Governmental accounting and financial reporting requirements under FAR can be increasingly challenging and may hinder business expansion and profitability, especially if there are several operational inefficiencies.
According to one report, the number of small businesses that receive government contracts plummeted sharply by 12.7% in four years. Companies and organizations require reliable resources that have implemented various governmental accounting and reporting systems, and passed DCAA audits.
Outsourcing your accounting needs to Diener & Associates can help reduce risks and improve regulation-related expertise, helping you to maintain compliance and grow your business.
Why Outsource Your Government Contractor Accounting?
All government contractors must follow the necessary accounting and reporting requirements. This means managers or other officials of small and mid-sized government contractors must ensure the accounting practices remain fully compliant. Managers have to bridge differences between data-based decisions and available resources while reducing costs and increasing financial resources.
Listed below are a few of the reasons to outsource accounting as a government contractor:
Outsourced accounting services make it easier for contractors to comply with all major auditing and regulatory agencies. This is particularly true for DFARS Clause 252.204.7012 hosting requirements (government contractors) as it assists in maintaining data security.
Outsourced accounting for government contractors allows companies to leverage accounting experts who can enhance the internal accounting system’s reliability and accuracy. These experts can also help organizations manage finances and reporting.
Accounting systems for various government contracts provide data analyses and precise reports, enabling deeper insights and knowledge into a contractor’s performance. This allows for better cash flow management and efficient decision-making necessary to seek growth opportunities.
Government bodies often experience staffing challenges, especially when filling public finance vacancies. Outsourcing accounting positions to professionals allows government contractors to manage various operations efficiently on a long and short-term basis.
The wide variety of staffing benefits government entities can accrue from outsourced accounting include reduced costs, little to no disruption in day-to-day functions and optimizing financial resources. An additional benefit is that of the services for various ancillary responsibilities including reconciliation, etc.
Moreover, outsourced accounting for government contractors does not need to be a full-fledged commitment. For example, you can outsource a specific position or task or give complete control of government contractor accounting operations. Outsourced accounting helps companies bridge the gap efficiently.
Conducting a DCAA audit (annual incurred cost, systems, etc.) is a common occurrence in the life of a government defense contractor. However, it is increasingly challenging for small and mid-sized government contractors to provide the abundance of information required for these audits with varying reporting and standards.
Outsourcing these responsibilities to seasoned CPAs ensures the audit preparation and/or audit is performed with reliable practices and results.
Managed accounting solutions for government contracts improve effectiveness by outsourcing or automating essential accounting operations, freeing resources and saving money and time. In addition, professional outsourced accounting services help increase business efficiency by guarding access to primary data.
Reduce Cost significantly
Outsourced accounting for government contracts helps you reduce business costs significantly. You no longer have to maintain in-house accounting advisors on payrolls. Moreover, you could see considerable savings as accounting experts may uncover significant tax benefits that would not have been otherwise discovered.
Get In Touch With Qualified CPAs At Diener & Associates
Small contractors and startups require low-cost, effective accounting services to help save money, time and effort while improving their profitability. The expert CPAs at Diener & Associates can provide efficient outsourced accounting solutions for companies requiring assistance with payroll, bookkeeping, taxes and much more.
Government contractors must adhere to a wide range of complex accounting requirements, including tax regulations and laws, that must be accurately managed to maintain the contract, and are overall beneficial to ensure the smooth functioning of a business. For a small or midsize business, or first time contract holder, this can lead to exhaustive work hours and as a result, create poor operational inefficiencies.
Outsourcing accounting services for your government contracts (including FAR and DCAA compliance) to a professional accounting firm such as Diener & Associates can save your company money directly and indirectly.
Their experience will help you achieve and maintain compliance with SBA, FAR, DCAA, CAS, etc., keeping your business financially secure before, during and after the contract.
With their professional CPAs, you will receive expert accounting solutions with their service and help with tax filing and submission of financial statements and reports allowing you to put your focus on the contract.
For more info, visit our website or contact us directly!