ACCOUNTING SERVICES & PAYROLL
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Our accounting solutions are designed to maintain precise and up-to-date corporate financial records. Irrespective of your business’s scale, accounting plays a pivotal role in aiding your decision-making, cost management, and assessing your economic progress. Our accounting services adhere to the guidelines set forth in the International Financial Reporting Standards (IFRS) and are overseen by a team of exceptionally skilled certified accountants.
Our accounting services
Bookkeeping:
Our team of accountants will relieve you of the task of documenting and maintaining records of your day-to-day financial transactions, as well as conducting bank reconciliations
Reconciliation of Accounts:
We will assist you in verifying the accuracy and currency of the data in your general ledger, ensuring that the balances reconcile.
Financial Reporting Services:
We produce financial reports to aid you in evaluating your business’s performance. These reports encompass the following.
- Income Statement
- Balance Verification
- Cash flow statement
- Primary Accounting Records
Payroll Management:
We will oversee your corporate monthly payroll operations, encompassing report generation, gratuity calculations, and the issuance of pay slips.
Assistance with Auditing:
We will aid you in finalizing the audit procedure for your fiscal year and guarantee the maintenance of your records in accordance with International Financial Reporting Standards (IFRS).
The Comprehensive Handbook on Business Accounting Services in Dubai.
How precise are your corporate financial records and statements? Are your accounting procedures in accordance with UAE accounting standards? Are your VAT and other tax filings accurate?
Numerous Dubai-based companies face challenges in accounting and bookkeeping. Inadequate accounting and bookkeeping practices pose financial and legal risks, potentially resulting in substantial fines or the suspension of your business license. You can avoid this, but how?
Outsourcing accounting and bookkeeping services has emerged as a definitive solution for numerous businesses. It entails enlisting the services of an external party or accounting firm to handle the accounting and bookkeeping tasks for your company. Continue reading to discover more about outsourced business accounting services in Dubai.
Policies for Accounting and Bookkeeping in Dubai.
The UAE adheres to its own set of GAAP accounting principles, overseen by the International Federation of Accountants (IFAC). These GAAP principles are applicable to all UAE government entities and state-owned corporations.
The accounting principles in the UAE are founded upon the following standardsThe accounting principles in the UAE are founded upon the following standards.
Income is acknowledged when it is realized or realizable, and expenses are recognized when they are incurred. Revenue is recognized when it is earned.
Assets and liabilities should typically be measured at fair value, with exceptions for financial instruments and leases, which are measured at amortized cost using the effective interest rates.
Managing your own business in Dubai can be an exciting endeavor, but it can also pose challenges in the realm of accounting and bookkeeping. Here are five essential policies you should adhere to:
1. Policy on Records Management:
In accordance with UAE Federal Law, it is mandatory to maintain your financial records and statements, ensuring their preservation for a minimum of five years. The Ministry of Finance advises retaining records for ten years as a measure to demonstrate tax compliance.
2. Cash Receipts Policy:
For transactions amounting to AED 1,000 or less, proper documentation supported by a receipt is required. The receipts must be issued in the name of the business and should encompass the date of issuance, the signature of the issuer, and the recipient’s information.
Additionally, it is crucial to specify the transaction’s amount and nature. These particulars serve as vital evidence of transactions and enhance the precision of accounting records.
3. Bank Transactions Policy:
Every bank transaction requires substantiation through a bank statement. The statement should encompass transaction dates, the recipient business’s name and address, along with the transaction’s amount and nature.
Electronic storage of these statements is permissible for companies. Maintaining such records is instrumental in the precise formulation of annual budgets and profit and loss accounts.
4. Vat return policies:
Businesses operating in the UAE are obligated to adhere to the Value Added Tax (VAT) system, which was introduced on January 1, 2018. This tax is applicable to all companies in the UAE, regardless of whether their services are domestic or international.
Companies must register for VAT if they meet the specified eligibility criteria. Taxation in Dubai can be intricate, and therefore, it is advisable for your business to establish a VAT Return Policy that is both coherent and in alignment with industry standards.
5. Additional Supporting Documents:
Other supporting documents encompass invoices, credit notes, and contracts. Bank statements should also be included for businesses not registered for VAT.
All the mentioned documents must be presented in their original format, as copies of the documents will not be considered valid.
How to Maintain Well-Organized Business Accounting Records in Dubai.
Numerous small businesses opt to handle their own bookkeeping, a choice often made to avoid expenses associated with accounting firms. Business owners may believe that managing accounting internally is a more cost-effective approach.
Nevertheless, this frequently results in increased stress and time expended. Accounting is intricate and can be a demanding task requiring full-time attention. If you are running a business, you are probably already occupied with numerous responsibilities.
Rather than attempting to manage everything independently, contemplate the following alternatives:
1. Employing Accounting Personnel:
This entails recruiting a permanent in-house accounting employee. Depending on the size of your company, you may hire a single accountant or a team of accountants. The recruitment process involves posting the job vacancy on your company’s website or on job portals
You conduct interviews with multiple candidates until you identify the ideal fit. Qualifications to consider include experience in reconciliation, overseeing and recording accounts payable and accounts receivable transactions, basic bookkeeping skills, and proficiency in financial reporting. If you are fortunate enough to secure a reliable accounting staff member, they can manage all accounting tasks. Alternatively, you can explore the option of utilizing outsourced accounting services in the UAE.
2. Engaging Outsourced Accounting Services:
Accounting outsourcing refers to the delegation of accounting functions to third-party accounting firms. This encompasses services such as bookkeeping, tax preparation, and financial statement preparation. These services can be outsourced to an independent professional firm with expertise in the relevant industry.
Outsourced accounting services assume responsibility for the day-to-day activities of your accounting department. You have the flexibility to outsource either all accounting operations or specific demanding tasks. Here are some of the most commonly outsourced accounting services:
Payroll
Accounts Payable
This department is responsible for settling your bills. The individual responsible for managing accounts payable should possess keen attention to detail and a thorough understanding of tax regulations.
Accounts Receivable
This department is accountable for collecting payments from your customers. If your business extends services and products on credit, it necessitates efficient management of these records. Ineffectively handling accounts receivable can jeopardize your business and lead to financial distress.
bookkeeping
Bookkeeping entails the meticulous recording of your financial transactions, which can be carried out manually or electronically. In the context of virtual accounting firms, electronic methods are typically employed.
Budgeting
Budgeting encompasses the procedure of strategizing your financial resources, which includes assessing your expected income and expenditure
Tax Accounting
Tax accounting refers to the process of preparing tax returns for your business and computing the income taxes owed by your business.Tax accounting is distinct from financial accounting, and having a professional who can handle both of these accounting responsibilities is advantageous.
Some companies opt for accounting outsourcing due to staffing limitations or other reasons. Regardless of the rationale, it can often be a more cost-efficient solution than hiring permanent employees.
Advantages of Engaging Outsourced Business Accounting Services in Dubai
Selecting the Suitable Accounting Firm: Your initial move in outsourcing business accounting services in Dubai is to identify the right accounting firm. These firms employ proficient accountants who assist you with various aspects of financial accounting and reporting.
Online Outsourcing of Bookkeeping and Accounting: Outsourcing your bookkeeping or accounting services in Dubai can be effortlessly accomplished online. Below, we outline key reasons for opting for outsourced accounting services in Dubai:
Cost-Effective
Opting for accounting and finance operations outsourcing offers cost-effective solutions. You don’t have to maintain a full-time employee, potentially saving you up to AED 293,638 annually
Hiring permanent employees to manage your accounts can indeed come with various expenses. These expenses can include:
Pension
Health insurance costs
Hiring costs
Training and professional development.
Keep in mind that when hiring permanent employees to handle your accounting needs, you’ll likely incur higher expenses due to the necessity of hiring multiple employees. This can significantly increase salary costs.
On the other hand, outsourcing your accounting functions can help reduce these overhead expenses, ultimately boosting your business’s profitability. Outsourced accounting services can be contracted on a temporary basis. In today’s challenging economic climate, many business owners are actively seeking cost-effective solutions.
Acquire the services of skilled experts and seasoned professionals
Engaging a professional accounting agency for outsourcing accounting services enables you to collaborate with seasoned experts. In the realm of business, the presence of an accounting expert is indispensable. Virtually all thriving enterprises have a dedicated professional who diligently manages their financial data.
Understanding your financial inflow and outflow is crucial. Accounting experts play a pivotal role in assisting with the following aspects:
- Investigation and design of financial models
- Advising on enhancements to operations
- Deployment of business process reengineering tools
A skilled accountant possesses the ability to harmonize your financials with your business objectives. A seasoned professional aids in expanding your enterprise, cutting expenses, and facilitating informed choices. They offer valuable expertise in navigating tax and legal matters.
Select a reliable accounting firm. Verify their offshore company licenses to ensure their trustworthiness and legitimacy.
Stay Focused on Your Business
Record-keeping stands as a pivotal function within any organization, involving the meticulous documentation of financial transactions and records. Accounting and bookkeeping, though essential, are often intricate and demanding tasks.
Numerous factors contribute to this complexity. Accountants bear a multitude of responsibilities, necessitating the meticulous documentation and accurate accounting of all transactions, a particularly daunting task when a company experiences a high volume of financial activities.
A plethora of documents must be diligently preserved, spanning cash receipts, bank statements, and check stubs. The accountant’s responsibility is to guarantee the secure storage and ready accessibility of this critical information.
Managing your accounting in-house can demand over 60 hours per week of your time, diverting your attention from vital business functions such as customer service and partnerships.
Opting for outsourced accounting liberates your time for more critical business activities, enabling you to concentrate on essential operations.
Compliance with Legal Obligations and Regulatory Mandates
Have you ever experienced the surprise of receiving a letter from tax authorities in your mailbox, indicating a potential lapse in tax filing?
The United Arab Emirates (UAE) implemented Value Added Tax (VAT) in 2018 and is slated to introduce corporate tax in 2023. To preemptively address any tax-related issues, it is prudent to maintain accurate and up-to-date financial records for your company. This proactive approach not only aids in preparation for potential tax audits but also ensures that your business remains fully compliant with the nation’s tax laws and other corporate regulations.
- Fulfill Statutory and Regulatory Obligations
- Prevent Penalties and Interest Costs through Timely Bill Payments
- Simplify Adherence to Filing Deadlines
- Minimize the Legal Exposure Arising from Non-Compliance
Outsourced accounting firms possess the expertise needed to steer your business clear of legal complications. They possess in-depth knowledge of UAE accounting regulations, ensuring meticulous record-keeping in full compliance with legal standards, all while offering guidance to mitigate potential legal liabilities.
Tackle Workforce Shortage Challenges
Skilled professionals are the lifeblood of any thriving company. To meet your accounting demands, you require the expertise of competent individuals. In the UAE, businesses have grappled with a prolonged shortage of qualified workers.
Dubai, in particular, is presently confronting a scarcity of accounting personnel, driven by intensified competition for talent.
Employers often find themselves in a challenging position when searching for the ideal candidates to fill their vacancies. And when they do succeed, retaining them becomes an arduous task. Despite government initiatives aimed at retaining accounting staff, the issue persists.
For example, the government mandates that accountants must commit to at least two years of employment before they can resign. Early departure incurs the obligation to reimburse salary and benefits.Outsourcing presents an effective solution to circumvent labor shortages and retention difficulties. It grants your company access to capable accountants from outside Dubai.
Harness the Advantages of Cutting-Edge Technology
Outsourcing accounting services opens doors to the adoption of cutting-edge technology. Through a virtual team of accountants, you can integrate cloud computing and modern software applications, resulting in enhanced operational efficiency.
Accounting agencies are at the forefront of technology investments, a venture that can often entail significant costs. As emerging technologies continuously evolve, businesses must periodically upgrade their systems to stay competitive.
Outsourcing to such firms enables you to access the latest technologies seamlessly, eliminating the need for additional investments.
You gain the advantage of maintaining meticulous accounting records by utilizing specialized accounting software, which automates various accounting tasks, streamlines invoicing processes, and efficiently manages inventory and other financial calculations.
In recent years, the landscape of bookkeeping and accounting has witnessed a profound transformation, with many companies adopting cloud-based services for data storage and financial tracking. To remain competitive, it’s essential to stay abreast of the latest technological advancements.
Work With the Best Accounting Outsourcing Company
Although outsourcing business accounting services in Dubai is beneficial, you need to work with the best to enjoy the benefits. Easy Access offers reliable business support services to help your business realise its potential. Our team can help you with accounting, bookkeeping, payroll, and VAT. Our goal is to offer advisory services and allow you to focus on your business