It’s a fact: Working with an accountant dramatically increases the odds of success for your business.
According to the SBA, 50% of businesses fail in their first five years. While that’s a daunting statistic, it puts into perspective the value that an expert accountant can add to your business. It’s easy to feel that accounting is a necessary evil of doing business, however, there are many benefits that can be realized from working with a proactive, qualified accountant. Below, we outline just a few to consider.
Managing cashflow in a business without the right tools is a difficult process. From cashflow forecasting to speeding up receivables, New Business Directions can recommend the right tools to paint an accurate picture of your finances.
Creating Custom Accounting Systems
Building the right accounting system for your business will increase productivity, accuracy, and the availability of your most precious resource: time. We’re trained and certified in the QuickBooks ecosystem and can recommend the best third party integrations to create a custom technology stack for your business.
We’ll start by analyzing your requirements so we can tailor the accounting software to your business and reporting needs. Then, we’ll train your team on the new system so they can feel confident and empowered by a system designed to work for them.
Improving Workflow Processes
The accounting function is necessary in every business, but it shouldn’t be cumbersome or inefficient. We can take a look at areas within your accounting system that are costing you more than they should be. These could include areas of duplicate data entry, time spent on manual reports, and bottlenecks in general. We’ll suggest improvements that can save you time and money and keep your finance department costs reasonable.
Are there any areas in your accounting functions that are undocumented? We can help you write a procedures manual for those areas. Good documentation is the key to good training, consistency, and controls.
Profit Analysis can help your business exploit its most profitable services and efforts, as well as illuminate the areas you fall short. We can perform an analysis of profitability by location, product, employee, or whatever filter is meaningful for your business. This information will help you make better decisions about your revenue mix and make your business more profitable in the long term.
While most accountants stick to cursory expense reviews, we prefer to go deeper. We can help you identify costs that may be outside your industry norms, discover areas where your pricing might not cover your costs, and root out profit margins that should be higher. We can also help you in other areas, like improved inventory maintenance or increased accuracy of job costing for project-based businesses.
Establishing Internal Controls
Many times, small (and even mid-size) businesses and nonprofits lack the proper internal controls in their accounting departments to reduce the risk of misuse of your company’s assets. We can help you establish the proper controls or perform specific roles within the accounting function, making suggestions to procedures that may lower your risk.
Planning, Budgeting, and Metrics
If you know where you want your business to stand in five years but aren’t sure how to get there, we can help you establish key performance indicators (also known as KPIs), create revenue and profit plans, and more to create a clear path toward your business goals.
Business Advisory Services
It can be difficult to find good advice when you are in business for yourself. Friends and spouses who are not self-employed don’t often understand the decisions we make. As a fellow small business owner, we can act as a sounding board for your business ideas and provide a fresh, experienced perspective.
Finding the Perfect Blend of Accounting Skills and Expertise
Each business has different needs regarding the type and level of accounting services required to run the business effectively. Some businesses may only need quarterly accounting services, while others would benefit from more robust accounting services, from automated bookkeeping to payroll to the outsourced Chief Financial Officer.
The good news is you can still benefit from these high-level accounting skills while paying only for what you need. Whether it’s outsourcing a singular accounting function (like Accounts Payable) or the entire accounting department, we have a package that will work for your company’s unique needs.
Getting Started with New Business Directions
Our goal is to become a true partner for your business by providing you with the right mix of accounting services for you and your business. To take the first step, complete our intake form at https://newbusinessdirections.com/contact-us/.
Remember: the perfect synergy between a business owner and the accounting team occurs when two things happen: 1) the accountant gains a deeper knowledge about your specific business, and 2) the business owner grows in their financial knowledge about their business. This is when the magic really starts to happen for a business, and it improves over time. We look forward to getting to know your business better.