We can help you design an accounting system that is right for your business so that you will always have current and relevant financial information at your fingertips.
Good financial records are necessary for several reasons:
For year-to-date comparisons and to make quick management decisions, financial reports must be done monthly. You can compare the sales, gross profit, and net profit at, say, the end of May, with prior years and get a good idea of how the current year will finish. You can compare the total accounts receivable or payables with prior years to spot problems and then quickly take corrective action.
Here are some common business ratios you should monitor on a month-by-month and a year-by-year basis:
Understanding financial statements can increase business profits. If you would like to learn more about using financial statements to make sound business decisions, we would be happy to assist you. No one was born understanding financial information, but it is easier to learn than most people think.
Please ask as many questions as you like; we will help you until you are comfortable with business numbers and can use yours to increase your profitability.