Global spend on accountancy outsourcing up by 40% in the space of five years, as Google searches for ‘accountancy outsourcing’ rise by 20%
News comes as accountancy outsourcing specialist AdvanceTrack reports enquiries more than doubled in the past year alone – as outsourcing increase compared to recent rise of AI
AdvanceTrack recently marked 15 consecutive years of 60% growth – and its MD predicts within the decade more than 50% of companies will outsource accounting
Figures show an “enormous” rise in firms choosing to outsource their accounting services, with a near 40% increase in global spend and a 20% surge in interest over the last five years.
Vipul Sheth, Managing Director of one of the UK’s fastest growing outsourcing accountancy firms AdvanceTrack, has likened the rise of the outsourcing industry to that of Generative AI, which swept the globe throughout 2023.
According to Vipul, enquiries surrounding accountancy outsourcing have more than doubled in the past year alone, with his business having achieved 60% year-on-year growth. Vipul predicts that by 2034, more than 50% of companies will be outsourcing some if not all of their accounting tasks.
Research carried out by AdvanceTrack also shows Google searches for ‘accountancy outsourcing’ surged by 19% in 2023, with figures from consumer survey firm Statista revealing global outsourcing spend has shot up by 41% since 2019.
Vipul said: “It’s no surprise to see interest in accountancy outsourcing increasing, we know first-hand it’s a booming sector. The enormous rise in global spend, coupled with our year-on-year growth and increase in enquiries, indicates a potential shift in the future of our industry.
“Outsourcing’s growth curve can be compared to that of AI, particularly when it comes to the accounting world. And I think that surge in popularity is because people are looking for high levels of service at a cost-effective price point. Add to this the lack of a strong pipeline of talent coming through and it’s understandable to see it swiftly gaining momentum.
“This is a pivotal moment in the industry, and I anticipate accounting outsourcing will continue to rise at a considerable rate over the next ten years. A more globalised world will mean by 2034 many more organisations – big and small – will be outsourcing most, if not all, of their accountancy tasks.”
In addition to AdvanceTrack’s findings, a recent Clutch report indicates 37% of small businesses are already outsourcing accounting or IT services, with nearly a quarter revealing they outsource to boost efficiency, along with other key reasons like increasing available expertise (18%), flexibility (16%) and allowing employees to perform other tasks (15%).
In response to the findings, AdvanceTrack has released Outsourcing 101: The Definitive Guide To Outsourced Accounting and Auditing. The guide aims to furnish businesses with the essential information and introductory insights necessary to embark on the next phase.
Vipul added: “Outsourcing lets you take your business further, giving you the facility to deliver a great service to your clients in a cost-effective way. The launch of our beginner’s outsourcing 101 guide is designed to help businesses who are thinking about outsourcing and providing the necessary support for them to take the first step.”
Website: www.advancetrack.com
