is a top destination. Let’s explore the reasons why below.
One of the primary reasons why US companies outsource their accounting and bookkeeping functions to the Philippines is cost efficiency. The cost of living in the Philippines is relatively low compared to many other countries, which translates into lower labor costs for businesses. This means that US companies can save on overhead costs such as salaries, benefits, and office space without sacrificing quality or productivity.
Highly Skilled Workers
The Philippines is known for having a highly skilled workforce, which is one of the key reasons why US companies choose to outsource their accounting and bookkeeping functions to the country. Accounting is a highly lucrative profession in the Philippines. Filipinos who aspire to become public accountants need to pass one of the most difficult licensure exams in the country.
This ensures that Filipino accountants are well-trained and knowledgeable in their field, making them an asset to any company they work with. US companies can trust that they will be working with highly skilled professionals when outsourcing to the Philippines.
High level of English Proficiency
Another key reason why the Philippines is a top outsourcing destination for US companies is the high level of English proficiency among its workforce. As English is taught in schools from an early age, the country has a large pool of workers who are fluent in English and can communicate effectively with US clients so there are no language barriers to slow down the workflow.
This is especially important for accounting and bookkeeping functions, where clear and seamless communication is crucial for accuracy and efficiency. Furthermore, Filipinos are known for being friendly and courteous, making them a pleasure to work with. If you’re thinking of having cloud accountants from the Philippines, you are sure to receive exceptional service at all times.
In addition to their proficiency in English, Filipinos also share a similar cultural compatibility with the US, which makes them an ideal choice for US companies looking to outsource their accounting and bookkeeping functions. The Philippines has a strong American cultural influence, having been a US territory from 1898 to 1946.
This means that Filipinos are very much familiar with American customs, values, and business practices, making it easy for them to grasp the needs and expectations of US clients. Moreover, Filipinos are highly adaptable so they are well-suited to working with US companies.
Another key advantage of outsourcing to the Philippines is the timezone neutrality of the country. Many BPOs (business process outsourcing companies) in the Philippines have adopted a night shift schedule for their employees, which allows them to work during US business hours. Through this scheme, they can provide 24/7 support to their clients without any service disruption.
This timezone neutrality makes it easy for US companies to collaborate with their outsourced teams in real-time, without having to worry about delays or communication issues.
Full government support
The outsourcing industry enjoys full government support, which makes it an attractive option for US companies looking to outsource their accounting and bookkeeping functions. The Philippine government has established the Philippine Economic Zone Authority (PEZA), a government agency that provides incentives to businesses operating in designated economic zones in the country. Some of these incentives include tax holidays, duty-free importation of capital equipment, and simplified custom procedures, among others.
In addition, the Philippines has been continuously improving its telecommunications and transportation networks in support of the growing outsourcing industry. With this utmost support, US companies are assured of a stable business environment when outsourcing accounting and bookkeeping functions to the Philippines.
Should you outsource your accounting functions to the Philippines?
Yes, you should outsource your accounting function to the Philippines. As mentioned above, there are a lot of benefits when you decide to hire an offshore accounting team in the country. Moreover, outsourcing enables you to protect yourself from the complications of regulation and compliance when you employ people in-house.
Additionally, you will be employing experts and professionals in the field so you are assured that your business will be in safe hands. Because of the expertise that these offshore professionals provide, you will be able to focus on growing your business and not worry about complex finance and accounting management.
Outsource your accounting functions and build your team of expert accountants with CloudCfo
As US companies continue to seek ways to optimize their operations, outsourcing accounting and bookkeeping services functions to the Philippines has become an increasingly popular option. If you’re looking for a cloud accounting firm that will help you with all your accounting needs, look no further than CloudCfo.
CloudCfo offers US companies a unique opportunity to build their team of expert accountants without the hassle and expense of the traditional hiring process. Through CloudCfo’s new and improved WebApp, clients can easily access their financial data and communicate with their dedicated team of accountants in real time. Below are the services that CloudCfo’s team of experienced and certified cloud accountants provide.
With CloudCfo’s online bookkeeping services, clients send all necessary financial documents so our team can define and track clear processing times to ensure that you get the updates you need when you need them.
Catch Up Accounting
CloudCfo’s catch-up accounting services help businesses whose books have fallen behind. With a focus on setting clear priorities and tracking progress through the CloudCfo WebApp, clients can count on timely and efficient updates to their financial records.
Financial Closing and Reporting
CloudCfo provides accurate and timely financial reporting services with a focus on maintaining strict controls and adhering to industry standards. By reconciling bank accounts and transaction interfaces regularly, clients can count on a streamlined financial closing process.
Set Up and Systems Integrations
CloudCfo assists clients in setting up cloud-based systems tailored to their specific objectives and requirements, including e-commerce, fintech, and payments processing. By defining clear processes, clients can fully leverage system efficiencies, saving time and costs for their business.
CloudCfo as your growth partner
CloudCfo commits to being a growth partner for businesses and corporations. We are experts in accounting, bookkeeping, and various finance management services. Moreover, our cloud accountants are knowledgeable and trained on the latest accounting tools and software so businesses are assured that they can focus more on growing and scaling, without the added hassle of managing complicated accounting functions.
CloudCfo does not believe in a one-size fits all solution. With our team’s thorough assessment, we can give clear processes that are tailored to your business and industry. In addition, businesses are assured of full transparency when it comes to timelines and deliverables.
CloudCfo’s team of professional accountants are experts in various accounting, bookkeeping, and other finance functions. Because of this, the team can provide sound financial reports that help businesses make informed decisions.
Aside from the team of cloud accountants’ knowledge of the latest and widely used accounting and finance tools and software, CloudCfo also has its own WebApp that ensures an efficient and elevated user experience and satisfaction. CloudCfo also has its ecosystem of tools and is continuously improving its use of technology for a seamless experience from gathering information to pushing transactions to the accounting software.
FAQs on Why is the Philippines a Top Outsourcing Destination for US Companies?
What is outsourcing, and why do companies do it?
Outsourcing refers to the practice of hiring a third-party company or individual to perform tasks that would normally be done by in-house employees. The concept has become increasingly popular in recent years, as companies have looked for ways to reduce costs and improve efficiency.
The key reasons why companies choose to outsource are cost savings, focus on their core business functions, utilizing specialized expertise and technology that might not be available in-house, and lastly improving business efficiency in a competitive market.
How does CloudCfo contribute to the Philippines being a top outsourcing destination for US companies?
CloudCfo contributes to the Philippines being a top outsourcing destination for US companies because it is one of the leading providers of cloud accounting and finance outsourcing services. It provides businesses access to highly skilled accounting professionals trained in the latest accounting software and technologies. CloudCfo also utilizes cloud technology to streamline processes, reduce costs, and improve efficiency, which helps clients save time and money while also improving the quality and accuracy of their financial reports.
How does CloudCfo fit into the outsourcing landscape in the Philippines?
CloudCfo has made a significant contribution to the outsourcing landscape in the Philippines. The company’s expertise, technology-driven approach, and a pool of accounting experts have continuously helped to establish the Philippines as a top outsourcing destination for accounting and bookkeeping services.
CloudCfo is an accounting and finance services provider located in Manila, Philippines. We build a team of accounting professionals that handle our client’s business accounting and finance functions so business owners can focus more on scaling and growing their businesses. We tailor our services according to each of our client’s business needs and offer flexibility, full transparency, and accountability in all the systems, workflows, and processes that we implement.