Managed services

Overview

Across Africa, finance leaders are reimagining how their functions should run in a world where the operating environment keeps shifting. From new tax regimes to digital compliance, talent scarcity, the rise of real time reporting and ongoing pressure to manage costs, the traditional fully in house model is being tested. In Africa, there is a clear pivot toward modern finance outsourcing and managed services. This is not the old transactional outsourcing of the past. African businesses are now choosing operating models that match their maturity stage, growth ambitions and cross border realities.

Modern Finance Outsourcing and Managed Services Models

Fully Outsourced Finance Function

This model is proving effective for carve outs, rapidly growing family businesses, scale up companies, pan African Small and Medium Enterprises (SMEs) and public sector related entities that need stability and predictable performance.

Integrated support combining people, processes and cloud enabled technology
Predictable monthly cost structures in place of fluctuating internal overheads
Strong compliance with tax and regulatory frameworks such as corporate income taxes, e-invoicing, digital reporting obligations, and applicable indirect taxes.
Direct access to qualified finance, payroll, technology and tax specialists without long recruitment cycles.

This setup gives leadership the freedom to focus on strategy, customers and growth while the finance engine runs in the background with discipline and consistency.

Co-Sourced or Hybrid Finance Model

This has become the most popular model among mid-market and large corporates across Africa. It blends the strengths of internal institutional knowledge with the capacity, technology and specialist skills of an external partner.

Core responsibilities retained in house
High volume or specialised streams supported externally such as AP, AR, FA, GL, treasury, payroll, reconciliations, GHG Accounting and Sox compliance controls
Shared KPIs, shared platforms and shared controls
Flexible scaling during audits, project go live phases or seasonal peaks.

The hybrid model improves accuracy, turnaround time and governance while allowing internal finance teams to concentrate on strategic decision making.

Process Specific Managed Services

Well suited for organisations that want tactical wins without redesigning their entire finance function. The most common areas across African markets include: