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Financial Management Software Secrets

Money is tight, times are hard, you have heard this constantly for the past couple of years and businesses in particular have suffered at the hands of the global economic downturn. Perhaps the poor economy as much as anything else has increased the importance companies now place on their financial teams and perhaps to a greater extent the financial management software that they employ. Is it really possible that something as basic as software could be the difference between success and failure in a recession?

It may be a little far-fetched to say that financial management software will determine how a company performs in any kind of market; however it is entirely reasonable to say that it can change the fortunes of a company. It is also fair to say that if used correctly it will provide a road map to how a business can avoid the worst of a difficult trading situation and perhaps even prosper in a recession. Of course not all financial management software is created equally and I’m not suggesting that a program created to manage a home budget will change the fortunes of a large business, what we are talking about here enterprise level software designed with business in mind. So how does it achieve all this?

Today programs are more than just accounting software and definitely about more than just managing a bank balance. Actually it is used to provide in depth information as a basis for key strategic business decisions, the reporting features that enterprise level financial software has means that it is an invaluable tool for any company involved in planning for the future, informing decision makers of the areas of business where savings can be made and how those savings can be made. It’s not only about savings though, increasing profits is an area where the insights offered by the reports can prove invaluable, the combination of cutting costs, making savings and increasing margins the basis of how using financial management software can turn the failing business around to be a successful and lean operation. How to choose the right software is another matter entirely.

Enterprise level financial management software does more than just accounting, when choosing a program there are several factors that must be considered to get the right platform for the specific business conditions you operate in, to do this it should be:

  • Reliable; it is essential that the program has been proven over time.
  • Robust; the software should be strong enough not to break through input error.
  • Flexible; it should be able to manage the whole range of financial processes.
  • Simple; a smooth learning curve is helpful, user-friendly is essential.
  • Integration; it is a necessity for the software to integrate seamlessly with existing business applications.
  • Expandable; if necessary a modular program that can growl to a full suite of ERP applications is idea.

Although not exhaustive this is the very basics of what is required for a finance application to be good enough to guide your business strategies, anything less and the results would be misleading.

Cost effective financial management is not easy with finance teams having to achieve more in less time with less resources, the only way they can manage to do this is by utilising the best possible tools at their disposal. Financial management software can help them provide the proper reports for the best possible strategic business decisions to be made.

Financial Management – Things All Business Owners Should Know to Succeed

Statistics show that 87% of small business failures are due to one reason: Lack of proper financial management skills! This is a horrible statistic and it can easily be turned around for you! The formal definition of financial management is “the planning, directing, monitoring, organizing and controlling of the monetary resources of an organisation.” Basically; do you understand, track and control where and when your cash flows in or out of your business.

I have seen evidence of this statistic over and over again. There are so many small business owners out there that pay a fortune every year for their financial statements to be prepared by their accountant, and have very little understanding of what this document actually means. No sooner have they written out the cheque (with a very heavy heart) to their accountant, and the next cheque is on its way out -to the tax man!!!

Financial Management is not something you only worry about after year end, when you need to report to the tax man. Its a process of understanding and tracking how your business is performing on at least a monthly basis. Some business’ require a more frequent review depending on its size or even how desperately the business needs it. To prevent you from becoming part of this 87%, I have formulated a few DIY tips in my report so make sure you sign up for it before you go!

It is designed specifically for you (the local business person with little or no understanding of financial numbers or processes) and you can use them to gain an understanding and eventually confidence in your business today, and tomorrow…… your business’ future. You can also sign up for our DIY templates package to get you started “understanding, tracking and controlling” your business. Be part of our database and you will be able to get started “number crunching” the Turnover you desire – and qualify for 30 minutes extra expert time for FREE.

Financial management is a big part of a running a business and it’s likely to determine your long term success.

Every business owner should have a strong skill in the area of financial management. If not, it is important to have someone on your team who is a specialist. You should take on financial management with great focus and importantly, take into account the strategies and plans that offer growth, stability, as well as continuous profit for the business. Managing your finances will always involve some risks but these can be reduced with the assistance of experts like the team from “Confident Cashflows.”

Don’t become an all to common statistic!

You can learn and understand the basics of financial management, but as a business owner, it doesn’t mean that you need to know everything. It is your role to steer the ship and have an understanding of what is going on in the engine room is critical.

Sign up for our “Financial Health Check” which can help you truly understand how “healthy” or how “not-so-healthy” your business is. Don’t wait – tomorrow may be too late!

Regardless of what specific tools you adapt for managing your finances, you will certainly be on the right track if you consider a team of financial experts who can help and guide you well on how to handle your finances.

Benefits of working with financial experts

  • Financial experts let you focus on your technical and operational expertise of your business – but help identify potential stumbling blocks along the way – BEFORE your business falls down!!
  • Financial management experts help you employ BIG business principles to small(er) business enterprises. Remember you will never be able to handle BIG profits if you cannot manage smaller profits NOW!
  • Financial experts give you advice based on your specific industry and your specific business. Every business is unique – with its own strengths and unfortunately its own weakness’. Without the knowledge of where you stand – it’s very difficult for you to make informed decisions about your business’ future!

The key to success is always a solid foundation and knowing your goals and more than anything else, choosing the best financial management experts to help you reach your financial goals and run your business effectively.

Property and Financial Management

Property and financial management are both important aspects when you own commercial or residential real estate. There are many things to consider when trying running an organization or association, and many little things that need to be taken care of behind the scenes. This is why most associations will hire a management company to take care of things both little and small, so they can focus on dealing with homeowners and board members, instead of worrying about landscaping, security, and other maintenance issues that can become a nightmare. Placing the right personnel to run something smoothly will be the key to keep an association happy, and to keep members of a neighborhood or board of investors happy.

Some functions of the financial aspect of a management company are to collect paperwork and document everything accordingly. It is also their job to collect all fees and dues that are due each month from homeowners. If a homeowner is behind on paying their association fee, they will have to be properly warned and notified before fees can be issued. The financial management company will take care of all the paperwork during this process, and will be in charge of fines being sent to that specific homeowner. This part of management will also take care of paying out any services that have been hired by the management company, such as maintenance and repair work.

Property management works hand in hand with the financial aspects of the association. They take care of contracting on people to take care of the property. They will make contracts for yearly maintenance, monthly maintenance, and emergency maintenance. They will also take care of complaints from people who pay the association fee, such as streetlights that no longer work, or other problems. They will also be the ones who take in the bids of contractors looking to perform necessary work for the association. Everything that they do, they will send their bills and paperwork for the financial management team to take care of.

Property and financial management is very important to keep everything running smoothly for an association. This is also a big concern of homeowners. People who are living within a neighborhood want to be reassured that their association fees are being put to good use by hiring these types of companies to take care of their concerns, their requests, their association fees, and to make sure that the neighborhood is safe and worth living in.