At Melanie Curtis, we’ll improve your business budget and forecasting
As a busy company owner, it’s not always possible to find the time to run reports from your accounting software and spend the time analysing them. We understand that a business owner’s time is precious. But understanding your business’s financial health, tracking key performance indicators (KPIs) and having timely financial information at your fingertips is key to business growth.
By outsourcing your management reports to Melanie Curtis Accountants, you can receive monthly or quarterly reports on the financial position of your business. Our management accounts experts can help you interpret your company’s financial performance and explain what your figures mean in plain English.
Do you want to take control of your business’s financial health and be better placed to make informed decisions? Contact us today to get started.
What are management accounts?
Management accounts should not be confused with statutory accounts, which must be produced annually and submitted to Companies House.
Management accounts provide a more detailed view of your business’s financial health on a regular basis, typically monthly or quarterly. They are bespoke to your company and for internal use only.
What’s the difference between management accounts and statutory accounts?
The differences between management accounts and statutory accounts are as follows:
| Statutory Accounts | Management Accounts | |
| Frequency | Prepared annually and submitted to Companies House and HMRC after a company’s financial year-end. | Companies typically produce management accounts on a monthly or quarterly basis. |
| Legal Requirements | Required to be submitted by all limited companies and adhere to set standards | Companies can choose if they have management accounts and can be bespoke to the company’s needs |
| Business View | Cover the financials of the whole business | Can be targeted to specific areas of the business such as sales revenue, profits, cash flow etc. |
| Audience | Provided not only for company management but for Companies House and external stakeholders | Provided for mainly internal use such as business owners and internal management team |
| Purpose | To provide a view of overall company performance for a full financial year and to comply with requirements of Companies House | To provide a view of particular business areas and report on specific KPIs on a more regular basis |
Do I need management accounts?
Unlike statutory accounts, management accounts are not compulsory. However, for many SMEs, they are a crucial tool for monitoring financial health and strategic planning. Regular management accounts will help you gain insight and make better decisions about the future of your business.
How we’ll handle your management accounts
We can tailor your accounts depending on the important metrics for your business and your goals.
Here’s a glimpse of our process:
- Gather relevant, up-to-date data.
- Cross-check and reconcile to check the accuracy of the data.
- Prepare draft financial statements like P&L reports, balance sheets and cash flow statements.
- Incorporate other metrics, such as operational metrics.
- Analyse and interpret the data, looking at KPIs and reporting requirements.
- Share insights, discuss and advise on areas of concern, improvement, or changes to be made.
Tailored financial reporting
Our management accounts service provides financial statements monthly or quarterly, depending on your business requirements. What is included in the service can be tailored to your needs.
The key elements of our management accounts are:
- Profit and loss account (P&L): giving you an overview of the company’s revenues and expenses.
- Balance sheet: showing a snapshot of your company’s liabilities, assets and equity.
- Cash flow statement: clearly showing cash coming into and going out of the business.
Budgeting and forecasting
Our management accountants will also assist you with budgeting and forecasting for the future.
Forecasts can also be provided depending on your goals. These could take the form of growth projections or sales forecasts. Our experienced accountants can explain how best to use these budgets and forecasts when making strategic decisions about your company.
Cash flow management
If you struggle to manage your business’s cash flow, our management accounts preparation can help. You’ll get regular reports and in-depth analysis of your data, which will make it easier to spot problems before they become severe or forecast times of the year when cash flow may be an issue.
Strategic financial business advice
A good management accountant service provides much more than just a set of financial reports. Our extensive experience working with a wide range of businesses means we will be there by your side, offering strategic advice based on your numbers and our expertise to enable you to take your business to the next level.
For accurate management accounts, choose Melanie Curtis
We understand that as a small business owner, you need an accountant who not only provides compliance services but can also help you manage your business more effectively day-to-day and provide you with the best information possible to move your business forward.
Rest assured, we’ll be by your side every step of the way along your business journey. Get in touch with us today.
Frequently asked questions about management accounts
How often should I prepare management accounts?
You can decide the frequency of management accounts. Typically, we produce management accounts for clients on a quarterly or monthly basis. How often you need them will depend on what you use them to track.
What are the key performance indicators in management account reporting?
The KPIs you want to track via management accounts can vary depending on what you are trying to track or achieve. Some example KPIs are as follows:
– Gross profit margin
– Revenue growth rate
– Operational cash flow
– Inventory turnover
– Budget to actual variances
– Customer Lifetime Value (CLV)
– Cost per Customer (CPC)
– Return on Investment (ROI)
At Melanie Curtis Accountants, we understand that every business is unique. Contact us for a personalised discussion about your management accounting requirements.
