Regular, relevant accounting and business information
Waiting until the year end for your trading figures does not give you the opportunity to intervene if there is an issue. Whilst you may have a good feel for the figures nothing beats properly presented, accurate management accounts. Anecdotal evidence like the phone ringing, or how much money is in the bank account is not a true reflection.
Management accounts are effectively the monthly, year to date (YTD) view of the business. Assuming there are no major issues the cumulative figures will deliver a good forecast of the year end accounts. They also provide you with up to date information on trends and patterns as time progresses.
Having a regular set of management accounts can save time and money at year end. This is because you can present orderly data to your accountant.
Management accounts don’t have to be incredibly detailed or as in depth as your annual accounts. They do include some of the same statements such as a profit and loss report and a balance sheet. You may wish to add other relevant information regarding sales volumes, top performing products/people or even choose to add previous year comparisons in; but essentially your management report should be a quick snapshot of the month/quarter just finished.
We work with our clients to ensure the systems, data and processes are in place to enable regular management reporting and then use this each month or quarter, as necessary, to provide our clients with up-to-date, accurate information upon which they can plan and forecast the growth of their business.