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The Accountants for Growth

Management Accounts

Management Accounts

Many businesses require management accounts to measure and improve company performance. With this pro-active approach we try and add value in order to help you develop your business. Here are a few examples of what each business owner should ask themselves:-

  • How much of our income is recurring?
  • Which products or services really contribute to our profits?
  • What are our fixed, variable and activity costs?
  • What is the forecast for the next 12 months?
  • Can I afford to add a new member to the team?
  • Can we manage within our overdraft facility?
  • How much money is owed to us and do we need to tighten up on our credit control?
  • How much money do we owe and when is this falling due?


When we prepare management accounts, we present key data in a simple format.  Here a few items we look at to enable managers to make operational and informed decision making:-
 

  1. Profit for the quarter and year to date comparing actual results vs. budget. 
  2. Sales by customer and by product or service to see where the profits are really coming from
  3. Profit margins
  4. Overhead comparison against budgeted figures
  5. Analyse areas of risk or potential areas for improvement
  6. Aged debtors and an action plan to collect overdue aged debtors


We believe that nothing can replace the intuitive and skillful eye of a good management accountant!


 

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Disclaimer


The information provided in all of our blogs reflects only a narrative of some elements to consider on the topic. The blogs do not contain considered legal or accounting advice and should not be relied upon as advice. Please see our website's terms and conditions for full details of our disclaimer. If you are interested in obtaining advice, please contact us and one of our accountants will be happy and able to advise you on your own particular circumstances.

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