Outsourcing vs. Upgrading: Two Options for Vacation Rental Accounting

Outsourcing vs. Upgrading: Two Options for Vacation Rental Accounting

The exacting demands of trust accounting create huge headaches at most vacation rental management businesses. Trust accounting is a time- and labor-intensive obligation that repeats month after month. Even harder, the particulars of trust accounting are foreign to many working accounting professionals and hard to learn quickly. That leaves many businesses in this booming industry struggling to stay on top of accounting – and struggling to sustain growth as a result.

There are two solutions: outsource accounting to a third-party with trust accounting experience, or upgrade to an accounting software that makes it easier to conduct trust accounting in house. Both options have unique advantages:

Benefits of Outsourced Accounting

Many vacation rental management firms would prefer not to worry about accounting at all, especially at small, new, or fast-growing outfits. They would rather hand all their accounting obligations off to someone else who knows how to do everything correctly, efficiently, and consistently: exactly what outsourcing provides.

With the right outsourced accounting partner, it’s like having a fully-staffed accounting team but without the struggle of recruiting or the cost of paying full-time salaries and benefits. In terms of accounting, firms have everything they need to grow, scale, or adapt at their disposal. Think of it as an all-encompassing solution to vacation rental accounting

Benefits of Superior Software

QuickBooks, the most popular small business accounting software, can’t handle trust accounting. In-house accountants or bookkeepers have to come up with workarounds and waste time operating inside a system that makes accounting harder, not easier. Upgrading to software that’s built for the needs of vacation rental management firms puts the tools in place to perfect trust accounting (and all accounting) without having to hire someone new.

Once that software is up and running, accounting becomes an asset and stops feeling like an obstacle. Technology can automate many of the most exhausting and recurring facets of accounting, especially in regards to trust accounting, so that decision makers can focus on what matters most to the business. Data-driven financial management software can also turn raw numbers into actionable insights to help successfully navigate a business through good times and bad.

The Right Choice for Your Vacation Rental Management Business

Should you outsource or upgrade? The choice will have long-term implications for your business, so it pays to consider both options thoroughly. You need to understand the practical implications of each choice within the context of your accounting situation and business outlook.

Get expert guidance and good information from a one-of-a-kind team. At Ximplifi, we provide outsourced accounting services and help clients implement industry-leading accounting software (Sage Intacct). We also specifically serve vacation rental management businesses, catering our services to their unique requirements and individual preferences. In that way, we serve the needs of the entire vacation rental management industry.

What are your needs? Start that discussion by contacting Ximplifi.