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- Reading Time: 7 Minutes
- Published: May 15, 2025
- Last Updated: May 28, 2025
Key Takeaways
- India’s accountancy market reached about $15.9 billion in revenue in 2023. Further, NASSCOM notes that India has an ever-growing pool of over 10 million accountants and bookkeepers.
- Indian bookkeepers help you save costs up to 60%, enhance accuracy, and give you access to a wider pool of talent when you choose them as your outsourced partners.
- Choosing the right bookkeeping service provider ensures you have access to accurate transaction recording, frequently reconciled bank accounts, timely processed payroll, and maintained compliance.
- Set up an outsourced bookkeeping process by choosing a trusted partner, keeping communication channels in place, having access to all documents and data, defining their roles and regulations, and monitoring performance.
- When you choose to outsource bookkeeping to India, practice the best ways to keep your data secure, bridge communication gaps, keep a check on quality control, and discuss pricing models beforehand to mitigate any confusion or issues.
Bookkeeping services in India have evolved from handwritten ledgers to powerful digital tools and intelligent software solutions. Indian firms now embrace AI to boost accuracy, reduce turnaround times, and cut costs significantly. This shift attracts global businesses to outsource their bookkeeping needs to India. From MSMEs to multinational companies, firms of all sizes tap into India’s outsourcing potential. In this blog, we explore how bookkeeping is changing in India, the growth and benefits of outsourcing.
The Landscape of Bookkeeping in India
Bookkeeping in India has come a long way. Once confined to local firms and manual ledgers, it now thrives in global boardrooms. Over the past two decades, India has transformed into a global finance hub and today, it hosts operations of Big Four firms like Deloitte, KPMG, PwC, and EY.
This shift didn’t happen overnight but grew from consistent investments in education, technology, and infrastructure. India now produces over 100,000 accounting graduates each year, creating a robust talent pipeline. Additionally, the country has over 400,000 active Chartered Accountants, many of whom serve global clients.
Furthermore, Global Capability Centers (GCCs) have played a crucial role. As of 2024, India is home to over 1,750 GCCs, with more than 40% catering to finance and accounting. These centres manage tasks like bookkeeping, payroll, accounts payable, and financial reporting for Fortune 500 firms.
Another advantage is cost-efficiency. Indian bookkeeping professionals deliver high-quality services at a fraction of Western rates. Combined with strong English proficiency and time zone benefits, India offers a compelling proposition for businesses worldwide.
Benefits of Outsourcing Bookkeeping to India
Outsourcing bookkeeping to India grants global businesses a powerful edge through significant cost savings, enhanced accuracy, and real-time financial insights. Along with that, the time zone difference adds to the benefits by ensuring round-the-clock productivity and uninterrupted workflow. With skilled professionals handling financial operations, organizations get to enjoy streamlined process, improved decision-making, and a business better aligned with its strategic vision.
1. Significant Cost Savings
Outsourcing bookkeeping services can save businesses a substantial amount (up to 60%) on their overhead costs. By outsourcing to India, these savings grow further, thanks to the country’s lower labour costs. At the same time, you gain access to qualified professionals proficient in international standards such as GAAP (USA), IFRS (UK), and AAS (Australia)
2. Access to Skilled Experts
According to Economic Times, the number of CPAs in India has grown from 2,000 in 2020 to about 11,000 in 2024. Along with that, the country has 4,00,000 CA, serving as the active member of ICAI. With the increase in the number of skilled professionals, the talent pool of India is also expanding impressively.
3. Enhanced Accuracy & Compliance
Reputed outsourcing firms in India prioritise accuracy and compliance. They use advanced accounting software, such as Zoho Books, Xero, NetSuite, or FreshBooks, and adhere to strict quality control measures. This approach minimises errors and ensures your business remains compliant with international financial regulatory requirements.
4. Focus on Core Business
Outsourcing bookkeeping to India allows businesses to redirect their internal resources toward core business functions such as product development, customer service, and strategic planning. Indian bookkeeping providers handle everything from transaction recording to financial reporting, giving you peace of mind and freeing your valuable time.
5. 24/7 Support and Faster Turnaround
Thanks to the time zone advantage, outsourced bookkeeping to India ensures round-the-clock productivity. While your in-house team get off work, your outsourced team begin their shift, to keep the cycle moving. This leads to faster turnaround times on critical financial tasks such as reconciliations, month-end closures, and cash flow forecasting, and financial reporting and analysis. When reports are presented accurately and timely, businesses gain financial agility and improve decision-making.
The Importance of Choosing the Right Bookkeeping Service Provider
Selecting the right bookkeeping service provider in India ensures more than just accurate record-keeping, it streamlines accounts reconciliation, manages payables and receivables efficiently, and guarantees timely payroll processing with full compliance. Moreover, it supports the preparation of precise financial statements and empowers better strategic decision-making through reliable data.
Accurate Financial Transactions
An expert bookkeeping service provider ensures every financial transaction, be it income, expenses, purchases, or sales, is recorded precisely and timely. Additionally, reputable providers leverage accounting automation through robust tools such as NetSuite, FreshBooks, and Zoho Books to reduce manual entries, errors and prepare documents for audits with more ease.
Bank Reconciliation and Cash Flow Tracking
A professional bookkeeping service provider will reconcile your bank, credit card, and payment gateway statements regularly and accurately. This helps businesses maintain a clear picture of your cash flow position and avoid overdrafts.
Accounts Payable and Receivable Management
A skilled bookkeeper will manage your accounts payable to take advantage of early payment discounts and avoid late fees. Moreover, they’ll also send customer reminders and follow up on overdue invoices to improve your cash cycle.
Payroll Processing
The right provider ensures salaries, bonuses, and reimbursements are processed correctly and on time. They will do so while also managing tax deductions such as PAYG, PAYE, and filing forms 941, 940. This way, your team remains content, and the company stays compliant with labour laws.
Tax Filing and Regulatory Compliance
Whether it’s GST returns, VAT filings, or sales and income tax calculations, meeting regulatory compliance is a major responsibility. A trustworthy bookkeeping service provider stays updated on changing tax rules and ensures your filings are accurate and timely to avoid penalties and legal hassles.
Preparation of Financial Statements
A skilled bookkeeping service provider delivers clear, well-organised financial statements like the Profit & Loss statement, balance sheet, and cash flow statement timely. These reports, certainly, offer actionable insights and help you monitor performance, track growth, and prepare for audits, and expansion.
Inventory and Asset Tracking
Remote bookkeeping services efficiently manage inventory levels, stock movement, and asset depreciation. Moreover, your dedicated online bookkeepers will integrate inventory data to offer real-time insight, prevent stock-outs or overstocking, and ensure assets are properly tracked.
Steps to Set Up an Outsourced Bookkeeping Process in India
Outsourcing bookkeeping to India offers businesses cost savings, access to skilled professionals, and round-the-clock support. Hence, choosing the right provider is indispensable. Here’s a step-by-step guide to help you establish a seamless process with an Indian partner.
Step 1: Choose a Trusted Bookkeeping Partner
When searching for a trusted bookkeeping partner, there are several paths you may take. One option is to engage a freelancer through platforms like UpWork, Fiverr, or Glassdoor. Alternatively, you may choose to collaborate with a specialised outsourced bookkeeping firm in India.
Whichever route you pursue, it is essential to ensure that the professionals you engage possess the right qualifications and demonstrable experience to deliver accurate, timely, and reliable finance and accounting services. Equally important, they should be well-versed in international accounting standards, such as IFRS, GAAP, or AAS, relevant to your business’s jurisdiction and compliance needs.
Step 2: Software Integration
The next step is to identify the accounting software your business currently uses such as QuickBooks, Xero, Zoho Books, or NetSuite. Ensure your Indian partner is proficient in that platform and capable of working within your tech environment. Prioritise cloud-based tools to streamline collaboration, automate entries, and ensure real-time financial visibility across teams.
Step 3: Finalise Communication
When availing offshore bookkeeping services, communication is the cornerstone to ensure seamless partnership. Consider the kind of communication and collaboration tools the outsourced provider access. Tools such as MS Teams, Zoho Books, Google Drive, Asana, and Trello offers a secure way to connect virtually.
Step 4: Set Up Data Access
It is imperative to clearly define which team members access which data sets. Grant secure, role-based access to financial documents, accounting systems, and communication platforms. Also, ensure your provider follows strict data protection measures like NDA agreements, and encryption to maintain confidentiality and security.
Step 5: Define Roles & Monitor Performance
Clearly assign responsibilities such as data entry, reconciliation, reporting, and compliance to your outsourced team. Moreover, establish expectations upfront to eliminate confusion. Once operations begin, track KPIs like accuracy, timeliness, and compliance through regular review meetings to ensure set milestones are being achieved efficiently.
The Bottom Line
Outsourcing financial tasks to India offers numerous benefits, including cost savings, access to skilled professionals, enhanced accuracy, and operational efficiency. With the right service providers, you can experience accurate financial recording, strong data protection measures, and ensure compliance.
At Whiz Consulting, we’ve proudly served as a trusted partner for businesses worldwide, delivering precise and reliable online bookkeeping services. With over a decade of experience and a team of 100+ skilled professionals, we cater to diverse industries with tailored services. Be it managing day-to-day transaction recording, reconciling accounts, or preparing monthly financial reports, our clients trust us to maintain clean, compliant, and audit-ready books.
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Have questions in mind? Find answers here...
The cost of outsourcing bookkeeping to India depends mainly on the kind of tasks you are looking to outsource. But typically, outsourcing solutions are highly cost-effective, offering quality services at reduced expenses compared to in-house teams, making it a smart choice for businesses seeking efficiency and scalability.
Yes, a company can directly hire a bookkeeper from India. Many businesses do so to benefit from cost savings, skilled professionals, and time zone advantages. Hiring can be done through outsourcing firms or freelance platforms.
Bookkeeping services in India are generally top-notch, thanks to India’s skilled workforce, strong educational background, and familiarity with global accounting standards like GAAP and IFRS. Many Indian firms also use advanced cloud-based tools for accuracy and offer support.
Reputed Indian bookkeeping service providers offer flexible working hours and can align with your business’s time zone, especially for US, UK, and Australian clients. Some even provide 24/7 support to ensure continuous service.
You can begin outsourcing your bookkeeping needs within 48 hours when you partner with us. Once you share access to financial data and tools with us, our team kick starts the deliverables.
We communicate with our clients via email, Zoom, MS Teams, Slack, or project management tools like Trello or Asana. Also, we share files through secure cloud platforms like Google Drive, Dropbox, or directly through the accounting software with shared access.
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