There has been a paradigm shift in the past decade with a renewed interest in entrepreneurship, with starting a business being a dominant career choice for many. Entrepreneurs start businesses with a skillset in the service or product that they are offering but struggle when it comes to effective business administration.
Many small business owners assume that hiring professionals could cost them money that they cannot afford. But hiring an accountant can help them successfully set up systems for their venture that can gear the business towards success thereby being one of the most value-adding activities that a business can spend on.
Accountants are the 5th most trusted professionals in the world. They have access to a company’s confidential data which is why business owners can easily consult them on various strategies that they might not be comfortable sharing with other managers or employees.
As your local accountant in Brookvale and Greater Sydney, below are some of the ways we can help business owners by becoming their trusted advisors.
The key focus of atrusted business advisor such as an accountant is on business growth because businesses require strategic planning. This includes predicting chances of success and developing a business plan that roughly sketches a map spanning over 3-5 years. Accountants are experts at creating a detailed budget and forecast demand thereby ensuring that the resources of the firm are allocated optimally so that a business remains financially stable
Moreover, as reliable confidantes, it is crucial to grasp public demand and outline a business strategy that enables growth and helps to increase the customer base.
A business can never reach its true potential if it is not for its employees. Accountants as trusted advisors have a bird-eye view of employee efficiency so that they are in a good position to be able to identify suitable employment types for different departments. With business owners wrapped up in the daily operational aspects of working, accountants can help in analyzing which kind of employment structure would be the most suitable for a business and they can create an optimal mix of part-time and full-time employees and contractors.
Multiple surveys have shown that part-time workers are around 20-25% more productive than their full-time counterparts; hence, compounded with the fact that companies hire them on lower pay, make them fit for areas where productivity is an absolute necessity. On the other hand, the ability to get the work done in the lowest possible time makes contractors best suited for tasks and areas where time is of the essence.
Similarly, avoiding the occurrence of the key-man risk and solving the issue of understaffed areas is also a vital responsibility of an Advisor. In such cases, identifying appropriate stand-ins, establishing cross-training and mentoring initiatives, and taking away key-man insurance can help run the business operations smoothly.
As your local accountant in Brookvale and Greater Sydney, MYM Accounting & Business Consultancy can help train your key accounting and finance staff.
Even before a business owner (the buyer) and the supplier sign a business contract, they must hold negotiations on agreed terms. Those terms must include the payment method and potential costs and risks. Additionally, if a supplier falls short of the required or agreed quality, the advisor can suggest switching to new suppliers keeping financial barriers and contract terms in mind before terminating the contract.
In short, an accountant can be a trusted advisor in issues related to supplier negotiation and service administration. A usual mistake that business owners make is hiring cheap vendors. This can be a plan that backfires heavily. Accountants in Brookvale can circumvent this problem by carrying out regular analysis for the required service’s rate in their area and giving holistic advice to owners with quality, reliability of the vendor, and timely deliveries being included in the information provided to owners or managers making the decisions.
Cash Flow Management
Managing the Cash Flow of an organisation is the one of the key objectives of a business owner. As your local accountant in Brookvale and Greater Sydney, MYM Accounting and Business Consultancy can assist in providing a detail cash flow analysis and guiding the business in terms of making the right decisions to remain cash flow positive.
Optimizing prices is perhaps one of the most challenging tasks that business owners face today. Finding the sweet spot for your product price that can maximize the profit and yet maintain sufficient demand is a balance all business owners tempted to make. This is where accountants can be real asset.
Real-time demand plays a crucial role, so the company must carry out a breakdown of public interest in the product. Advisors, with a system of data collection in place, can collect valuable insights through customer survey reports, demographics and psychographics, and operating costs to suggest the best price. They can also determine peak and low seasons and help introduce discounted deals and promotional prices with offers born from the price optimization process. These promotional tactics aid in pulling in new customers. Consequently, you see discount offers in that supermarket because a certain Accountant in Brookvale did his job right.
On the other hand, failing to price strategically or gain a deep comprehension of your customers is the most likeable reason companies experience rigour mortis. On that account, pricing intelligently can create new horizons of success for your small business.
Accountants help business owners see and think out of the box and make recommendations and forecasts that the client has not yet considered.
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