Cash Flow - How can you be in charge?
According to new research, the UK’s 5.3 million micro businesses spend a combined
Amongst the entrepreneurs who reported to lack confidence and skill.
Furthermore, out of the 5.3 million
What is a Virtual Finance Director?
How can a Virtual Finance Director benefit your business?
1. A virtual finance director is cost-effective
As a virtual finance director works remotely, the cost of hiring one is really cost effective. More importantly, you immediately save on costs such as pensions, PAYE and holiday pay. There is no need for additional office space either. The cost is also flexible as certain hours can be arranged to suit your business budget.
2. In-depth analysis
A virtual finance director will use data from your cloud-accounting software to draw up graphs and tables in an easy to use format. Additionally, the data can be tailored to your business requirements. For example, if you own a property maintenance company and are eager to see which property is the most profitable for you. Or even if you have different cost-centres and want to see which revenue stream is bringing in the least amount of sales. The possibilities are endless.
3. A helping hand
Running a business is no easy task. If it was easy, everyone would do it. Being an entrepreneur, you are also at the forefront of the entire operation of your business. You are faced with making decisions every day, whether they are big or small. Buy office stationery. Buy new machinery. Employ more staff members. The list is endless. A virtual finance director makes these decisions easy to make. Armed with the information from the data analysis.
What process does a virtual finance director follow?
No two virtual finance director services will be the same. However, there are a few key points that need to be followed to ensure cash flow is calculated correctly:
- Gather the accounting data – Using cloud-accounting software your data is thoroughly processed and categorised
- Carefully analyse the data – Data from the bookkeeping is then carefully analysed and transferred into easy to understand formats
- Recommend key strategies for success – Using the data, recommendations can be made for key decisions
- Implement strategies and provide business support – Provide the business owner with business support to execute the recommendations
Many business owners are guilty of trying to wear too many business hats. All at once. At the end of the day, being able to grow your business will lead to your success. Moreover, the support of an external eye can be a game-changer in the way you look at your business finances. Consequently, the cash flow decisions you make will save you valuable time and money. Surely, all important lifelines of a budding business.