Outsourcing is worth billions of pounds every year and yet there are still businesses that shy away from it due to misconceptions, which we will aim to clear up here:

Outsourcing can be too constricting

In the past it is true that some companies found themselves tied up in long-term deals with outsourcing companies that ultimately proved uneconomical and unflexible for the business. However, this is a thing of the past, and today we see shorter contracts and flexible terms dictated by the customer that result in more productive, successful relationships. Early ‘get-out clauses’ are also common.

One of the most popular posts on StartUp Revolution's forum at the moment is all about outsourcing, and so it seems like the perfect time to revisit some of the key points about outsourcing. Paper Mountain Solutions has successfully been providing outsourcing support for many years, and you can find out more about our services here.

So why outsource? Well, in the words of Paul Smalley, Paper Mountain Solution's MD, "It gives you access to a team of specialists that ordinarily a small business could not afford."

So not only do you get an expert, from finance and admin to graphic designers and content writers, looking after your business, but the outsourcing company will also be employing that member of staff, meaning you don't have to. In effect your business gains expert knowledge and saves money at the same time. An essential combination for any small business.

Well, you're not alone as recent research by Business Link has found that although a quarter of employees would like to start a business a third are too scared to do so. However, what's interesting is that if those budding entrepreneurs did take the leap into business ownership and made a profit of just £1000 the UK economy would receive a massive £3.25bn boost.

With the varied support available to businesses including the £78.9m to be spent during 2011-12 on a number of programmes and initiatives designed to support UK businesses it would be interesting to understand what is holding so many people back. From our discussions with visitors to the recent Business Startup Show many people were concerned about finance, feeling overwhelmed by the tasks involved in setting up a business, not understanding what jobs they needed to undertake, not to mention the risk involved in possibly leaving employment to start the business.

All these concerns are valid and completely understandable. The good news is that they can, for the most part, be addressed.

Send invoices immediately - Why wait until the end of the month to send invoices when you can invoice as soon as a job is completed. If you wait 15 days to invoice you've already lost 15 days when you could have had the money in your account. Businesses need to be paid as soon as possible, so why wait unnecessarily.

Using online software – The benefit of online software to send invoices is that you can invoice your customers when ever and where ever. In addition, you have the security that all your invoicing information is safe and secure.

Provide a detailed description - All invoices provide a field to write a description of the work you are invoicing for. Not only does fully completing this give customers a feeling of value for money, but it can prevent payment disputes - whether to simply delay payment or due to confusion over what is being invoiced for.

The extensive benefits of outsourcing, as shown by Paper Mountain Solutions, include access to expert knowledge that your own business does not have, plus the undeniable cost savings that can be made by choosing to outsource particular aspects of your business. To get the best out of your outsourcing partnership, though, you need to think of your outsourcing provider as simply an extension of your existing business. There are simple steps to take in order to create a mutually beneficial relationship with your outsourcing business.

1. Unsurprisingly communication is key, something Paper Mountain Solutions believes strongly in. It's imperative that your outsourcing provider fully understands your business plan and is kept fully up-to-date with changes and developments within your business. The flow of information, both ways, will ensure both sides are achieving the best possible results.