At Rawcliffe & Co, we cannot stress enough to our clients how important the preparation of management information is. Whilst your year-end accounts are prepared in the main for compliance with regulations and submission to HMRC and Companies House as appropriate, they are after all based on historic information – and you cannot improve or change something that has already happened!
It is also worth mentioning that banks and other lenders are placing more and more emphasis on management information, and often require management information and forecasts to support their lending facilities.
Keeping an eye over your business’s finances on a monthly or quarterly basis can reap great rewards. When we prepare the management accounts, we will arrange a meeting with you during which we can highlight trends in sales, overheads and consequently profits. We can also help to identify the most and least profitable product lines. This information is vital for making informed financial decisions within your business.
It is essential as a business owner that you look towards the future. Consider where you would like to be in one, two or even five years’ time?
Many businesses do not succeed because they are slow to react to present day changes due to sole reliance on historic information and accounts.
With accurate and reliable information, we can prepare budgets, cash flow and financial forecasts which give your business something to aim towards. We can adapt these forecasts to review the anticipated impact of changes in your business strategy, such as the introduction of new product lines or the creation of a new department. It is tremendously important to review the financial and cash-flow impact of such decisions before acting upon them.
For help and advice on management accounts and financial forecasting, please do not hesitate to contact us.