Maximizing profit and the performance of your business
"If you are not in business for fun or profit then what the hell are you doing here? "
Robert Townsend Up The Organisation
Measuring your business performance on a minimum quarterly, is necessary to ensure the business is performing at its best.
We provide more than BAS' and financials for tax purposes - This is a basic service delivery. We apply management and financial techniques to improve bottom line performance.
Where is my business now and where are we going? Setting business goals and plans
By not having goals and plans is in effect a decision in itself. You still need to project the future cash flow and budgetary consequences of "continuing to do what you have been doing in the past".
Owners of business' must learn that the Economic and Business environment is not static hence you need to be aware of your surroundings in order to adapt your business. As we often see, if you do not adapt then you loose the control, hence the opportunity to change, as change then is forced upon you by others (banks, creditors, customers etc.)
Where is your business NOW?
Once you know where your business is at now, then you need to determine how your future decisions will effect profitability.
We utilise a BUSINESS ACTION PLAN which is an uncomplicated strategic document that identifies key decision making points. These decisions are quantified into a budget and cash flow to project what your business will do under those plans.
We can then assist you managing those decisions to improve, correct, or restore business profitability.
Do you really know what the financial information is telling you about your business?
Besides the necessity to prepare accurate information to satisfy tax requirements, what benefit is such information to you? What do the financials tell you about the business? Can you do better? Is your cash flow sound? Does your business compare well with benchmarks?
Key performance indicators (KPI's) and variance analysis to budgets and cash flows set are necessary to evaluate the performance of your business.
For example, do you know what is your business':
- breakeven point?
- Product and service -what is the profit or loss of each product line?
- operational productivity and efficiency
- variance to budget analysis?
- cyclical best and worst trading months?
- debtors and creditors turnover?
- stock turn?
- quick and liquidity ratio?
- cash flow peaks and troughs?
Expect more value from your accounting & tax service.
This site provides no advice - the comments are general in nature hence cannot be relied on as the circumstances of your situation varies case by case. You must seek individualised advice specific to you and or your business circumstances