Correct accounting is crucial for any business, but even more so for small businesses that might not weather any mistakes on this end. To grow a business properly, you need a great accounting team. Roughly 89% of small businesses have reported seeing more success with an accountant, with 37% outsourcing the accounting tasks.
Because Quadrant Advisory has extensive experience in this industry, we see first-hand how outsourced accounting management solutions help businesses grow. The most significant benefit is that it allows them to make more informed decisions at the most crucial moments of growth.
Accounting Management Benefits
Performance tracking
With an accounting team that can measure and track the company’s performance in real-time, management can make sound decisions when necessary.
For example, you can consider the current performance of the company’s highest-earning products against the forecasts and the budget. Through this information, you can decide whether you can afford to put more money into the production of the products and be able to keep up with the forecasted trends.
Helps staffing requirements
Businesses face the constant challenge of deciding whether or not it’s time to hire new staff. They also have to determine if they can afford to do so, and if hiring new staff will pay off in the long run to improve revenue.
Through accounting management, the specialists will provide a company with the information needed to make such a decision. They can detail exactly how much a company can afford to spend in hiring new staff and the potential return on investment the company can expect.
Supports budgeting and forecasting
When a company has accurate and the most up-to-date financial data, it can also make realistic budgets. And with the correct budgets, the company has a basis for long-term growth and profitability projections.
For example, a stationery company needs to plan a budget for a specific department. The department has plans to add a service for customized business stationery and letterheads. The accounting team can provide forecasting through a comparison of historic costs and current costs. From here, the company can compute a budget for the department.
Targeting an audience
Marketers also benefit from having accounting services at hand. Marketers can provide information about specific demographics and groups, such as lifestyle, academic background, income, and more. The accountants, in turn, would be able to analyze the value of the customer groups.
From there, the company marketers can get accurate data on which group is the most profitable. They can target their marketing efforts towards them and get a better return on investment.
For example, your company has a line of activewear. The marketers are trying to decide who to market to—is it the young people who enjoy wearing and promoting trendy athleisure? Or should they focus on adults who take their fitness and workouts seriously? The accounting team’s analysis of how profitable either group is can help inform the marketers.
Get Reliable Data from Experienced Accounting Management
Getting accurate financial data and reliable analytics comes from hiring experienced accounting managers. They know how to use financial information to create budgets for start-up businesses and large enterprises. They can make more accurate forecasts and provide the services that grow your revenue through the years.
Quadrant Advisory’s team of accounting managers can provide all these services for businesses of all sizes, along with CFO services and business strategies. Contact us today for a consultation and start making the right decisions for your company’s growth.