Don’t let your financial statements and records become a nightmare

By | 19th August 2015

Financial statements

You’ve been planning that long overdue island breakaway for ages and yet, you know there’s simply no way you’ll have all your ducks in row in time to make it happen. In between client meetings, on-time service delivery and dealing with admin, you’ve been neglecting the management of your financial statements. You’re well aware that you have to stay on top of money matters and this is causing you sleepless nights, it would be great not to have to toss and turn worrying about your personal and business finances.

Here’s how you can better manage your financial statements and records to avoid nightmares:

Maintain up-to-date client contact and invoice details.

Being a consultant isn’t child’s play. You’re on the road every day juggling an array of clients, while trying to find time to get onto the golf course and spend time with your family and friends. Keeping up to date with all of your client’s details, creating quotes, invoices and better managing this entire admin and finance process doesn’t have to be an unappealing drain.

Remember that spending a few minutes now saves hours later. Find the discipline to update your client database as they come on board and ensure that you follow up with them every so often to keep it current. Ensure that you send out quotes as soon as you receive a request for service and then promptly respond with an invoice once it has been accepted. This means you don’t have to deal with clients nagging for a response from you and you don’t have paperwork piling up or getting lost.

Remain on top of correspondence with all your clients and ensure that your billing is correct.

You want to cut down as much as possible on tasks that are time consuming. Falling behind on the simplest things such as client correspondence and billing will expectedly spill over into your personal time. Furthermore, falling behind on the management of your clients’ financial records can become a sticky mess to untangle. Always be responsive to your clients and don’t neglect your inbox. Sifting through hundreds of unread emails after hours to find a single quote wastes a lot of time, keeping clients waiting can be detrimental to your reputation.

Furthermore, you have to ensure that you are getting paid exactly what is owed to you and more importantly that you don’t forget to invoice for work done. It’s easy to get side-tracked when you are seeing one client after the next. You need to ensure you can quote and invoice on the run and keep up to date with the client admin. There are many useful applications that you can use to help you to do this.

Keep your personal and business financial statements separate and stay on top of tax matters.

It’s crucial to keep on top of your financial statements and ensure you are managing your income, expenses and cash flow. Keeping up-to-date you’re your monthly management accounts does not only means your financial statements are in order for your accountant, but also puts you in the position to forecast more accurately. This also includes monitoring how much of your personal money you are investing while managing your business finances. The most important aspect of having all your financial statements in order, is keeping the taxman happy. It eliminates any nightmares you might have of falling behind with payments to SARS or having them catch you off-guard and auditing your financial affairs.

Accounting software can help you simplify the management of your financial statements and records.

Maintaining financial records is time consuming and tedious. As a one-man show, you don’t have someone to delegate tasks to. You need to be able to easily and accurately keep record of your own and your business’ finances and there’s no better way to do this than using accounting software.Automating the process of creating quotes, invoices, monitoring cash flow and generating basic financial statements for your accountant can help you better manage your time.

SMEasy can help you regain one of your most valuable assets – time.

Our easy-to-use online accounting software and management system enables you to accurately capture your client’s details, effortlessly import them onto your quotes and invoices on the fly. You can further manage your cash flow, keep track of your personal and business finances and create financial statements for your accountant all in one place.

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