“Removing Roadblocks on Your Path to Success”
The new year is fast approaching – Do you know where your money is?
If you’re losing sleep at night, concerned that your company may be losing money, regain your confidence by instituting tighter policies and financial controls. A “slow-growth” economy doesn’t have to translate to slow growth for savvy businesses. Just a few simple and practical steps can set you on the right path to success:
Developing financial policies and procedures is no different than creating policies in other areas of business. The primary objective is to create a solid infrastructure that can be consistently used to manage the company’s finances. The most common financial policies and procedures required by virtually all organizations include budgeting, tracking income, managing expenditures, reimbursing expenses, managing assets, etc. Every policy and procedure must be developed, reviewed, tested, refined, and most importantly, documented, so each policy is consistently applied to provide total transparency into your company’s financial practices.
The end of the year is the ideal time to review the internal controls of the company. Is the control over finances divided up so that one person does not have too much control or power over the money? Is it clear who is responsible for each area of activity? Can mismanagement or abuse be easily identified? Are financial decisions made at the right level? Do employees have the necessary skills to carry out their roles and responsibilities?
These are important questions to answer, and properly structured checks and balances can save you from a financial nightmare. Take the time to review the current accounting procedures such as expense reimbursement policies, monthly reconciliations and reporting. Create systems, tighten the ones currently in place, and launch into 2013 with confidence knowing that you have the ability to follow your money trail at any time.
Come and meet us in January for our next gathering of the Marin Business Forum!!!
We wish you, your family and employees a happy and prosperous holiday season, and look forward to providing the resources you may need in the coming year!
March 2011 Newsletter
This newsletter is intended to provide generalized information that is appropriate in certain situations. It is not intended or written to be used, and it cannot be used by the recipient, for the purpose of avoiding federal tax penalties that may be imposed on any taxpayer. The contents of this newsletter should not be acted upon without specific professional guidance. Please call us if you have questions.
Copyright 2012, Pacific Crest Group, All rights reserved.