A successful business owner stays tuned in to their company’s financial health at all times—not just during tax season or at the end of each quarter.
If you don’t actually know how much money your company is bringing in and spending, it’s tough to chart your way forward.
For growth-oriented business owners who like to keep key data at their fingertips, accounting firms like Stratlign offer revenue reporting. This is a form of financial reporting that tracks revenue and expenses across different departments in order to maintain a clear understanding of a business’s bottom line at all times.
Revenue reporting services help you manage risk and plan for growth from an informed standing.
Whether you’re looking to trim expenses or boost profits, financial reporting helps you make the right decisions to grow your business and improve your bottom line.
Here are a few specific ways that revenue reporting services can offer value to your small business.
1: Make Informed Decisions About Your Business
As a small business owner, it’s surprisingly tricky to maintain a clear understanding of your company’s financial situation. Revenue, expenses, and account balances aren’t black and white. Different credits and debits are processed at different speeds, while factors like tax withholdings, inflation, and your company’s assets and debts all add to the complexity.
It’s no wonder that, according to Intuit’s latest State of Small Business Cash Flow Report, 80% of small business owners are stressed about cash flow.
Of the 62% of small business owners who have experienced a cash flow problem, 44% report that the problem came as a surprise. If you aren’t tracking your revenue, expenses, and balances, cash flow problems tend to sneak up on you.
Financial reporting keeps cash flow issues at bay by sorting through the noise to provide you with an accurate, up-to-date view of your company’s finances. By knowing exactly where your business stands today, you can confidently plan for tomorrow.
2: Monitor Your Company’s Growth Over Time
You fight hard to make gains in your local market. So, you should be able to track your progress over time in order to know what’s working and what isn’t.
Financial reporting services transform your company’s data into clear, meaningful information that lets you see how your business is performing from week to week and year to year.
3: Better Understand Your Customers
Who are your most valuable clients? Is your company doing a good job of attracting and retaining the clients that you’d like to be in business with?
Financial reporting helps you answer these questions by shedding light on a variety of performance trends, including:
- Which of your products and services perform best and which ones should be reconsidered
- How your revenue and expenses fluctuate throughout the year
- How much you spend versus bring in per customer served or unit sold
Each new insight helps clear your path toward continued business growth and financial stability.
4: Plan for the Future
Growth is always the goal, but growing sustainably is a delicate process that requires well-planned, well-timed steps forward.
Revenue reporting presents a clear picture of your cash flow situation, allowing you to plan for the future with confidence. You’ll set budgets, identify trends, and develop the preparedness to seize opportunities that present themselves.
5: Compile Useful Data Continuously
Objective, data-driven revenue reporting keeps key financial data up-to-date and readily available at all times.
Along with tax prep and strategic planning benefits, the accuracy and convenience of professional financial reports insulate your business against a variety of money concerns. You’ll always be equipped to prevent or manage unpleasant surprises like unintentional tax fraud, audits, or even lawsuits related to your transactions or operations.
Get Better Revenue Reporting Services with Stratlign
At Stratlign, we provide accounting, planning, and advisory services for small businesses.
We understand small businesses and it’s our privilege to work with talented teams that provide amazing services for their communities.
We specialize in the trade and construction industries, such as:
- General contractors
- Landscaping contractors
- Plumbers, electricians, and other skilled trades
Stratlign equips your business with a complete suite of financial solutions, including revenue reporting, bookkeeping, tax prep, and much more.
Our services are fully customizable to suit your needs and preferences as a business owner. To learn more, book a 15-minute discovery call with our team today.