In 2015, TD Bank conducted conducted a survey involving 508 small business owners in the U.S. 46% of the respondents said that bookkeeping is their least favorite task. Owners who work more than 60 hours a week, in particular, found it very draining.
This response is common among small business owners who are often more passionate at performing the core functions of their respective businesses rather than the administrative responsibilities at the back office.
This attitude also opens plenty of work opportunities for bookkeepers. Those with the entrepreneurial bug, however, take this opportunity a step further by opening a business or looking for a bookkeeping franchise for sale.
Speaking of which, 2017 is a good year to start such a venture. There are many indicators of many good years ahead, as well as an increasing (or at the very least consistent) demand in the next five years.
No Shortage of Demand
The role of a bookkeeper is to record a business’s daily financial activities. It covers all financial transactions and including daily expenses, operational costs, and sales. Bookkeepers also record receipts, send out invoices, and follow-up on late payments. In some businesses, bookkeepers even process payroll, taxes, and monitor compliance.
These tasks are vital to business success. It also gives credence to the belief that as long as businesses are thriving, there will be jobs for bookkeepers.
Startup Cost is Minimal
No doubt one of the first questions interested franchisers ask is how much will be the cost? The answer, where bookkeeping franchising is concerned, is very promising.
Bookkeeping startups, in general, don’t require huge capital. Unlike in manufacturing, food production, or utility services, a bookkeeping company doesn’t need to invest in costly machinery and equipment. It doesn’t even have to lease an office space right away since bookkeepers can work remotely from home or in their clients’ offices, per their request.
Buying a bookkeeping franchise can maximize capital further. In franchising, business owners will have the groundwork for running a successful business provided for them. The company will provide a turnkey business model, business development and customer support, and access to relevant tools and software. This is a very convenient set-up, especially for first-time business owners.
A Promising Industry Forecast
IBISWorld, a global business information and market research company, reported that the Payroll and Bookkeeping Services industry experienced growth from 2012-2017. The reason, according to IBISWorld, is that there had been an increasing number of owners that subcontracted back-office operations—including bookkeeping—to focus on core business functions.
IBISWorld predicts that this trend will continue until 2022. This suggests an optimistic outlook on the U.S. economy for the next five years. It also reflects the data of the Bureau of Labor Statistics which showed an increasing number of new business establishments from 2010-2015.
A robust economy fuels entrepreneurship and business survival, and this, in turn, increases the demand for bookkeeping services.
Starting Early Gives Businesses Leg Up
It would be wise to open a bookkeeping franchise when all relevant factors that ensure its success are still on an upward slope. Waiting until they have reached their peak would be a little too late. By then, the industry could be saturated and the competition fiercer. Mind that it is harder for small players to stand out and attract customers when the playing field is not just dense but also dominated by larger and long-established companies.
Starting early gives business owners an advantage over future competitors — and Supporting Strategies understand this fully. This is why the company defines a marketing territory for every Supporting Strategies Accounting Franchise.
Take advantage of the currently ideal conditions for a bookkeeping franchise. Get started with Supporting Strategies.