It might be easier than you think. Aaron Apathy, CPA has tips:
Business owners are always looking for ways to improve their business and make more money. One way to do so is to improve the efficiencies within their accounting department. By accomplishing this, the accounting department can spend more time generating budgets, forecasting, managing cash flow, and doing variance analysis. Having the time to accomplish these tasks can help the business owner control costs and explore more profitable opportunities.
So, how can an accounting department become more efficient? Here are my top 5 suggestions:
- Establish deadlines and stick to them – staying current on your financial reporting on a monthly basis can save time at year-end. It is easy to correct errors when they occur and are current.
- Review accounting system set-up – are you using the best accounting software package for your industry? Using the correct software and the initial set-up can make daily record keeping a much more timely process.
- Assign the right people to tasks – responsibilities should be defined and reviewed routinely for each person within the department. You should always ask, “Is this the best person to do this task?
- Let your system do the work – avoid the temptation to run schedules and reports outside your accounting system. Information is inputted into the system for a reason. Generate as many reports as possible within the system. Outside reporting = wasted time.
- Review information flow from other departments – the accounting department is dependent on information from other departments. Review the information and make sure it is coming in an acceptable format.
As you review your accounting department functions, feel free to reach out to your advisor at Corrigan Krause. They can review these items with you and help you make the changes necessary to improve efficiency and help generate more profits!