Financial forecasts not only for the needs of banks
Making business decisions is inherently subject to a high degree of uncertainty. Future events, customer behaviour, exchange rates, and commodity prices can only be predicted to a limited extent. We do not offer any advice on such matters, because we cannot predict the future. There are, however, issues that can be counted, or there are at least scenarios determined by external circumstances that can be built. Decisions on investments, forms of their financing, forms of conducting business, effects of restructuring activities, mergers, working capital management policy (i.e. relating mainly to the levels of inventories. receivables and liabilities determined by payment terms) can and should be based on reliable calculations. We offer our clients the preparation of such calculations and their variants and their possible studies (including business plans compiled as appendices of applications for external financing).
Consolidated and Statutory Financial Statements according to Polish GAAP and IFRS
Some specific procedures for closing a financial year for the purpose of a financial statement may be difficult for accountants busy entering documents in books. In such cases, we offer support to both accounting departments operating directly in the enterprise and accounting offices. Such specific procedures include:
Controlling and budgeting
Optimisation of processes in financial departments and internal controls tests
Internal control and its audit – does it sound unfriendly and does it concern only large companies? Not really! It is a matter of great importance for the smooth functioning of even a small company how we organize the circulation of documents and information. Not every company can afford assistants and secretaries – thus, in addition to their main duties, every employee in SMEs performs a lot of administrative tasks independently, which can generate a lot of problems. And sometimes just a few changes in the organization of work (processes) are enough to improve not only the operation (minimization of errors) but also the atmosphere in the company as a result of better information flow. We support entities by adjusting the best global standards in the field of internal controls to the size and needs of a specific company.
Implementing of accounting/billing/production management systems
Today's IT systems are really great - you only need to properly implement them, i.e. devote some attention to company processes and then map them in a way best suited to the specificity of a given unit. Then they really become a tool supporting business development. We help to implement new systems, but also to improve existing ones. We pay special attention to maintaining an appropriate relationship between the workload necessary to enter data into the systems and the benefits of subsequent analysis of these collected and processed data.
Each production activity requires a detailed cost analysis. Often, in a small company, the boss has everything in his head - and that's enough, at least for a while. When a company grows and there are more people and processes in the company begin to cross, it is worth introducing a professional calculation of production costs in a systematic way. After each month, structured data allows for the analysis of deviations and various types of comparisons, thanks to which the management can react quickly and appropriately to the situation.
Revenue recognition related to long-term contracts
Estimation of revenue from long-term contracts is most often associated with the construction sector. However, all long-term contracts require this procedure, including, in particular, contracts for the construction of IT systems. Contracts of this type require adequate settlement not only because the Law states so (although of course, it does), but also because the recognition of costs and revenues related to this type of activity in a manner arising solely from issued invoices significantly distorts, or even prevents, any project profitability analysis. We implement monthly revenue analysis of long-term contracts for our clients - thanks to the implementation of modern IT systems and techniques, data is available right after the end of the month and their acquisition/development does not generate additional workload on the client's side.
In a small team, it is difficult to delegate people to organize financing because the preparation of necessary documents and data, as well as negotiations with financing institutions, take a lot of time. These tasks also require experience, which may be sometimes difficult to gain, because banks do not talk about loans every day and the management board, busy with current affairs, does not follow the banking market on a regular basis. Having experience in cooperation with numerous banks, we offer our clients proven solutions.
Financial liquidity management
In the near term
If the Saldeo system is used for communication with the client and the documents are submitted on a regular basis, we can prepare payment lists, expected receipts and the expected balance on the bank account.
In the long run
The budgets we prepare always consist of at least the planned income statement and balance sheet. Having these pro forma reports and updating them periodically, it is possible to indicate quite precisely the periods when the enterprise will suffer from cash shortages - thus these shortages can be prevented. The best way to do this is to expand budgeting with a Cash Flow statement. The presentation of such documents in a bank increases the customer's credibility and the chances of receiving a loan at a reasonable price.