There are countless blogs on confidence in business. How to stand, what colour suit to wear, how to speak, what tone and pitch of voice to use. Lots of these tips are brilliant and can really help you to present yourself in a better manner, with improved results. However, genuine confidence comes from knowing and understanding your business inside out. You can pull off the good outward presentation and gain clients that way, but true confidence comes from within.
Knowing exactly what is happening in your business will give you an edge over your competitors. If you understand the mechanics of your business at a detailed level, that will permeate through all your conversations about your business. Understanding what is happening from the factory floor right the way up is key to a successful business.
On Dragon’s Den the dragons always ask about projected and current turnover and profit. It is endlessly amazing how many people don’t seem to know or have wildly unlikely figures shooting around. But many people who actually already run businesses seem as lost as some of the contestants standing under the cool gaze of the dragons.
If you only use a financial accountant, you might know what your sales were last year, and you might know last year’s profit. But would you know what affect the rising steel price in China has had upon your raw production costs for this month, and the consequential knock-on effect to the profit margin of production? If you use a management accountant, this information will be covered on a monthly or weekly basis, so that you can improve your decision makings by considering options such as “shall I order my sheet metal now, or shall I delay production and see if the pound will recover to negate the rising raw material cost?”
Trying to make complicated financial decisions with no data and no support is scary and risky. Making decisions with knowledge and advice reduces the risk and optimises the chances of making a good decision. Business is tricky enough, without trying to do it blindfolded.
For accountants that will support and advise, not simply file your tax return, why not come to TLA Business Services. With our management accountants you will be able to run your business in an informed and considered manner, not as an endless series of guesses. To arrange your meeting, call us today on 01905 21422