Management Accounts
We give you regular, accountant-reviewed financial reporting so you can see profit, cash flow, margins, tax exposure and business performance before year-end. No more guessing the numbers, meaning you’ll be able to make informed financial decisions based on data.
How we help
We prepare monthly or quarterly management accounts so you can see what is happening in the business while there is still time to act. You’ll be amazed and best of all, you’ll be able to ditch the out-of-date spreadsheets.
We prepare monthly or quarterly reports so you can see what is happening in the business while there’s time to act.
Your reports can show profit, cash flow, margins, sales trends, costs and the key numbers that make your business tick.
We do not just send you reports. We help you understand what changed, why it changed, and what to do next.
How Management Accounts Help Growing Businesses
There comes a point once a business reaches a certain size where year-end accounts alone don’t cut it anymore. They are essential for compliance, but they are prepared after the event.
Year-end accounts tell you what happened after the event. Management accounts show what is happening now.
They help you track profit, cash flow, costs and margins throughout the year.
That means fewer surprises and better decisions before problems become expensive.
They are especially useful when you are hiring, investing, growing or planning a major change.
They also show which products, services, clients or locations are actually profitable.
For funding, investment or a sale, they give banks and buyers a clearer view of recent performance.
What YouActually Get
Your management accounts pack can include profit and loss reporting, balance sheet review, cash flow visibility, aged debtor and creditor reports, margin analysis, budget comparisons and key performance indicators. We tailor the reporting to your business, then talk you through the numbers so you can see what is making money, where cash pressure is building, what you are owed, what is due, and which areas need attention. The aim is not just to give you a set of reports, but to turn your financial data into clear, practical next steps.
What are management accounts?
Let's face it, a lot of business owners are quite happy to only see their accountant once year.
Management accounts are internal or external reports that provide insight into a business’s financial health often presented by their accountant. Business owners can use management accounts to gain a comprehensive, timely view of their business’s operational and financial performance to aid decision-making.
How often should management accounts be prepared?
In days gone by, accountants have requested boxes full of receipts of their clients, saved up for months at a time.
How often management accounts should be prepared will depend on the size and scope of the business. Management accounts are usually prepared monthly, bi-monthly or quarterly; as they’re used to inform internal decisions, they can be prepared as frequently as required.
What information is included in management accounts?
Management accounts are highly customisable to each business and will reflect the KPIs that matter most. Typically, a management account will include a profit and loss statement, a balance sheet and a cash flow statement; additional information like KPIs and forecasts can also be included if desired.
What types of businesses benefit most from management accounts?
Management accounts are highly beneficial to businesses with tight profit margins and high transaction volumes, e.g. e-commerce, retail and leisure businesses, and those with active plans to scale like growth-oriented SMEs and start-ups looking to secure external investment. However any business can benefit from Management Accounts.
Do I need management accounts if I already use accounting software?
No, but they are recommended as they present all the data in one place. Management accounts can provide far greater insight into business performance than day-to-day accounting software reports as they allow leaders to merge that data with wider statements, KPIs and forecasts to identify strategic opportunities.
How do management accounts help business owners?
Management accounts help business owners by providing real-time, data-rich snapshots of financial and operational performance. Unlike year-end reports, management accounts can be created periodically throughout the year and used to inform impactful, real-time decisions.
Can management accounts be tailored to my business?
Yes, as management accounts are not a legal requirement and follow no strict format, they can be freely customised to suit unique business needs. Leaders can choose exactly what and how much information to include in management accounts to craft a truly tailored report.
What is the difference between financial accounting and management accounting?
Financial accounting focuses on recording and reporting historic financial data to individuals outside the business, as a result, it follows strict, standardised rules. Management accounting analyses current data to help internal leaders make informed decisions about live operations.
Do small businesses need management accounts?
While not a requirement, management accounts can be particularly helpful for startups and small businesses as, unlike year-end reports, they provide real-time information about cash flow and operational performance that help leaders to anticipate and swiftly address issues.
What is the purpose of management accounts?
The main purpose of management accounts is to provide business owners and managers of day-to-day operations tailored, timely and actionable financial data. This information can be used to make agile, well-informed adjustments to daily operations and cost control strategies.
Are management accounts a legal requirement in the UK?
No, management accounts are not a legal requirement in the UK. However, they can help directors to comply with legislation like the Companies Act 2006 by providing insight into the success of a company, as well as help businesses to make informed operational decisions.
How can I use management accounts to grow a business?
Absolutely, all the most successful, growing businesses will have a version of management accounts.
Creating regular management accounts can help to grow a business by providing leaders with up-to-date information about costs, risks and opportunities. Report findings can be used to cut excess costs, identify areas for improvement and adjust operations to maximise KPIs.
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