Thursday, October 04, 2007

Now, housing societies switch to outsourcing

The outsourcing trend for long has been associated with the BPO/IT/ITes sector and fast piercing into other commercial arenas as well. Lately, it has been observed that an increasing number of housing societies are entrusting chartered accountant (CA) firms with the management of their society accounts.

More and more housing societies in the city are taking up to this trend and outsourcing their financial accounts to CA firms to ensure there is no manipulation of figure to suit individual intentions. The work assigned varies from simple jobs like payment and cheque depositing to complicated ones like auditing of books.

Dinesh Shah, a CA and a Vashi resident said many societies are opting to outsource their entire accounts. "It doesn't necessarily have to be a CA, but any graduate with a financial background can be entrusted with the job. After which, the auditor does the final aspect of closing the book of accounts," said Shah.

Another CA Ananthram Rao at Airoli said the accountants ensure bills of the society are paid up and nothing is pending. "I have a set of accountants who visit housing societies and do the billing, issues cheque and make payments, give receipts and also ensure that the bills are all paid to. He also manages the trial balance and accounting work, after which the auditing is forwarded to me," said Rao.

He further said the accountants are at help whenever the society members have any doubts and are in need of some professional help with regards to money matters.

Gaining professional help is one of the factors, which is attracting housing societies to these CA firms. "As these firms specialize in maintaining accounts, they would also be adept at the new by-laws and regulations. Also when new laws and regulations are passed, most society members are unaware about the same, but these CAs can inform the members about any new development," said VN Janardhanan, Managing Committee member of Airoli-based society.