Using Data From Your Business Correctly To Boost Profits
Many client prospects I talk to when describing what we do say: "I already use QuickBooks so I have all the data to track my business already". My answer is QuickBooks is a tool not a complete solution to tracking, monitoring and analyzing where and how you make your profits. In fact, often we start with analysis of what information is capture in your accounting software and then match to the appropriate data you have or need to have to track your profits. One problem is not tracking the data at all, the other is not capturing, measuring & tracking the right data. Then the problem of the actual analysis of the data which your accounting software isn't equipped to do nor does the business owner has time to do. Often accounting systems are set up by accountants who look at your business as a tax entity not as a profit entity as we do. So often the business isn't tracking the RIGHT DATA or none at all and more often even if the data is captured it isn't analyzed thru the eyes of an investor. Meaning the data used isn't to maximize profits, but to minimize tax which is your accounts primary objective and where they have been trained. We focus on finding "profit inefficiencies" or areas we can improve (such as lowering expenses, restructuring business or product lines, changing processes, refocusing sales & marketing, changing strategy) profits and less so on saving taxes (although we do have an eye on that too). Furthermore, we create forecasts for your entire financial picture so you can track your business to plan from actual performance. Lastly, within the forecast we budget resources so that they are most efficiently allocated to maximize profits. Your account & software unlikely has the time or ability to fully understand all the aspects of your business to do this.
One of the tools we use is your accounting data & software for sure, but ultimately we need to message them to better use it to analyze your business as a profit center. More importantly, to present the RELEVANT data that can be easy & quickly to understood by business owners. That is why we created a client portal that can be easily customized (https://www.charlotteconsultantservices.com/dashboard-demo).
Contact us to see how we install the financial controls to monitor, measure and analyze profitability through data from your accounting software. To gain from our insights please contact us or sign up for email updates via https://www.charlotteconsultantservices.com/news-update.
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