Constant pressure on the bottom line and a desire to do more with less have resulted in a number of SMSF businesses investigating offshoring opportunities as a viable way to cut costs, improve efficiency and increase their profit margins.
Odyssey Resources which started a decade ago and is the largest offshore services provider to Australia, now has around 250 staff and completes about 25,000 jobs a year. “About 7,500 to 8,000 of these are for super funds, and we’re experiencing 30% growth” says David Carter, CEO of Odyssey Resources.
Odyssey Resources has built an extensive client base since its inception and now services around 750 accountancy and financial planning firms in Australia, as well as assisting some bookkeeping businesses. “Several years ago we became the first foreign company to become an Australian registered tax agent”, Carter says. “We have ended up with a service offering that ticks all the boxes. We have Australian professional indemnity insurance, we’re a CPA Australia Recognised Knowledge partner, it doesn’t matter what software our clients work in, we do the whole thing – tax, accounting, we can do SMSF audits – whatever they give us, we can do.”
He points out Odyssey is currently the seventh largest foreign accounting firm in Vietnam and is very well recognised, which gives the group an advantage when it comes to hiring quality staff.
“We push people to become Australian CPAs (certified practising accountants) and have around 12 staff members with this qualification at present,” Carter says. “We have another good dozen-plus going through the process at the moment.” As it takes a couple of years for staff to become CPA qualified, he says his business prefers individuals to be in the role for at least a year before the group encourages them to pursue this designation.
Whilst one CEO started exploring the Philippines 2 years ago, Outsourcing to the Philippines hasn’t been smooth sailing for everyone. NowInfinity principal Grant Abbott says although outsourcing and offshoring add efficiency and improve the bottom line, his group typically fixes up about six or seven SMSF documents every day that have been through the processes but are not up to scratch.
More information from Selfmanagedsuper website.