Ways accounting professionals can help clients get serious about cash flow
March 01, 2016

Businesses must keep track of their cash flow to thrive in their individual industries. Many small-business owners think they can monitor their earnings and expenses on a consistent schedule or track them as they come in. However, these individuals have a lot to handle, so their cash flow won't receive the attention it deserves. This is where accountants and bookkeepers can step in and become their clients' most valuable advisor with real-time monitoring of their clients' businesses.

Consistently observing cash flow reduces and avoids discrepancies between money coming in from customers and going out to suppliers. As Accounting Web wrote, many businesses offer flexible payment options to retain more shoppers and provide the utmost customer service. They provide terms where payment is spread over several days or months. Instead of receiving the total price of an item or service all at once, businesses can count on receiving smaller amounts at standard intervals.

Expenses are a different story. Some company leaders prefer to pay for their supplies and bills as quickly as possible, while others see more value in spreading out payments. At the same time, certain commitments such as payroll must be handled on time every month. Unfortunately, no method always aligns with the payments coming in from customers. Such unpredictability makes it hard for businesses to confirm the state of their cash flow at any given moment.

Real-time updates and organization
If accountants and bookkeepers hope to provide the best financial advice they can, they must know the ins-and-outs of their clients' cash flow at any given moment.

This is where accounting software is absolutely beneficial. Accounting professionals can monitor a client's performance at any given time. They even provide data on the road - the best software solutions have mobile and cloud capability, so firms can track their clients even when out of the office. What's more, the software compiles all of a client's important financial data into one secure location. Information is encrypted and transferred safely, and accounting professionals don't have to sort through several screens in multiple programs to access the data they need.

With proper financial management software, accountants and bookkeepers turn into proactive advisors instead of reactive problem solvers. They spot trends faster than ever before and instantly give recommendations to their clients. If an issue does arise, the software lets firms solve it swiftly before much - if any - damage is done. 

Your clients need real-time information on the state of their cash flow. Sage View provides accountants and bookkeepers with instant updates to monitor transactions and keep businesses thriving.

Nexus: G-WEBCD6