Accountants Plus are one of Scotland’s top management accounting firms, delivering detailed bespoke management accounts that will help you to optimise your business operations.
Data-driven decision-making is the cornerstone of any successful company and regular management accounts are the key to better business planning.
Management Accounts with Accountants Plus
At Accountants Plus churn out an off-the-shelf accounts report, nor do we use the simplified error-prone report templates supplied by the popular bookkeeping software packages.
You tell us what information you need to make management decisions, and that’s exactly what you will see within the tailor-made management accounts produced by Accountants Plus.
Not only that, but your dedicated Account Manager will sit down with you and explain everything within those accounts. That helps you to understand the implications of that information, which then helps you to make the right management decisions confidently and quickly.
We take all your financial statements including your management accounts, analyse them, and present them with context in a clear and concise way that is carefully tailored to your specific business goals.
Your dedicated Account Manager, plus our support team, use our state-of-the-art accounting software to elevate management accounts to the next level, by compiling and presenting data faster than ever before in a format that is designed to suit you. Want graphs? You will have graphs. Want comparison tables? You will have comparison tables. Want bullet points of the key messages? You will have bullet points of the key messages.
Your management accounts are a vital component within your comprehensive financial picture that allows your dedicated Account Manager to predict future trends and identifying growth opportunities on your behalf through our budgeting and forecasting service.
Even better, whilst your management reports help you achieve your goals faster, they also give you much more confidence to make decisions throughout the trading year. Forget about wondering how your business is performing. You will know with certainty how your business is performing.
You will explore your options with your Accountants Plus dedicated Account Manager every quarter, or even every month if that is better suited to you and your business.
With detailed financial statements produced monthly or quarterly, the amount of data gathering required when your annual accounts or tax returns are due is significantly reduced, saving you a whole lot of stress and wasted time.
Call us now on 01698 281 554 to learn more about how management accounts could be the key to maximising your future business performance.
What are Management Accounts?
Management Accounts are the foundation of practical decision making in any successful business.
These accounts are reports that provide a detailed insight into the financial performance of the company and help make smarter decisions for future operations.
Unlike annual statutory accounts, these accounts are used internally and are usually delivered on a monthly or quarterly basis to internal management and key stakeholders.
Because Management Accounts are not restricted by regulations, their content varies as explained below.
Business Planning
Regular management accounts detailing key financial information are essential to any business that is serious about success, allowing management to make smarter more informed decisions based on hard financial data.
Management accounts produced by Accountants Plus can contain both financial and non-financial data and insights. Financial measures can include selected Key Performance Indicators (KPIs), Gross Profit Margin, Net Profit Margin, Revenue Growth Rate, and any other that is important to your business. Non-financial measures often include sales data (leads, conversions, value); production data (raw material consumed, WIP, scrap, finished goods); and employee data (sales per employee, profit per employee, average wage/salary per employee, average length of service, number of improvement suggestions submitted).
The KPIs used in your management accounts should be carefully tailored to your business objectives, something that we specialise in doing on behalf of our clients to ensure their management accounts are as useful and relevant as possible.
Risk Management
Management accounts not only help you to identify trends and opportunities but also potential risks and problems that need to be addressed to protect and improve the company’s cash position.
These accounts will often allow you to spot cash flow problems that may otherwise have gone under the radar until it was too late.
What Do Management Accounts Include?
It very much depends on your business and what performance indicators are most relevant to your goals and objectives.
That said, there are certain metrics and information that are almost universally integral to business success and will be included in almost every management account that we produce.
These Are:
Profit and Loss Account
A summary of the business’s revenue, expenditure, and profit/loss over a certain period, usually since the last management account.
Balance Sheet
A balance sheet is a key tool in financial reporting, providing an overview of the company’s financial position at that point in time. It will include things such as bank balance, income statement, assets, and liabilities.
Key Performance Indicators
Depending on the company in question this could be anything from the number of new customers to conversion rates, or even something as simple as 5 star review percentage.
Cash Flow Forecasts
Management accounts shouldn’t just state the existing cash flow situation, they should be used to predict future revenue trends.
Being able to predict future cash flow or potential net profit based on both current operations AND cash flow based on certain future investments or strategic decisions will put you more than one step ahead of the game when it comes to future planning.
Analysis
This is where having management accounts prepared by an accounting firm with access to the most advanced accounting systems comes in handy.
A detailed analysis of the current performance of the business will highlight trends, make recommendations for change, and identify issues that need to be addressed. it will also make planning tax and dividend payments a whole lot simpler.
Why Accountants Plus?
Accountants Plus prepare management accounts on behalf of top businesses across Central Scotland, helping key stakeholders to understand the financial position of the business and the management team to make more informed strategic decisions.
Unlike the annual accounts you must submit to companies house and the HMRC, there is no set requirements for what management accounts must include or how they should be conducted.
Of course, there are certain things like key performance indicators, profit and loss statements, and balance sheets that will almost always be included but the exact format of the report should be carefully tailored to meet the requirements of each individual company.
That is where we come in. We will take the time to get to know your business inside and out, not only analysing financial data but also how you operate on a daily basis and what information will be most beneficial.
We will then produce management accounts with this in mind, delivering easy to understand financial health reports that you can use to analyse your business performance, and make changes that will help you maximise future revenue.
Get in Touch
As a business owner, the more information you have about your company’s performance and business finances the better.
The cash flow statements, financial records, and cash flow forecasts we include for all our clients when keeping management accounts will make business decisions easier and better informed than ever before.
As leading management accountants, we are one of the few firms in Lanarkshire with an expert team that is large enough to efficiently and consistently produce both statutory account preparation at the year end and management account preparation on behalf of limited companies, making us your one-stop shop for all your financial reports.
For more information on our management accounts process or any of the other accounting, taxation, and wealth management services we provide, contact us now by calling 01698 281 554.
