Your annual financial statements have their uses, but by their very nature, they are far too historical to be of any use in managing or improving your business.
The most valuable financial accounts you can get your hands on are interim accounts prepared periodically — monthly for larger businesses or quarterly or bi-monthly for smaller businesses in line with your GST return periods. There is a strong correlation between the availability of interim accounts and business survival.
Having interim accounts to hand means:
So how do you get your business in a position to prepare periodic accounts at an economic cost?
Here are a few pointers:
The easiest way is to get your accountant to make the necessary adjustments for you. Not only will your accountant be able to make the adjustments quickly and correctly, but they will also be able to highlight any problem areas as well as point out any improvements required in your bookkeeping. The small cost involved will be a real investment in the future of your business.