You send payroll, invoices, and bank files to an offshore team and hope nothing leaks. Hope is not a control. This section lays out a practical control set that finance leaders can run with offshore vendors so sensitive data stays protected and audit-ready.
What this section covers
- A baseline security architecture for offshore bookkeeping
- Concrete controls for encryption, DLP, role-based access, access reviews, logging and monitoring, and incident response
- The evidence you should capture to prove controls work in practice
Key terms in plain English
Encryption at rest. Data is encrypted when stored in databases, file stores, backups, and laptops.
Encryption in transit. Data is encrypted when it moves across networks or between apps.
DLP. Data Loss Prevention policies that block risky moves like emailing bulk data or copying to USB drives.
Role-based access control (RBAC). People get access based on roles, not one-off approvals.
Access review. A periodic check that everyone still needs what they have.
Logging and monitoring. Systems record security-relevant events and send alerts for review.
Incident response. A tested plan to detect, contain, notify, and recover from security events.
Baseline architecture for offshore bookkeeping
- Keep books and artifacts in approved systems only. Examples include ERP, payroll, a secure document portal, and a managed file transfer tool.
- Enforce least privilege through RBAC across each system.
- Use managed endpoints for offshore staff with disk encryption and EDR.
- Route all file exchanges through SFTP or a secure portal. Avoid email attachments for bulk data.
- Centralize logs in a SIEM or equivalent with alerting and retention.
Control 1: Encryption at rest and in transit
What good looks like
- Databases, object storage, and backups use strong encryption with managed keys.
- All web traffic uses TLS 1.2 or higher. SFTP for transfers.
- Laptops have full-disk encryption. Mobile devices are enrolled in MDM.
Operate it
- Document key ownership and rotation.
- Block non-TLS endpoints at the gateway.
- Run quarterly restore tests from encrypted backups.
Evidence to keep
- Crypto policy, KMS screenshots, TLS test results, backup restore reports.
Control 2: Data Loss Prevention (DLP)
What good looks like
- Rules prevent uploads of spreadsheets with SSNs, bank details, or payroll data to personal drives or email.
- USB storage is disabled or read-only.
- Watermark and restrict downloads from your document portal.
Operate it
- Start with monitor-only rules, review alerts, then move to block.
- Tune policies for false positives around vendor formats.
Evidence to keep
- DLP policy, rule set exports, monthly alert review log.
Control 3: Role-based access and joiner–mover–leaver (JML)
What good looks like
- Access is granted by role catalog. Each role has a business owner.
- Movers trigger access changes. Leavers are disabled the same day.
- Shared accounts are eliminated.
Operate it
- Map finance tasks to roles. Example: AP Preparer, AP Reviewer, Payroll Processor.
- Require ticketed approvals with expiry for any exception.
Evidence to keep
- RBAC matrix, JML SOP, sample tickets showing approvals and same-day terminations.
Control 4: Periodic access reviews
What good looks like
- Quarterly reviews for ERP, payroll, and data stores.
- Reviewers certify least privilege and revoke unused rights.
Operate it
- Export user and permission lists.
- Review by business owners, not IT alone.
- Track revocations to completion.
Evidence to keep
- Signed access review reports, revocation tickets, before and after snapshots.
Control 5: Strong authentication and device security
What good looks like
- MFA required for all remote and privileged access.
- Managed endpoints with EDR, patching within defined timeframes, and screen lock policies.
Operate it
- Enforce conditional access rules.
- Review patch metrics monthly.
Evidence to keep
- MFA policy, device compliance reports, patch cadence dashboards.
Control 6: Logging and monitoring
What good looks like
- Centralized logs from ERP, payroll, file transfer, IdP, and endpoints.
- Alerts for failed logins, permission changes, bulk exports, and DLP blocks.
- Retention meets audit needs.
Operate it
- Weekly alert triage with noted outcomes.
- Monthly use case tests to confirm alerts still fire.
Evidence to keep
- SIEM screenshots, alert run books, triage meeting notes.
Control 7: Incident response and breach notification
What good looks like
- A written, role-based plan with contact trees and timelines.
- Tabletop exercises at least annually with offshore and onshore teams.
- Breach notification steps for regulators and customers when applicable.
Operate it
- Classify incidents by severity.
- Preserve evidence and run a short lessons-learned session after closure.
Evidence to keep
- IR plan, last tabletop report, incident tickets with timelines and actions.
Control 8: Secure data ingress and egress
What good looks like
- Intake through SFTP or portal with folder-level permissions.
- Outbound data requires business approval and is logged.
Operate it
- Use request forms that state purpose, recipient, and legal basis.
- Auto-expire external links and audit downloads.
Evidence to keep
- Transfer logs, approval forms, link expiry settings.
Control 9: Backup, recovery, and continuity
What good looks like
- Defined RPO and RTO.
- Regular backup tests for key systems and shared drives.
- Cross-region or cross-provider copies for critical data.
Operate it
- Schedule restore drills.
- Review changes in data volumes and adjust retention.
Evidence to keep
- BCP/DR plan, restore test results, backup inventory.
Control 10: Vendor and sub-processor oversight
What good looks like
- Current SOC 2 Type II or ISO 27001 where appropriate.
- Executed DPA with SCCs or UK IDTA for international transfers.
- A maintained sub-processor list with change notices.
Operate it
- Annual assurance review with action tracking.
- Flow down security and privacy obligations in contracts.
Evidence to keep
- Certificates or reports, bridge letters, DPA and transfer annexes, sub-processor register.
Operating cadence that keeps you ready
- Daily: DLP and access alerts triaged, endpoint health checked.
- Monthly: Patch review, backup tests, privileged access change review.
- Quarterly: Access certifications, tabletop or control drill, vendor KPI review.
- Annually: Policy refresh, pen test or assurance update, BCP/DR full test.
Summary
Good security is visible. When encryption is standard, DLP is tuned, access is role based, reviews are routine, logs are watched, and the incident plan is drilled, offshore bookkeeping can be secure and efficient. Your evidence pack should prove each control works without slowing the team.
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