What if I tell there is a way to improve your bottom line AND eliminate accounting woes?
What if I tell 40% of your monthly average time goes in maintaining accounting books.
That’s where outsourcing your accounting process comes in. Let’s deep dive to understand with a story of an auto care owner.
Meet Mr. Bob from Cleveland
Mr. Bob has a team of 4 in his Moto Care Shop providing top-notch tire, brake change, suspension, oil change, battery replacement and more services. He has been in business for more than 7 years now. He starts at 7 in the morning and spends his entire day in managing staff and customers’ needs.
However, he is facing challenges that’re creating barriers for his business growth. He constantly juggles with cash collections, vendor reconciliation, returned part management, timely bank reconciliation, and deposit sales reconciliation.
Mr. Bob is always on the lookout for ways to run, sustain and thrive. After the overheads are paid, a thin profit margin is left with him. Moreover, he has no time to introspect about the financial position of his auto care shops. His books are not audit ready. And at the end, he pays more to the accounting professional to keep the books clean and prepare for IRS form 1040.
Auto care business isn’t all about cars. As an owner, you need to reduce operational expenses, consistently focus on customer service and promote ways to sustain customers by leveraging technology and accounting expertise.
This is where, it becomes imperative to partner with a leading outsourced accounting firm to eliminate all your accounting woes. Outsourcing accounting helps you to take your auto repair shop to the next level. Also, your decision to outsource auto repair shop accounting comes with significant benefits.
Top 6 Benefits of Outsourced Auto Care Accounting
Accurate Accounting & Bookkeeping
Outsourced accounting service providers stay abreast with the changing regulations and bring their auto care domain expertise and experience to improve accounting accuracy. This in turn helps you to free up your critical resources and gain peace of mind with clean books and audit ready financials.
By constantly improving the processes and implementing best practices, accounting gets simplified, and you have complete control of the operations and financials.
Outsourced accounting partners balance the numbers. They provide powerful financial insights, enabling you to make informed decisions, discover efficiencies and growth opportunities.
After nearly three years working with Pacific Accounting and Business Services, we at Midas Hawaii can say that the team at PABS has our interest top of mind. Even more, the cost for the PABS services is about 50% of what we previously paid for an internal accounting staff. Their team has helped us create new reporting and procedures that led to better management and more profitable operation. Their detailed revenue, COGS and gross profit analyses have helped us to make informed decision for operations of our shops.
Owner, Midas Hawaii
Efficient Tracking of Purchased & Returned Auto Parts
Full visibility of purchased and returned auto parts is inevitable. It helps fulfill customer requirements in a timely fashion and maximize your profits.
Internal tracking of inventory is time-consuming and disrupts flow and productivity of your team. Needless to mention sorting discrepancies also engages more resources.
Outsourced accounting partners complete your auto parts inventory tracking before, during, or after business hours. It fits your schedule and minimizes interruptions, helping to maintain productivity and efficiencies.
More Time to Focus on Daily Operations and Innovation
You wear a lot of hats to keep an eye on everything for running an auto repair shop successfully. Preparing books is the last thing you would like to do at the end of a long day.
By outsourcing business critical tasks like accounting, you have more time to focus on core business strategies, daily operations and innovation. It allows you to bring back focus on customer acquisition, optimizing employee potentials and more billing while feeling assured that your important financials are well-tracked and accurate.
Verified Cash Deposits
Keeping track of variety of cash transactions in your auto repair shops or franchisees is challenging. The outsourced auto care accounting services help verify cash receipts and expenditure between time periods.
Ensure the accuracy of your auto care shop’s cash flow by comparing and matching the account balance on balance sheet. Also, match the credit card statement with your internal records helping you to gain insights into any irregularities.
We outsourced the complete responsibility for our accounting to PABS. The internal control that PABS has brought into our business is impeccable and applied consistently by PABS. Be it the verification of daily cash deposit for each and every location or return parts tracking and management, PABS takes care of everything. We have been working with PABS team since 2018, I highly recommend using them for your accounting needs.
Owner, Midas of Richmond
Outsourced auto care accounting services perform vendor reconciliation to ensure that you don’t overpay or underpay your vendors. Identify discrepancies between vendor invoices and your actual expenses so that you resolve them easily and improve vendor relationships.
While you are occupied by tire, brake change, suspension, oil change, battery replacement and more, certified professionals of your partner conduct periodic vendor reconciliation and maintain transparency in the financials.
Improved Cash Flow
Forecast cash flow accurately with the help of your outsourced accounting partner. You may have various ways to get extra cash for your business, your accounting partner will keep track of your daily cash flow without accounting errors.
You’ll also get access to custom reports for sales, expenditure, daily cash flow and other transactions enabling you to track financial performance and easily adjust short-term goals.
Never take your eyes off the cash flow because it’s the lifeblood of business.
-Sir Richard Branson
For running an auto repair shop successfully, you are constantly under pressure to build a strong brand, bring back customer-focus and be efficient. Also, you have to create balance between customer-driven activities (vehicle repair, maintenance, innovation) and business-driven activities (accounting, inventory tracking, payroll).
Partnering with PABS helps you to have a firm grip on operations, a tracking mechanism for purchased and returned auto parts and insights to maximize opportunities while overcoming accounting and compliance challenges. It is a great way to maximize your profit margins and take your auto repair shop to the next level.
Our certified professionals have been providing unparalleled auto repair shop accounting and bookkeeping services to the auto care industry for more than a decade. Our deep domain expertise and insights positively impact the business bottom line.
So, what are you waiting for? Bring back focus on staff, customers, innovation and more billing to grow exponentially like our clients across 220+ locations.