Management Accounts & Reporting

We are team of experts accountants and financial advisors.

Management Accounts & Reporting

Our management accounting service team can review your credit control, stock control, budgeting and financial reporting systems and allow you to take full control of these key areas of your business. We can also help you address specific problem areas in your business such as gross profit, cost control and stock valuation.

What are management accounts?

There are 2 types of accounts, financial accounts and management accounts. Most people are familiar with financial accounts but miss out on the benefits of management accounts.

Financial accounts are typically produced once per year, to meet your businesses compliance requirements for HMRC and Companies House. These are often prepared and submitted 9 months after the accounting year end. This means that they are out of date, and inadequate for decision making and business management purposes.
Management accounts on the other hand are traditionally produced monthly or quarterly for the purpose of business decision making. They differ from financial accounts both in the way they are prepared and the timeliness of their content.

Why do I need management accounts?

Because they are produced in a timely manner, they offer an accurate financial window into the business. Which allows for accurate performance measurement, decision making information, business forecasting and planning.

Management accounts allow you to monitor the business and spot any potential issues before they arise. Some of the reasons for having management accounts include:

  • Identification of seasonal variances
  • Motivates staff and managers
  • Business planning
  • Cash flow planning
  • Identification of working capital tied up in the business
  • Avoids big surprises at the year end
  • Budgeting and forecasting
  • Helps with raising finance
  • Control costs

Effective management information will allow you to seize opportunities when they arise or identify problems quickly so you can take effective corrective action. If you are interested in finding out more about our management accounting and reports, please contact us.