Financial Management Action Plan

Dear Accountant,

You have now delivered your client’s first set of management accounts showing their actual revenue and cost versus budgets (see last post). It’s now time to start advising them so you switch from Consultancy to Coaching.

This moves you from being the expert who did it all for them into the collaborator, whilst reducing your fee before your client gets concerned at monthly consultancy costs. You are now ready to be a Financial Management Advisor.

Using the agenda in the Action Plan, you present the figures, pointing out variances against budget and asking insightful questions of the team. Through this process, business issues are exposed eg: Why isn’t spending on: marketing producing enquiries; operations retaining customers; systems creating efficiency, productive people?  

And as you and your client look into these you both build up intimate knowledge of how the business works and start look for remedies. That puts you on the brink of becoming a Business Management Advisor as you add KPI reporting, which I’ll look at in my next post. Meanwhile, you can take a closer look at this and all the tech here.

With kind regards from

Duncan

This is one of a major series that reveals all the processes to use. But if you wish to jump ahead to see what’s coming, ask us here or to see what’s already been posted click here.

Duncan Collins founded Runagood® to make practical solutions affordable for owner managers via accountancy practices, profitably, by pioneering AI. He has automated the 000’s of consultancy techniques he learned the hard way during 60 years of running, helping, buying, selling businesses large and small. Ask him anything, anytime for free at duncan@runagood.com

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