How Much Does Outsourced Accounting Cost for Manufacturers?

Owners considering outsourced accounting want to know one thing first: what will it cost? The fair answer is that it depends on the work, not just your revenue. The number of transactions, entities and locations, how inventory and costing are set up, and how much CFO-level support you want all change the scope.

Here's how outsourced accounting is priced, what's usually included, what drives the cost for a manufacturer, and how to compare it with building a team in-house.

What outsourced accounting includes

For a manufacturer, outsourced accounting usually comes in three layers:

• Bookkeeping: accrual books, reconciliations, payables, receivables and payroll entries, with inventory and cost of goods sold recorded properly.
• Controller: a month-end close on a set calendar, inventory and WIP reconciliation, job and product costing, and a monthly financial package.
• Fractional CFO: forecasting, cash planning, pricing, budgets, capital decisions and lender support.

Most companies don't need all three at once. See our packages for how they fit together.

How outsourced accounting is priced

Flat monthly fee

One fee for a defined scope, agreed in writing. It's predictable, and you don't pay extra for calls or questions. We price every engagement this way, after reviewing your books. See how our pricing works.

Hourly

Some firms bill time and materials. It can suit very small or irregular needs, but the monthly bill is harder to predict.

Project pricing

One-time work such as a books cleanup, a system implementation or a cost study is often quoted as a separate project.

What drives the cost for a manufacturer

• Transaction volume: invoices, bills, bank accounts and payroll runs each month.
• Entities and locations: each company, plant or warehouse adds reconciliations and reporting.
• Inventory and costing: job costing, standard costing, process costing, WIP and landed cost each take different work.
• State of the books: catch-up or cleanup needed before the monthly work can start.
• Reporting and meetings: how detailed the monthly package is and how often you meet.
• CFO involvement: forecasting, pricing, lender work and planning add senior time.
• Systems: the software you use and whether a move to a new system is planned.

Comparing in-house and outsourced costs

To compare fairly, add up the full cost of an in-house team, not just salaries: payroll taxes, benefits, recruiting, training, software and the time it takes to replace someone who leaves. Then compare that with the flat fee for the same scope. Our CFO cost calculator does this for the CFO role, and our guide to outsourced accounting vs. an in-house finance team covers the rest.

Cost isn't the only factor. Outsourcing gives you manufacturing experience and review at every level without hiring each role. In-house makes sense when volume keeps several people busy full time or finance needs to be in the building every day.

When outsourcing might not be right

• Transaction volume is high enough to keep a full in-house team busy.
• You need someone physically on the floor for inventory and operations every day.
• You want to build a finance department as a long-term part of the company.

Many companies use a mix: an in-house bookkeeper or accounting clerk, with outsourced controller and CFO support on top.

What to expect when you start

1. Review: we look at your books, systems and reporting to scope the work.
2. Proposal: a written scope with a flat monthly fee.
3. Setup: access to systems, a close calendar and any cleanup needed.
4. First closes: the first few months set the routine and the reporting package.

Bottom line

The right question isn't just what outsourced accounting costs, but what it costs to run the business on numbers you can't trust. Ask any provider to review your books before quoting, and compare proposals on scope, manufacturing experience and how they work with your CPA, not just price.

Want a proposal based on your actual books? Book a free call.

Frequently Asked Questions

Why do outsourced accounting quotes vary so much?

Because scope varies. Providers include different services, assume different transaction volumes and may or may not include cleanup, costing or CFO time. Compare what each proposal covers, line by line.

Is outsourced accounting cheaper than hiring?

For many small and mid-sized manufacturers it is, once you count payroll taxes, benefits, recruiting and turnover for each role. It depends on your volume and how much senior expertise you need.

Does outsourced accounting include tax preparation?

Not with us. We're not a CPA firm and don't prepare tax returns or perform audits. We keep the books your CPA needs and work alongside them.