When businesses are looking for bespoke, tailored information that helps support the business plan and keep on track, they use management information based around management accounts
A management information pack goes beyond the balance sheet and profit & loss accounts and allows the business to delve deeper into specific areas, providing a much clearer understanding of what is really going on and enhancing any decision making.
What sort of data is included in management accounts?
The information included will be specific and bespoke to the business concerned. Information can be collated and reported on a wide range of financial fields including cash, sales trends, costings, overdue debtors and key performance indicators. The reports can be used to control finances and help manage the cash flow position.
How frequently are management accounts produced?
They are generally produced monthly or quarterly to suit the business and tie in with the frequency of transactions and decision-making strategy. This frequency provides a regular health check on the business and prevents any nasty surprises from storing up until the year end, allowing any adverse or unusual situations to be remedied at the earliest opportunity.
How are the reports produced?
Again, there is huge flexibility around how the reports are produced. Various software and digital platforms can be used and there is significant scope for how the reports are presented. The process is far more efficient when the business already uses accounting software such as Xero, Quickbooks or Sage as up to date information can be extracted to form the basis of the report.
Having access to timely management accounts means the decision-makers are furnished with the best information when making key decisions.
At Curo, we work with you to understand the business strategy and suggest the information most likely to support the plan.