The main task of the company executive is to manage it in a proper way. But it is only possible to manage what we completely control. And we only control what we understand and measure. An ultimate goal of any business activity is profit. For exact assessment of business profitability it is required:
● Clear accounting
● Convenient analysis
● Evident planning of further actions
● Proper CRM for finance accounting
These are required for any business for measurement of finance of the organization, their control, and acceptance of management decisions.
Many businessmen don’t understand what is the financial and managerial accounting. It is normal, but until the owner of the business doesn’t face the first lack of money in the cash desk when it is necessary to make the next payment for tenancy, for example. Very often in the company, there is an accountant who is engaged in the reporting for the state, and on it, all analytics of cash flows in the company comes to an end.
We will talk about specific benefits for the owner of the business if he manages finance and business processes.
First benefit. Clear financial accounting – clear planning
Any accounting is, first of all, an order. Paid purchase with the card in the shop should be visible promptly. Begin to consider any movements of money, and surely don’t forget about cash.
If you in several days wait for payment from your customer — fix it. If next week you plan to pay a lease of office — also note it. It is necessary to consider all transactions — in the past, and in the future. It will allow you to understand what occurs now, occurred earlier and will happen later to your money. You can get acquainted with the tool that can help you with task by clicking the link.
And the most important, make entries regularly. Ideally — every day.
However, the truth is that not each head has enough patience and disciplines to make the same transactions, and then these actions need to be delegated. For example, to the accountant, or the personal assistant if such is.