Reasons for Outsourcing Bookkeeping
Increasing sales and reducing expenses can lead to higher profits.
Among the expense items, labor costs account for a significant proportion, and the personnel expense ratio is often used as an important reference indicator.
The personnel expense ratio refers to the ratio of total labor costs to sales revenue. For example, if this month's sales are 1 million yen and labor costs are 200,000 yen, the personnel expense ratio is 20%.
According to data released by the Japanese government*, the average personnel expense ratio for small and medium-sized enterprises in 2019 was about 10%. However, the personnel expense ratio for the food and beverage industry exceeded 30%. Many service industries also have personnel expense ratios close to 20%.
This means that in certain industries, profits are significantly affected by labor costs.
When starting a new business, financial resources are often limited. Many also lack the time to manage their accounting individually.
Hiring an employee for accounting can be a luxury for startups. A monthly salary of 160,000 yen equates to an annual cost of 1,920,000 yen.
Alternatively, outsourcing bookkeeping can cost around 10,000 to 20,000 yen per month in many areas, totaling approximately 120,000 to 240,000 yen annually.
Even with a simple calculation, outsourcing bookkeeping saves 1,680,000 yen per year compared to hiring an employee.
Therefore, outsourcing accounting tasks is a very cost-effective solution.
Examples of Outsourcing to Our Office
Debit/Credit Classification: 180 entries this month, 220 next month, and 190 the following month.
- The average is 196 entries, so we'll calculate based on "200 entries."
- "200 entries" equates to 15,500 JPY.
- Preparing financial statements (Balance Sheet, Income Statement)
15,500 JPY x 3-month quota x 2 copies = 93,000 JPY - Outsourcing bookkeeping + preparing financial statements annual cost
15,500 JPY x 12-month quota + 93,000 JPY = 279,000 JPY
A simple calculation shows that the cost of outsourcing bookkeeping for a year is roughly equivalent to one month's salary for an employee. If the number of Debit/Credit entries per month isn’t too high, outsourcing bookkeeping is a good option.
Also, based on the Tokyo minimum wage of “1,226 JPY,” 8 hours a day would cost 9,808 JPY.
If outsourced to our firm, based on the cheapest rate of “100 entries,” it’s 1,808 JPY cheaper than hiring a part-time worker for one day.
*Ministry of Health, Labour and Welfare website(from October 1, 2024)
Price List
Prices do not include consumption tax.
- Debit/Credit Classification (per month)
- Cost
- 100 entries or less
- 8,000 JPY
- 200 entries or less
- 15,500 JPY
- 300 entries or less
- 23,000 JPY
- 400 entries or less
- 30,500 JPY
- 400 entries or more
- Every 50 entries + 3,800 JPY
- Item
- Cost
- Receipt Organization
- 4,500 JPY
- Expedited
- 4,900 JPY
（Bookkeeping and trial balance can be sent within a week） - Preparation of Financial Statements
（General） - Three-month quota of the average monthly amount for outsourced bookkeeping
（per copy） - Preparation of Financial Statements
（Monthly） - Outsourced bookkeeping cost for the current month × 1.1
（per copy）