Once a business grows past the initial, entrepreneurial stage and begins to set long-term goals the issue of having accurate financial data and reports on which to base decisions will become acutely important. This is the point where employing a corporate accountant will pay dividends through the additional skills and knowledge the person will bring to the role. http://www.charterpartners.com.au

1. Sound Accounting Skills Needed to Keep a Business Growing
Successful business entrepreneurs almost always start out with an idea for a product or service
that they believe will fill a gap in the market that the public will want to purchase. They build
the business from the ground up through hard work, taking risks, knowing their market and
being excited about what they are achieving. Nowhere in this heady mix have they ever seen
the daily grind of keeping track of the finances as exciting. They do understand how vital this is
to their success, but they prefer to hand the function over to someone who actually likes doing
it, so they can get back to what they enjoy.
Depending on how far along these entrepreneurs are in their business building cycle, they may
initially employ a competent bookkeeper to record all the transactions, pay the bills and
reconcile the accounts. As the business grows, however, they find they need more professional
help and at this point, they may employ a corporate accountant.
With this accounting professional on board, the business is now able to move up to the next
level. A corporate accountant will establish systems to control cash flow and monitor the
movement of cash through the business. These systems should include sound debtor
management to ensure that customers pay their accounts within the agreed trading terms, and
develop strategies to recover outstanding debts.
A key part of this role is to ensure that all financial transactions are being recorded accurately
and within the right time frame. Having checks and balances in place to verify accuracy of the
data will allow management to make important decisions based on the financial reports they
are being presented. It also enables accurate reporting of ROI (return on investment) and other
key business indicators.
Establishing budgets is another cost control measure that an accountant will introduce. By
identifying and estimating every possible expense likely to be incurred over a financial year, and
comparing these budget figures against actual expenses, management can quickly identify any
areas that are underperforming, and take corrective action immediately. With the accounting
software available today, it is possible to run these reports on a weekly basis and a corporate
accountant would most likely do that to ensure that costs don’t spiral out of control.
A successful business builds genuine relationships with suppliers and stakeholders, and
ensuring that the business debts are met within trading terms is a key part of those
relationships. The corporate accountant Narangba views this as a cost saving measure, since
paying on time does not incur late payment penalties or damage to the business reputation.

2. It would be very difficult for the business owner or manager to keep track of the financial detail
without the additional skills a corporate accountant brings to the business. At some point, every
growing business will need these skills, and they should be regarded as an asset and not a cost.
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