Chandra Mohan [Managing Director]
Founder / Senior Audit Partner / FCA [Singapore] / FCCA / CPA [Aust] / MBA
Published 28 February 2025
A Success Story: How We Helped an IT Firm Achieve Growth and Efficiency
A Partner in Success
At S C Mohan PAC and our affiliate firm, we take immense pride in being more than just accountants. We see ourselves as partners in our clients’ success stories, walking alongside them every step of the way.
One such story began with a small IT firm in Singapore. When they approached us facing operational challenges, we knew that our role extended far beyond crunching numbers. To make a real impact, we had to dive deeper—understanding their pain points, identifying solutions, and helping them navigate their path to success.
This is what sets us apart: a commitment to forging meaningful partnerships and delivering results that matter.
Navigating Financial Challenges: A Small IT Firm’s Dilemma
Running a small IT firm comes with its fair share of challenges, and for one such firm with just five employees, managing finances was a significant hurdle. Hiring an experienced full-time accountant, with a salary range of SGD 4,000 to 4,500 per month plus CPF contributions, was financially unfeasible for the firm. This high cost, especially for a non-revenue-generating role, was difficult to justify given their tight profit margins.
This scenario is a common challenge faced by many small businesses striving to remain financially responsible and competitive in today’s fast-paced markets.
The Need for Multiple Roles in Small
In small firms, hiring a single accountant may not be sufficient. Businesses may also require support in other areas such as administrative tasks, payroll processing, compliance with local laws, and employee income tax filings. Hiring multiple employees to handle these diverse roles is usually impractical due to budget constraints.
Recognizing that outsourcing could provide a more cost-effective and sustainable solution, the firm explored this option to manage their accounting and compliance needs efficiently.
Navigating the Transition to Outsourcing
When the IT firm chose to outsource their accounting and compliance tasks to us, we introduced QuickBooks Online to streamline their financial processes. However, transitioning to online accounting software wasn’t without its challenges. The administrative staff, unfamiliar with such tools, struggled with tasks like itemizing services, managing invoices, and collecting supporting documents.
Recognizing their frustration, we provided hands-on support to make the shift smoother. Our team customized QuickBooks Online to suit their unique needs and conducted tailored training sessions to empower their staff. This approach not only simplified their operations but also built confidence in navigating digital financial tools.
Leveraging our Expertise
The IT firm’s management strategically outsourced their accounting and compliance functions to us, valuing our expertise. Over time, they deepened the partnership by adopting more of our services to tackle operational challenges and ensure full compliance.
Addressing the Directors’ Concerns
Before onboarding, the IT firm’s directors had key questions about our expertise, team size, and stability. They inquired about contingency plans if an assigned team member left, access to senior team members, and the flexibility of our services.
We made it a priority to carefully address each of their concerns, highlighting our extensive experience, the stability of our dedicated team, and our unwavering commitment to personalized service.
We emphasized that our partners and senior team members are permanent individuals, personally overseeing all client accounts. This ensures seamless continuity and dependable support, even in the face of potential staff changes.
Empowering Growth with a Tailored Outsourcing Solution
We developed a customized outsourcing plan to address the IT firm’s challenges and streamline their operations. By managing their non-core functions – including payroll, bookkeeping, GST compliance, income tax filing, and EP applications – we allowed them to focus entirely on growing their core business. This partnership highlights how outsourcing can drive efficiency and enable businesses to thrive!
Our Tailored Solution
Our solution was a customized outsourcing plan that addressed the IT firm’s challenges and streamlined their operations. We took on all their non-core accounting and compliance functions, allowing them to focus entirely on growing their core business.
How We Supported the IT Firm
Technology Implementation with QuickBooks
We introduced QuickBooks Online and customized it to meet the firm’s specific needs. To ensure a seamless transition, we conducted training sessions to help the team:
- Raise invoices efficiently and send them to clients via email.
- Monitor receivables and automate routine reminders for outstanding payments.
Monthly Bookkeeping
We supported the client by managing key bookkeeping tasks such as entering payables, recording expenses, and performing bank reconciliations. From this data, we extracted accurate balance sheets and profit-and-loss statements for the management’s review.
Financial Statements
At the year-end, we assisted with closing the accounts by passing year-end journal entries, preparing schedules for management, and drafting financial statements for approval. These financial statements were essential for the directors’ and shareholders’ annual meetings, as well as for income tax filing, ACRA filing, and other statutory compliance requirements.
Payroll Management
We ensured timely payroll disbursements, accurate CPF contributions, and full compliance with statutory payroll regulations.
Income Tax Filing
Our team prepared and filed corporate and employee income taxes, including filing the Estimated Chargeable Income, which is due within three months of the year-end closing.
GST Compliance
We assisted with GST registration, reporting, and filing via the IRAS portal to ensure full compliance with Singapore’s GST regulations.
Corporate Secretarial Services
Our team took over the corporate secretarial responsibilities, including ACRA filings and passing relevant resolutions.
Ad Hoc Advisory Services
In addition to our recurring services, we provided ad hoc support to meet the client’s specific needs. This included:
- Assisting with Employment Pass (EP) applications for foreign employees.
- Connecting the client to legal professionals for drafting service contracts and other legal agreements.
- Offering strategic advice, such as increasing paid-up capital via bonus issues, facilitating share transfers, and addressing general business matters.
We didn’t just deliver recurring services; we became a trusted partner, offering tailored support to address the client’s unique challenges as they arose.
The Transformative Results
By outsourcing their accounting and adopting QuickBooks Online, the IT firm achieved cost savings, enhanced compliance, and improved operational efficiency. Automating invoicing and receivables saved time, reduced errors, and eliminated the stress of missed deadlines or penalties.
With these responsibilities offloaded, the directors focused on growing the business—investing in marketing, taking on more projects, and improving cash flow management. By trusting us with their accounting needs, they expanded their client base, delivered top-tier service, and drove sustainable growth and success.
This transformation highlights how outsourcing and smart tools empower businesses to focus on what truly matters—growth and excellence.
A Thriving Partnership
Today, the IT firm has experienced remarkable growth, achieving a strong bottom line and earning its reputation as a reliable provider of IT solutions. A significant part of their success stems from our collaboration, which has allowed them to prioritize their core business while entrusting their accounting, payroll, and compliance responsibilities to our experienced team.
Let Us Be Part of Your Success Story
At S C Mohan PAC & its affiliate firm, we specialize in helping small businesses overcome their operational challenges and achieve sustainable growth. Whether you need help with payroll, bookkeeping, GST compliance, tax filing, or technology integration, we’ll provide tailored solutions to meet your unique needs.
If you’re looking for professional assistance to streamline operations, enhance efficiency, and focus on growing your business in a cost-effective manner, we’d love to hear from you.
Contact us today to see how we can help!
📞 Call us today: +65 9144 1840
📧 Email us: Ying Fen @ accounts_1@scmohan.com.sg or Ms Rukoo @ office@scmohan.com.sg
Let’s embark on your success story together.
