Your bookkeeper/accountant should be the backbone of your business! They have all the answers on all things financial - they know where your money goes, where it comes from, which bills you pay, how much your employees make - everything. They know it all, so use them for their knowledge, experience, and expertise! Connect with your bookkeeper on a regular basis and ask questions - the answers can greatly help you make informed decisions for your business moving forward.
1. Where are wasting money?
This is a question that’s in the back of every business owner’s mind. Where can your business cut back on it’s expenses? Your bookkeeper will have the answer.
2. Where are we making money?
On the flip side, it’s just as important to know how your business is making revenue. What is bringing in the money? This can help you prioritize where to focus your time and energy.
3. How did we perform this quarter compared to previous quarters?
If you ask this, you’ll likely be given various reports. These are your friends! Use them! If you don’t know what they mean or how to understand them, this is the time to ask your bookkeeper because it’s vital to know how your business is performing compared to prior months and years. This will give you a good idea of where your business stands.
4. How are we forecasted to perform next quarter and beyond?
As important as it is to reflect and review, it’s also vital to look forward and prepare. If your business keeps moving forward at the pace it’s been going, how is your business expected to perform in the coming weeks and months? Stay on top of the financial health and well being of your finances.
5. What do we need to do to prepare for year end/tax time?
Your bookkeeper will be able to inform you in detail what needs to be done to wrap up your bookkeeping for 2020 with a nice bow. If they’ve been keeping up with you throughout the year, there hopefully won’t be much to do some year end.
6. How can we better manage our cash flow?
Because your bookkeeper deals with your finances as a whole, they may have some new ideas and a different perspective on how you can improve and better manage your cash flow moving forward. This is something that should be addressed on a quarterly or bi-annual basis.