Do you have Reliable Information to Monitor your Business?

Do you have Reliable Information to Monitor your Business?

A business owner may have a variety of measures they use to monitor the progress of the business on a monthly basis. While some might be happy to use the closing
bank balance at month end as a guide, we would recommend that you have a
system to monitor:
 Total sales for the month – How does this compare
to previous months or any forecast completed?
 Direct costs, including purchases and wages – Are these in line with expectations based on the sales
for the month?
 The overall gross profit and gross margin – Is this
consistent, improving or deteriorating?
 Accounts Receivable – What level of receivables is over 30 days old? Is a system in place to follow
them up?
 Accounts Payable – Are invoices paid by due date? If not, is
the situation improving or getting worse?
 Overall profit earned for the month – What is the profit? Is this as expected? Is the profit enough to cover loan payments, drawings, tax and asset purchases?
If you would like to put in a monthly reporting system we are able to assist with this,
either by completing adequate reports for you or showing you how you can find this information in your current accounting system. If your current reporting system produces profit and loss reports we can also review this with you to help you understand how your business is progressing.
Contact us to discuss how we can assist.

Wednesday, 8th November 2017


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"Kessels & Associates Ltd (trading as Kessels Ecology) has been a very satisfied client of DB Chartered Accountants for several years now. We appreciate the professional yet approachable manner of David, Pam and the rest of the team. They have a genuine interest in our business – a small but busy environmental science service consultancy - and are always on hand to assist. We value being able to regularly meet with David and to assess how the business is tracking one on one, with the opportunity to discuss future plans and options. David is also able to provide advice on a broad range of business development and strategy matters, which we’ve greatly valued. We can’t recommend David and his team highly enough."
 
Gerry Kessels & Helen Percy
Directors
 
 
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