Outsourcing Can Be a Game Changer for Small Businesses

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Many people consider multitasking—managing several projects at once—to be a productive way to work. However, research shows that our brains don’t do a good job shifting our attention from one task to another.

In fact, the American Psychological Association maintains that multitasking reduces productivity and effectiveness by 40 percent, as well as increases mental fatigue and stress.

So what’s the solution?

For entrepreneurs who are working extremely hard to grow their business, the answer is outsourcing. Because business growth takes time and money, entrepreneurs need to focus on the tasks that drive the largest ROI.

Outsourcing can be extremely helpful in boosting growth because:

— It saves money and frees up capital to invest elsewhere

— Enables you to focus on the activities you do best

— Surrounds you with experts in the field and gives you access to talent

— Provides better work/life balance

— Offers instant support

— Increases efficiency

— Frees up time to concentrate on core business activities

Businesses should consider outsourcing their marketing needs, administrative tasks, accounting and IT services, and human resources function.

Marketing: A strong marketing plan is vital in developing a high-quality brand and a positive company perception. Outsourcing your marketing efforts to an experienced professional or agency can end up saving you money and providing extremely positive results.

And you won’t be alone. According to Accenture’s “Turbulence for the CMO” report, chief marketing officers outsource between 45 and 75% of their marketing activities, which include blogging, social media, SEO, content, analytics, reputation management, email campaigns, press releases, website development and branding.  

Administrative tasks: Businesses can’t function without clerical responsibilities, such as scheduling and coordinating meetings, appointments and events; preparing presentation materials; answering phones; maintaining files; managing documents; and sending correspondence. But these are not core business tasks and can be easily outsourced to a virtual assistant or an administrative service.

Accounting services: In 2014, the IRS issued employment tax and payroll penalties totaling $4.5 billion to small business owners. This number was an improvement from 2009, when the IRS issued penalties of $7.1 billion. The reason for these penalties includes improper filings, omissions and mistakes.

To avoid expensive errors, entrepreneurs should consider using a reliable outsourcing service to manage your payroll, bookkeeping, invoicing and financial reporting.

Information technology services: Outsourcing IT can be a good idea if you are not an IT company. Because managing IT operations in-house tends to be expensive and specialized, outsourcing to a firm that focuses on IT maintenance, security and repair is a smart idea.

Human resources: There are many parts of the HR function, including recruiting, screening, interviewing and placing employees. HR also manages employee relations, benefits and training. Outsourcing these tasks to a firm that specializes in HR is a good choice since these firms are skilled and educated on current employment laws and trends.

Running a business is fun and exciting, but it also can be challenging and time-consuming. Outsourcing allows business owners more time to focus on high-level strategy, new opportunities for growth and the tasks they actually enjoy. In addition, an outside perspective equates to expertise and innovation. Now that’s a win-win for every business.

There are lots of options to help your business operate as efficiently as possible. We can help you get started! Call us at 866-5454-1867 and you can speak with one of our business experts.

Sources:

https://www.apa.org/research/action/multitask

https://www.accenture.com/gb-en/blogs/blogs-turbulence-for-cmo

https://www.irs.gov/pub/irs-soi/13databk.pdf