Do you currently review trends from previous years to determine where the rises and falls may be for the current financial year?

There may be specific months in your organisation where income is generally lower or expenditure higher, such as the Christmas period each year or the end of financial year. Some expenditure only happens quarterly or every second month and this can have a serioues impact on cash flow. By reviewing the results from the last three to five years in a graph, you can determine what these trends are and plan for them.

Most organisations have the data available but not the staff to analyse the information and present it in a concise and meaningful report. It is much easier for a board of directors to review a few pages of graphs with explanations for exceptions to budgeted results than to wade through pages of reports that may not really explain the content. 

Our Consultants can provide financial analysis of your data by reviewing the reports available and preparing spreadsheets that easily show comparable information over a period of years, both in actual figures and by graphical representation. These can then be maintained by your own staff or for an objective viewpoint, our Consultants can analyse the data each month and provide a report noting anomalies in your figures. 

Budgeting is essential in maintaining a successful business and to prepare a budget, you would normally examine the results for the last financial year and consider any issues that may impact on those figures for the next year, including improved sales or fees, increased salaries or reduced leasing costs, sale of assets and so on. In some smaller organisations, this may not happen due to a shortage of resources or other considerations having more importance. Our Consultants are available to assist in preparing budgets and cash flow projections so that you can run your business more efficiently.

Once you know when your profit will be lower or your cash flow better, you can establish marketing campaigns to counter previous year trends and smooth out the impact on your organisation.