When “good enough” isn’t – Evaluate your Accounting Processes
Most of us don’t strive for mediocrity. Most business owners go into business to provide the best possible solution to their clients but after day-to-day business operations, many are guilty of settling for average, or worse bare minimum. As the economy and markets change, so should your business and work for better-than-average makes your business easier to adapt.
How can you make sure that your business is doing more than just getting by? It’s helpful to take some time to look at your accounting processes to make sure they’re helping move your business along. Improving your accounting procedure can help you improve your business overall.
Most business owners are not excited about accounting but it might help to think of your accounting procedures like a story, the story of the money and resources coming in and out of your business. The more detailed your story, the more insight it provides to help you make the right decisions to improve your business. Without the details, you could make inaccurate cash flow forecasts, making your business more vulnerable.
If you want to make sure your processes are up to par, make sure that they are providing all the information you need to make informed decisions. If not, see what changes need to be made. Are transactions accurately recorded? Do you have your chart of accounts and items set up correctly? Does your accounting software fit your business? These are all questions to ask when evaluating your accounting processes.
Make sure that your accounting tells a detailed, positive story about your business. If not, make the necessary adjustments so your business can do more than just getting by.