Accounting Project
Ideally, you are tracking up to 3 financial indicators that will tell you how you are doing with your Business Strategy. As you accomplish each of your business strategies and change your focus, your financial indicators will change, too.
Caution: don’t let the tail wag the dog. Financial information should inform your decisions not force them.
What is the objective?
To audit your accounting procedures for ease of use, utility and economy.
Why is this important?
Accounting has many uses beyond paying taxes, wages and tracking profit (loss).
What do you need to know to do this?
You need to know what indicators are important to you to track as you fulfill your strategic plan.
The Project
What gets measured, gets done. Not everything measured is important.
A fully functioning accounting system will tell you when to spend money for the most benefit; how you are doing with your strategic plan; and where your next opportunities lie.
The accounting industry these days is managed around proper and standardized reporting for shareholders and paying of taxes. That’s what GAAP is (Generally Accepted Accounting Principles) is designed to do. Beyond that, there may be other numbers in your business that provide you useful information.
I’ve seen accounting systems that become bloated with process as new measures are added without eliminating the processes that no longer serve a useful function.
In this project you take a deep dive into how your financial information is managed, your accounting systems and how you can get the most useful information regularly and accurately. This is one of my expertises. I owned a bookkeeping business for 15 years. In the Small Business Academy you will get all the guidance you need to make sure you get the information you need and the ability to interpret it.
How will you you know you have succeeded with this project?
You will have complete confidence that the information you are getting is useful and accurate.
What is important to carry on to the next projects?
You will carry forward the numbers you need to make the best decisions in your business.
Join small business owners just like you in the free Business Owners Success Club online community for more resources and discussions about this and other projects.
