As the world’s BPO and call center capital, the Philippines is an attractive destination for finance and accounting services. This article explains the popularity of outsourced accounting and finance solutions and includes a list of the top 11 roles you can outsource to the Philippines.
Why Are Philippine Finance and Accounting Outsourcing Services So Popular?
The Philippines is the top choice in outsourcing finance and accounting due to the following reasons: its cost-effectiveness, excellent communication, and excellent track record for providing excellent finance and accounting outsourcing services.
1. High Number of Finance and Accounting Professionals
Did you know that there are over 200,000 certified accountants in the Philippines? Not including the finance professionals, the total number of professionals in the industry is huge. This has led to a lot of multinationals outsourcing their finance and accounting functions, such as bookkeeping, accounts receivable, and accounts payable, to the Philippines.
2. Cost-Effective Labor
The average hourly rate of an accountant in the United States in 2024 is $39.27 USD, while it only costs $6.12 USD in the Philippines. Meanwhile, the average hourly cost of hiring a financial analyst in the United States is $40.92 USD per hour, whereas the same professional in the Philippines costs around $7.58 USD an hour.
By opting for Filipino professionals, companies can save on expenses and pool more resources on high-value initiatives.
3. Seamless Communication
Another reason outsourcing finance and accounting to the Philippines works so well is because of how easy it is to communicate with Filipinos. This is not surprising, as most Filipinos are fluent in English and familiar with Western culture, minimizing linguistic and cultural barriers during the partnership.
4. Track Record As A Leading Outsourcing Provider
Finally, the biggest reason companies are turning to the Philippines for outsourced accounting and finance services has to do with its reputation as a top outsourcing provider. Following in the footsteps of multinational companies like Accenture, IBM, and Deloitte, more and more overseas businesses are open to outsourcing finance and accounting to Philippine BPO companies.
Top 11 Finance and Accounting Outsourcing Services You Can Outsource To The Philippines
Ready to outsource your finance and accounting roles and functions, but not quite sure where to start? Below are the most common finance and outsourcing services in the Philippines!
1. Bookkeeping
This involves the systematic recording of a company's financial transactions, including sales, purchases, receipts, and payments. It ensures that financial records are accurate and up-to-date, and businesses outsource it primarily to reduce costs, increase accuracy, and free up resources.
The reason that Filipino bookkeepers are popular is because of their attention to detail and proficiency in various accounting software, including QuickBooks, Xero, ZohoBooks, and more.
2. General Accounting
This encompasses the overall management of a company’s financial information, including maintaining the general ledger, preparing trial balances, and ensuring compliance with accounting standards.
As this is directly responsible for maintaining a business’s financial integrity and compliance, many choose to outsource this accounting function to skilled offshore Filipino accountants to ensure high-quality services at a lower cost.
3. Accounts Payable
This involves managing outgoing payments, including invoice processing, payment approvals, and vendor management. The goal is to ensure that all payments are made accurately and on time.
By outsourcing this finance function to an accounts payable outsourcing provider, companies can improve their efficiency and accuracy as well as reduce the risk of errors and fraud. Filipino professionals excel in managing high volumes of transactions and adhering to deadlines, making them a top choice.
4. Accounts Receivable
This is about managing incoming payments, including invoicing customers, tracking payments, and managing collections. Accounts receivable is a time-sensitive accounting task, and to ensure the timely collection of revenue, many choose to outsource this to accounts receivable service providers to reduce the burden on internal staff.
Since the Philippines offers skilled professionals who are adept at managing receivables and improving collection rates, they’re usually hired for this accounting function.
5. Payroll
This involves calculating employee wages, withholding taxes, and ensuring compliance with labor laws. Payroll processing includes generating paychecks and managing benefits.
As there’s plenty of room for error, most businesses outsource to Filipino payroll specialists who are proficient in handling complex payroll processes and financial regulations to ensure compliance, reduce errors, and streamline payroll operations.
6. Financial Reporting
This involves preparing financial statements, including balance sheets, income statements, and cash flow statements, to provide a comprehensive view of a company’s financial health.
To ensure accuracy and compliance with regulatory standards, companies outsource financial reporting to Filipino accountants who are skilled in preparing detailed and timely financial reports, helping businesses make informed decisions.
7. Chief Financial Officer (CFO) Services
This provides strategic financial management, including financial planning, risk management, and advisory services on financial decisions. This process often includes part-time or interim CFO support, so businesses outsource CFO services to access high-level financial expertise without the cost of a full-time executive.
The Philippines offers experienced finance professionals who can provide valuable strategic insights, making them a popular option.
8. Tax Preparation & Compliance
This involves preparing and filing tax returns, ensuring adherence to tax laws, and planning tax strategies to optimize liabilities. With complex tax regulations and the risk of penalties, many companies outsource tax services to Filipino tax professionals from top tax accounting companies, who are knowledgeable about local and international tax laws, providing reliable tax solutions to ensure compliance.
9. Audit & Assurance Services
These include conducting internal and external audits, risk assessments, and compliance checks to ensure the accuracy and integrity of financial statements.
As a finance function that requires objectivity, companies outsource this task to a third-party accounting outsourcing service provider for independent and objective evaluation of financial statements, enhancing credibility and transparency. With a pool of qualified auditors and reputable financial auditing agencies, the Philippines comes as a top choice for high-quality assurance services.
10. Credit Management
This involves evaluating creditworthiness, managing credit risk, handling collections, and maintaining credit reports for effective management of credit-related activities.
Outsourcing credit management improves cash flow, reduces bad debts, and enhances risk management, especially when working with Filipino professionals who are skilled in credit analysis and collections, providing reliable credit management solutions.
11. Financial Analysis & Planning
These involve analyzing financial data, forecasting future financial performance, and developing strategies to achieve financial goals and improve strategic decision-making. Companies like to outsource this finance function to the Philippines to gain expert insights and get detailed financial models.
Top Finance and Accounting Outsourcing Companies In The Philippines
If you know what accounting and finance functions you want to outsource to the Philippines, the next step is choosing the right outsourcing service provider to work with to ensure the best results.
We’ve listed the top 10 Philippines outsourcing companies known for providing high-quality finance and accounting outsourcing services.
1. KDCI Outsourcing
KDCI Outsourcing is a leading BPO company in the Philippines, offering custom finance and accounting outsourcing services to global brands. They specialize in building offshore finance and accounting teams in the Philippines that fit well with your organization for seamless collaboration.
Their top outsourced financial services include general accounting, accounts payable, accounts receivable, payroll, taxation, and more. Majority of their clientele are SMEs from the USA, Australia, and Europe. With their varied services and great fit, we recommend them for companies that prioritize collaboration above all else.
2. D&V Philippines
D&V Philippines is a finance and accounting outsourcing company that provides a wide range of services, including bookkeeping, payroll, and CFO support. Their services are tailored to support CFOs in making better financial decisions and professional service firms through staff augmentation.
Their clientele consists mostly of large corporations and enterprises, hence they’re a great choice for CFOs of large companies and professional firms looking for additional hands either temporarily or permanently.
3. Connext Global
Connext Global is an outsourcing company that offers outsourcing solutions, including finance and accounting services. They specialize in offshore accounting, helping clients build dedicated offshore teams in the Philippines. Their services cover anything from managing financial records and bookkeeping to tax preparation and compliance.
Most of their clients are small to medium-sized businesses across different sectors, making Connext Global an excellent service provider for those looking for support but still want to be a bit hands-on in building their offshore accounting teams.
4. TOA Global
TOA Global is an outsourcing company that specializes in providing dedicated accounting professionals to support accounting firms and financial planners. Their services are designed for speed, quick adoption, and scalability.
While TOA Global’s primary market is Australian businesses, it also provides outsourced services to companies in New Zealand and the USA. They’re a great choice for clients looking for a quick fix — either because they need to augment their staff or scale their financial operations immediately.
5. Beepo
Beepo is a BPO company that offers outsourced finance and accounting services, such as accounts receivable, accounts payable, and bookkeeping. They mainly work with startups and SMEs, especially those looking for cost-effective solutions in Australia and beyond.
With a strong focus on cost-effectiveness, Beepo is the best choice for brands whose primary reason for outsourcing is to reduce expenses.
6. Platinum Outsourcing
Platinum Outsourcing is an outsourcing company that offers bookkeeping, payroll support, accounts payable, and accounts receivable services. They primarily cater to Australian businesses, using the International Financial Reporting Standards (IFRS) as their standard for financial reporting, aligning well with Philippine and Australian accounting standards.
Because of this, we recommend Platinum Outsourcing for Australian companies looking for finance and accounting services that ensure accounting compliance.
7. Personiv
Personiv is an outsourcing company that provides custom finance and accounting services, with a focus on scalability, efficiency, and cost reduction to help companies do more with less and sharpen their competitive edge. This makes Personiv a great choice for companies that prioritize efficiency and want to do a lot with a lean team.
8. Yempo Solutions
Yempo Solutions is an outsourcing company that specializes in finance and accounting services and provides clients with instant price quotes. Targeted at companies in Australia, the USA, and other parts of the globe, Yempo Solutions aims to improve efficiency and cut costs, making them an excellent partner for those looking to get more done with fewer resources.
9. Triple i Consulting
Triple i Consulting is an outsourcing company offering accounting solutions spanning from bookkeeping to tax consulting and advisory, with heavy emphasis on compliance and efficiency.
Their target audience includes SMEs and professional firms seeking reliable finance and accounting solutions, making Triple i Consulting a great choice for those looking for comprehensive finance and accounting services.
10. AHC Certified Public Accountants
AHC Certified Public Accountants offers outsourcing services that primarily revolve around accounting and financial reporting. They primarily target SMEs and individual clients seeking professional outsourced solutions to maintain compliance and improve efficiency. As such, AHC Certified Public Accountants can be a great service provider for companies with smaller team headcounts.
Get The Best Outsourced Accounting and Finance Services
There are plenty of reasons why brands prefer finance and accounting outsourcing services in the Philippines. Be it cost reduction, access to highly capable accountants, or scalability – Philippine finance and accounting outsourcing companies have got you covered!
KDCI Outsourcing is a specialized BPO company that builds outsourced finance and accounting teams in the Philippines. Their specialists not only excel in their craft, but they also mesh well with your company culture. This way, they can collaborate seamlessly with your in-house teams, bridging the gap between culture, time, and geography, so your offshore team feels in-house.
Augment your internal headcount with high-performing offshore support from the Philippines. Send us an inquiry and let’s discuss how we can up your finance and accounting game.
