As a small business owner, you’re juggling multiple roles. You outsource bookkeeping to save you and your staff the time and hassle of tracking income and expenses, and that’s a great use of resources. However, bookkeeping is looking backwards in time.
It would be much more powerful if you worked with your accountant to harness your numbers in driving future success. That’s the power of client accounting and advisory services (CAAS).
Think of bookkeeping as the foundation – it provides the raw data. CAAS builds upon that foundation, transforming your numbers into actionable insights. Instead of just knowing what happened, you’ll understand why it happened and, more importantly, what you can do about it.
To understand how it works, let’s look at a few CAAS tools and benefits:
- Key Performance Indicator (KPI) Tracking: Identify the KPIs that matter most to your business and track them regularly. Set realistic targets and monitor your progress, gaining insights into areas where you excel and where you need improvement.
- Coaching to Improve Profitability: By analyzing your cost structure and revenue streams, advisors can identify opportunities to increase margins and boost your bottom line. They can also provide coaching on pricing strategies and cost control measures.
- Cash Flow Management: Understanding your cash flow cycle is crucial for survival. Advisors can help you forecast your cash needs, develop strategies to ensure you have enough working capital, and explore financing options if needed.
- Forecasting: Model different scenarios, assess their potential impact, and then make better decisions. Whether you’re considering expanding your business, investing in new equipment, or hiring additional staff, your advisor can provide the financial insights you need.
- Strategic Tax Planning: Minimizing your tax burden is one of the building blocks to maximizing profitability, but it requires an ongoing, consultative approach to be highly effective.
While bookkeeping focuses on historical reporting, CAAS looks forward and is proactive.
As you consider the potential of CAAS for your small business, we’re glad to answer any questions you may have. Contact us at info@sbsaccountants.com or 770-745-4283 today for a consultation.