Are you stuck on a carousel?
The fayre is super place, a strange location to come up with an analogy for business though. Look at a carousel, the horses go up and they go down, over and over but it also goes round and round. There’s a lot of movement but not much progress. Are you picking up what I’m putting down?
Better cash flow, better profit and ultimately sustainable business growth are possible with the right tools, strategies and support in place. Often, we’re busy doing what we’re good at and running our businesses so we don’t have the time to become experts in profit and loss, tax, balance sheets and we hire people to look after that for us. Often an accountancy firm.
But is your accountancy firm a bit antiquated and keeping you going round and round on that carousel?
Now we’re not an accountancy firm in the traditional sense, we provide advisory first and accountancy second. There’s a very fine distinction that’s important if you’re looking for the advice and guidance to grow your business.
Your current accountant maybe letting you down if they offer advice late or not at all, do what you ask and no more, see you once or twice a year, charges you for every meeting and call, isn’t very responsive, or hasn’t embraced cloud technology. We hear similar complaints frequently and if you find a firm that does the opposite of everything above, great. You have an extended team or team member who’s got your business interests at heart.
If you have an accountant who has passed you over to a junior or overpromises and just gets in touch when your VAT is overdue and you’re good with that, you could be missing a huge opportunity to grow your business, protect your cash and boost your profits.
When the going is good and you’re making money, the tide and everything is in your favour, its easy. What’s not easy is keeping all the plates spinning and success breeds complacency as they say. How do you up cash flow, use it wisely and create a profit war chest for when the inevitable winter comes?
How to get off the carousel?
If you have a great accountant who is also providing an advisory / FD service, great. If they’re staying on top of the following, hold onto them. If they’re not, you should be asking questions.
- Maximise your profits, make sure you’re staying on top of your margin monster
- Improving your cash flow cycle, cash is oxygen for your business and you don’t want to be on a respirator
- Making sure your sales and anticipated growth is sustainable, often we don’t need more sales, we need to know who our profitable clients are and how to do more work with them.
- Ensuring you are adding value as a business and how you can monetise as well as streamlining operations.
A virtual finance director can support you with budgeting and all aspects of keeping you accountable and on track. What are goals if we don’t measure them and do all we can to strive for and achieve them.