Running a small or medium-sized business in Australia is no small feat. Between managing operations, staying compliant with ATO regulations, and juggling customer relationships, accounting often becomes a stress point. That’s why an increasing number of Australian SMEs are turning to accounting outsourcing as a strategic move rather than just a cost-saving one.
In this article, we’ll explore what’s driving this shift, the specific benefits for small businesses in Australia, and how to find the right outsourcing partner.
Accounting outsourcing is no longer limited to large corporations or multinational firms. In 2025, Australian small and medium businesses across Melbourne, Sydney, Brisbane, and Perth are actively choosing to delegate their accounting and bookkeeping tasks to specialised external teams.
According to a recent IBISWorld report, over 60% of small businesses in Australia now outsource at least one finance function — a figure that has steadily increased over the last five years.
Why? Because the business landscape is changing:
Regulatory obligations (like STP Phase 2 and BAS lodgement deadlines) are more complex.
There's a growing skills gap in the local accounting workforce.
Cloud-based tools like Xero and QuickBooks have enabled seamless remote collaboration.
Accounting outsourcing refers to the practice of hiring a third-party service provider or accountant to manage financial tasks such as:
Bookkeeping
Payroll processing
Accounts payable and receivable
BAS/IAS lodgements
Tax compliance and financial reporting
Rather than building and training an in-house finance team, SMEs tap into a ready-made pool of experts — typically through a fixed monthly service or hourly model.
Here are the biggest advantages that Australian businesses report when outsourcing their accounting functions:
Hiring, training, and retaining a qualified in-house bookkeeper or accountant is expensive. Outsourcing allows SMEs to access top-tier talent without the overhead costs of full-time employment, superannuation, office space, or annual leave.
Example: A Melbourne café saves over $20,000 per year by outsourcing payroll and bookkeeping to a remote firm instead of hiring internally.
Navigating Australian tax laws is complex — from GST calculations to payroll tax thresholds and superannuation contributions. Reputable outsourced accounting partners keep up to date with ATO changes and ensure every lodgement is accurate and on time.
Bonus: Outsourcing partners typically follow best practices under the Australian Privacy Act 1988 and ensure data security through encryption and MFA.
Outsourced teams often use advanced cloud platforms like Xero, MYOB, QuickBooks, and Receipt Bank — giving business owners full access to real-time financial insights.
This enables better:
Cash flow management
Budget forecasting
Decision-making
With automation built into these systems, manual errors are reduced significantly.
Whether you're launching a second store or expanding your service line, an outsourced partner can scale services up or down as needed.
No need to rehire, retrain, or restructure your finance team. Just update your package or scope of work.
Time is money — especially for founders and SME owners. Outsourcing removes the administrative load of accounting, so businesses can focus on:
Building client relationships
Improving product or service quality
Growing revenue
Many business owners report lower stress and better decision-making once they stop worrying about spreadsheets and deadlines.
While many firms consider overseas outsourcing to countries like India or the Philippines, choosing a local Australian accounting outsourcing provider comes with advantages:
Familiarity with Australian tax and labour laws
Clear communication in your time zone
Accountability under local data protection regulations
For example, Outbooks Australia is a trusted name offering tailored bookkeeping, BAS, payroll, and management reporting services to Australian businesses — with a strong focus on compliance, security, and efficiency.
