Why Are Your Business Financials Important?
Here’s the deal: Consider financial statements the compass of your business. They not only reveal important information for the stability and direction of your business, they are also invaluable for the banks and investors with which you partner and/or do business.
Financial partners want to know how your business is performing before they get involved and once they’re involved. This information gives them a high-level overview of how your business is regularly performing and whether or not their current or future investment is and will be used appropriately, legally and fairly. Additionally, the information revealed in your business’ financials helps them to conduct their own returns and any necessary bookkeeping and accounting processes.
Even more importantly, your financial statements build the “two T’s” with your banks and investors: Trust and Transparency. Accurate and fully-disclosed statements build trust and reveal to your bank and/or investors that their money is safe and hopefully growing in a lawful way. After all, when it comes down to it, that’s where their interest lies: their money and your protection of it.
Be diligent about keeping your financials as updated and as accurate as you possibly can. If you manage your financials, carve out one hour, every week, and commit to that hour. Unless there is an emergency, nothing or no one should interfere with that time. If this is a task to which you simply cannot commit, consider outsourcing this effort to a bookkeeping agency (think: Keep Financials!).
Not enough time? Not to worry.
Yes, this is a common thing we hear: “I don’t have two seconds to spare and I need help.” Well, we can help! Give us a call or contact us today, and we can help to take this process off of your to-do list.
We can help you with your financial statements in order to keep you on track and up-to-speed.