Management Accounting

Management accounting and tax accounting are often mistakenly regarded as ‘one and the same beast’ yet are quite different.
Whilst tax accounting is a vital ingredient of all commercial businesses it is the Management accounting that is the critical forerunner to any tax accounting.

By definition, Management Accounting is the method or tool by which financial and non-financial decision making can be made within a business.
It enables owners and managers to make informed judgements and decisions on opportunities and challenges that are ever present in their day-to-day operations.

Key aspects of Management Accounting that Financial Business Services can assist with include;

Reporting

Different businesses have different needs and requirements for financial reporting, therefore tailor made reporting is vital for monitoring the health and progress of a business operation.

What is essential though is regular reporting is established, maintained and understood.

Budgeting

Budgeting is not merely the domain of governments, but all business operations; be they large or small.

We can assist in establishing realistic budgets for income and expenses that will provide an understanding of future challenges and successes and minimise the possibility of sudden financial surprises emerging.

Cash Flow Forecasting

Intrinsically linked to budgets and reporting is cash flow. Many a strong business has fallen into difficulties as a result of a tightening of cash flow.

We will assist in identifying the cash flow triggers and establish cash flow forecasts to avoid future difficulties.

Key Performance Indicators (KPIs)

All businesses will have various and different indicators to assess their progress and performance.

These are not necessarily strictly financial indicators but can encompass a range of ratios, measurements or industry benchmarks.We can help develop these KPIs that will offer a snap shot of a business’ progress and performance.