Finance and accounting outsourcing means assigning your financial tasks to a specialist external team instead of managing them inside your company. It gives you access to trained professionals who handle bookkeeping, financial reporting, taxes, and payroll on your behalf.
In 2025, finance and accounting outsourcing has become a significant advantage for many businesses. Instead of building an in-house team, companies now tap into:
- Global experts
- Advanced systems
- Updated tax + regulatory knowledge base
The advantage? More financial confidence without the weight of hiring, training, or managing staff. Also, several companies have cut their costs, strengthened compliance, and freed their team from routine tasks.
Want to know more? Read this article to first understand what finance and accounting outsourcing is and then check out seven of its major benefits you can realize in 2025.
What is Finance and Accounting Outsourcing?
Finance and Accounting Outsourcing (FAO) means hiring an outside company to handle some or all of your finance and accounting work instead of doing it inside your business. It is like having a full finance team, but you don’t employ them directly. You pay a service provider, and they run the entire finance function for you. Usually, FAO covers the following services:
- Bookkeeping
- Paying suppliers and collecting customer payments
- Payroll
- Tax filing
- Month-end close and reporting
- Budgeting and forecasting
- Compliance and internal controls
The best part? You get trained finance professionals + advanced software without the need for hiring, training, or building a department.
What Does Recent Data Show?
Studies show that a specific area called Record-to-Report (R2R) is a major part of the FAO (with 28% market share) because companies want accurate + up-to-date reports. Additionally, cloud-based systems are the most common nowadays because they are easy to scale, cheaper to maintain, and connect with tools like AI and automation.
To be aware of the latest trends, let’s check out some more recent statistics or data points:
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- Large D2C companies and consumer brands outsource more because they operate in many countries (say the US, UK, and Australia) and have complex financial needs.
- Outsourcing can:
-
- Cut costs by 30 to 50%
- Raise process speed by 10 to 30%
- Increase productivity by 20 to 30%
- AI + automation reduces errors, helps in audits, and supports better forecasting. Many improvements in accuracy cross the 50% mark because machines handle repetitive work.
7 Major Benefits of Finance and Accounting Outsourcing
Research shows that several companies outsourcing F&A can cut costs by 20-60%. But how? That’s because accounting outsourcing companies, like Atidiv, allow them to:
- Access specialized talent from Day 1
and
- Free their internal teams for strategic priorities
To better understand how finance and accounting outsourcing helps, check out some of its major benefits below:
1. Lower Cost Without Building a Full Department
Running an internal finance team is expensive because each hire comes with a:
- Salary
- Medical insurance
- Leave benefits
- Retirement contributions
You also spend time and money reviewing applications, screening resumes, and interviewing candidates. In 2025, this is becoming harder! Studies show that about 84% of CFOs struggle to find skilled finance professionals. Even after hiring, you must onboard and train the employee, which often costs 2% to 5% of revenues per hire.
Now, finance and accounting outsourcing removes these costs and gives you a complete finance team ready from the first day. You pay roughly what a single full-time accountant would cost while gaining access to more skills. The pricing is also flexible because accounting outsourcing companies usually charge based on services, so your spending varies with your business needs.
2. Access to Better Software Without Buying It
Most small businesses start with simple tools like QuickBooks, which need a lot of manual work. As the business grows, financial transactions increase and reporting needs expand. At that stage, companies need advanced systems that can manage complexity.
But the problem? These systems are cloud-based and AI-powered. Their total cost includes licensing, upgrades, and IT staff to maintain hardware. For many small companies, this becomes expensive!
Now, when you outsource to a “Finance-as-a-Service provider”, you get these advanced tools without purchasing or maintaining them. Several leading US accounting firms even offer automated + real-time reporting, so you can check your financial position whenever you need it.
3. Access to Skilled Talent From Anywhere
When you hire only within your city, your options are limited to candidates who live nearby or are willing to move. This makes it harder to find specialists, particularly in areas like tax, reporting, or financial planning.
Finance and accounting outsourcing removes this limit. You can:
- Build a team from a global talent pool
and
- Select people with deep expertise in the areas you need.
For example, a US accounting firm, like Atidiv, lets you access its network of 390,000+ chartered accountants and CPAs. This allows you to get access to specialists for complex tasks such as:
- Bookkeeping
- Financial reporting
- Budgeting
- Forecasting
- Compliance
As a result, instead of depending on one or two in-house staff, you gain a broader range of support that can even adjust as your business grows.
4. Easy Setup + Faster Growth
Many D2C companies earning $5M+ revenue want to grow quickly. But the bottleneck? Their finance systems slow them down because these systems are not built for scale. When something breaks or becomes outdated, most businesses try to upgrade their internal tools. Studies show that this usually takes 18 to 24 months to:
- Select the right software
- Install it
- Integrate it
- Train staff
During this period, growth plans often stall. Finance-as-a-Service (FaaS) provider bypasses this long cycle. They already have the required tools, workflows, and teams in place. When you outsource, they can set up your entire finance function in 30 to 90 days.
The advantage? You avoid long delays, reduce project risks, and gain a finance setup that moves at the same pace as your business.
5. Strong Controls and Lower Compliance Risk
Usually, small consumer brands have one person handling bookkeeping, payments, and reporting. This creates risk because there is:
- No separation of duties
and
- No second layer of review
The worst? Chances of errors and fraud increase significantly when too much responsibility sits with one individual. Now, an outsourced finance team brings structured controls from the start. These controls include:
- Splitting tasks so no single person manages all financial activities
- Implementing checks and approvals for cash flow movement
- Creating a transparent workflow for recording and reporting
Several finance and accounting outsourcing companies follow industry standards, which reduce the chances of mistakes and internal fraud.
6. Stable Reporting and Fewer Mistakes
When you work with accounting companies in the USA, you gain a team that prepares financial documents on predictable timelines. This consistency allows you to:
- Stay audit-ready
+
- Reduce the stress of last-minute cleanups
Additionally, outsourced teams follow strict processes that minimise errors, which also reduces the risk of fraud. A recent survey by Consero found that 53% of investor-backed CFOs saw higher accuracy and consistency in their financial reporting after partnering with an outsourced finance team.
7. More Time for Work That Grows the Business
A finance function must run every day! But most of its sub-tasks do not directly create growth, such as:
- Recording entries
- Closing the books
- Preparing reports
- Cleaning data
- Updating ledgers
They are necessary, but they consume leadership time. This is why 51% of financial leaders say time savings is one of the biggest benefits of finance and accounting outsourcing. When you outsource finance, you shift routine work to a specialised team. This frees founders, executives, and senior staff to focus on larger goals instead of daily accounting tasks.
Searching for a Finance and Accounting Outsourcing Partner? Atidiv has a 95% Client Retention Ratio!
So now you know finance and accounting outsourcing is the practice of handing your finance tasks to a specialised external team. It removes the need to build an in-house department and gives you access to advanced software + better talent.
Let’s recap some major benefits of finance and accounting outsourcing:
- Lower long-term finance costs
- Access to advanced technology
- Faster setup and improvement
- Strong internal controls
- Higher accuracy and cleaner books
- Better visibility for decisions
- More time for strategy
If you are searching for an experienced US accounting firm, you can hire Atidiv. We have 16+ years of experience and serve 70+ clients worldwide. Our expert team delivers bookkeeping, strategic financial advisory, financial process design, and more.
We deliver 100% accurate financial services starting at only $15 per hour. Book a free consultation to learn more.
Finance and Accounting Outsourcing FAQs
1. Is finance and accounting outsourcing really cheaper for a small business?
Yes! You avoid salaries, benefits, training, and hiring costs. Countries like India and the Philippines offer strong expertise at lower labor rates. You pay only for the services you use, which reduces expenses without lowering quality.
2. Will I lose control of my finances if I outsource?
No! You keep all authority over decisions + spending. The outsourcing team only acts as an extension of your internal accounting department. Most providers regularly offer progress reports, financial statements, and updates that give you 100% visibility.
3. What tasks can I safely hand over to an outsourced team?
You can outsource routine and technical work, such as:
- Bookkeeping
- Month-end close
- Reconciliations
- General ledger cleanup
- FP&A support
- Cash management
- Due diligence
This removes daily pressure so you and your staff can focus on customers, products, and strategic partnerships.
4. How does outsourcing help my business use better technology?
Usually, several growing D2C companies cannot afford advanced AI tools, automation, or 24/7 support. Finance and accounting outsourcing companies give you immediate access to these systems without buying software or hiring IT staff. You get stronger reporting, fewer errors, and real-time insights at a fraction of the cost.
5. Is finance and accounting outsourcing reliable during rapid growth or a busy season in 2025?
Yes! Several leading outsourcing providers, like Atidiv, scale capacity as your workload increases. Whether you add new locations, raise funding, or handle a heavy sales season, the team expands staffing without slowing you down.
6. Is outsourcing safe for compliance and audits?
Several accounting outsourcing companies:
- Follow strict controls
- Separate/ split duties among different finance professionals
- Maintain updated knowledge of tax and regulatory rules
This reduces the risk of errors and fraud and keeps your business compliant. Many firms also ensure your books remain audit-ready at all times.