According to the American Institute of Certified Public Accountants (AICPA), fewer people are graduating with accounting degrees than in years past, and the number of people taking and passing the certified public accountant (CPA) exam is dropping. Meanwhile, a 2022 Deloitte poll found that 82% of hiring managers for accounting and financial positions at public companies and 69% at private companies said talent retention is a challenge1.
This poses a serious problem for accounting and finance firms, who need qualified and experienced professionals to manage their financial processes, ensure regulatory compliance, and provide accurate and timely reporting. Without enough accountants, businesses could face increased risks of financial reporting deficiencies, fraud, errors, and penalties.
So how can accounting and finance firms overcome this industry shortage and find the best accounting talent?
Specialized accounting recruiters agencies
One solution is to partner with specialized accounting recruiters who can offer offshore staffing solutions. These companies help accounting firms hire qualified and experienced accountants from different countries at a fraction of the cost of hiring locally.
For example, South American countries are emerging as thriving labor markets due it's a highly educated workforce, English proficiency, and predispositions for contractor deals in the US.
These companies usually have a pre-vetted pool of trained accountants who can handle various accounting tasks, such as bookkeeping, payroll, tax preparation, auditing, financial analysis, and more. They can also handle administrative tasks such as payroll, taxes, contracts, benefits, compliance, etc., as well as provide training, coaching, mentoring, and performance evaluation to your offshore team.
Benefits of offshore staffing solutions
According to the 2022 ATAWW survey by ConvergenceCoaching®, 81% of accounting firms consulted that already have a remote team hired offshore employees in 2022.
This trend is not only changing the way accounting firms operate but also impacting the entire industry as more and more firms are considering innovative ways to reach these offshore labor markets. But Why?
Here are some reasons for this 38% increase (from 2020 records) in remote and offshore hires among accounting firms:
- Cost savings: Offshore staffing can reduce labor costs by up to 70%, as firms can access a pool of accountants from countries with lower wages and living expenses. You can also save on overhead costs such as office space, equipment, taxes, benefits, and training.
- Quality: Expanding the candidates' pool also means a wide range of skills and experience backgrounds for your particular industry and niche. Also, offshore staffing agencies are used to working with multiple clients with very different needs so they have more experience to match you with the best candidates for your projects and goals.
- Flexibility: Scaling up or down as you need is not as easy when accounting firms face a closing labor market and contractual limitations. Offshore staffing solutions can allow you to adjust your team size and composition according to your changing needs and demands. You can hire accountants for short-term or long-term assignments, full-time or part-time, seasonal or year-round, depending on your requirements.
- Hiring efficiency: Most staffing solutions take care of end-to-end management. This means everything from selecting candidates to payments. Some agencies can secure a perfect match in only 20 days with minimum effort from the hiring company. This fast and smart way of hiring is of great value in times challenging times as the one facing the US accounting industry.
Accounting staffing firms are a great way to overcome the shortage of accountants in the US and gain a competitive edge in the market. However, not all accounting recruiters are created equal. You need to choose a reputable and reliable partner who can provide you with high-quality offshore staffing solutions that meet your expectations and standards.
How to Choose the Right Accounting Recruiters
Experience: Look for accounting recruiters who have extensive experience in the accounting industry and understand its trends, challenges, regulations, and best practices. They should also have experience in providing offshore staffing solutions to clients in your industry and niche.
Reputation: Look for accounting recruiters who have a good reputation in the market and among their clients. Check their reviews, testimonials, ratings, awards, accreditations, and references to verify their credibility and quality.
Network: Look for accounting recruiters who have a large and diverse network of qualified and vetted accountants from different countries. They should be able to source candidates who match your criteria in terms of skills, experience, education, certification, language proficiency, work ethic, and cultural fit.
Communication: Look for accounting recruiters who have clear and effective communication channels with you and your offshore team. They should be able to communicate your expectations, feedback, instructions, goals, and progress to your offshore team regularly and promptly. They should also be able to resolve any issues or concerns that may arise during the collaboration.
Support: Look for accounting recruiters who provide ongoing support and assistance to you and your offshore team throughout the partnership. They should be able to handle administrative tasks such as payroll, taxes, contracts, benefits, compliance, etc., as well as provide training, coaching, mentoring, and performance evaluation to your offshore team.
By choosing the right accounting recruiters for your offshore staffing solutions, you can enjoy the benefits of having a skilled, experienced, and dedicated team of accountants working for you at a fraction of the cost. You can also improve the quality, flexibility, and efficiency of your accounting services, and focus on growing your business and achieving your goals.
Vintti: A great alternative for offshoring accounting
If you are looking for a reliable and cost-effective offshore accounting service provider, you may want to consider Vintti. Vintti is a headhunter agency that specializes in providing world-class financial and accounting talent from South America, fully aligned with your time zone. Vintti can help you find and hire qualified and experienced accountants who have excellent proficiency in US GAAP, cultural fit, and communication skills. Vintti can also handle all the formalities of hiring and managing the offshore team, saving you time and hassle.
By working with Vintti, you can enjoy the benefits of offshoring accounting without compromising on quality and security. To learn more about Vintti and how they can help you with your accounting needs, book a call with us.