The relevance of your current data is important to the running of a successful business, especially when it starts growing larger and larger.
I have a manufacturing client that has revenues that exceed $2MM. Unfortunately they do not keep their data in the most useable format for growth or measurement.
I believe this company should have a financial dashboard that shows a breakdown of inventory into raw material, work in progress and finished goods on a day to day basis. There should be a measurement of their Cost of Goods Sold as a percentage of sales broken down by client and job. They should know where expenses are growing year after year to make sure they are in line with expectations.
But they are using an Excel spreadsheet for all records. I have spent some time training an employee on QuickBooks, but it didn’t take.
Early this year we sent a proposal to the client to outsource their bookkeeping. The proposal was for half the expenses currently spend on the bookkeeper. The proposed offer was rejected, but the bookkeeper is a family member. We actually saw their role working concurrently with ours taking our data and expanding it to include the client breakdown which we may not get from the raw data.
Without reliable data it makes it difficult to real long and short term planning for a business. You can only do so much with the knowledge of your current bank balance.
If you want assistance to get your business to the next level and would like some assistance call our office.