Accounting is crucial to the success of any business. Without an effective accounting system in place the revenue, profitability and regulatory compliance of a business would be be stunted. Equally so, the team that leads your accounting division is key to its growth as these are the people that ensure the financial resources of your business is strategically managed in a manner that supports the wholistic goals of your business.
Accounting leaders delve deeply into the numbers within your business to encourage informed decision-making, while working to identify challenges that may hamper business growth and processes. We take a look at some of the reasons it is important to build winning accounting leadership for your business.
1. Accounting leaders develop winning financial strategies
Your accounting lead or CFO is responsible for developing financial plans that not only support your business mission, but that encourages stability and long-term growth. They delve into financial records to ensure your business tracks according to its goals, and enable you to make data-driven decisions that drive financial goals.
2. Finance managers manage risk
Your accounting management team has oversight of your financial portfolio. They track operational finances to make ensure that you are equipped to navigate financial crises within your business or industry. An accounting leader is able to mitigate risks by interpreting financial data swiftly and accurately. Your CFO has a keen eye for detail and stays abreast of industry trends to implement risk identification and risk reduction strategies.
Having a CFO or financial lead on staff during the Silicon Valley Bank crisis would for example aid a business affected by the bank’s looming insolvency to implement cash flow forecasting as well as develop a strategy to navigate the crisis effectively. Your accounting leadership would study trends, look into business numbers and advise on damage control measures and risks that your business could safely take despite looming danger. These calls would all be data-driven recommendations that would be regularly monitored and adapted as the SVB banking crisis unfolds. Your head of finance would also typically consult investors, apply for FDIC payouts, and monitor relief benefits offered by different institutions as they become available.
3. Finance leads ensure regulatory compliance
The head of finance works to ensure that your business meets state and federal tax regulations when maintaining financial records for tax filing purposes. This will help to ensure that your business does not run into issues with the IRS that could result in tax fines and penalties. But, more importantly, their finance skills and regulatory knowledge helps to save you money on taxes and take advantage of available tax credits. Businesses that operate in more than one state, or who make use of a global workforce would benefit from having a CPA that stays abreast tax laws to avoid multiple state taxation.
Maximize Your Business with NetSuite Accounting Software
Utilizing NetSuite in combination with the expertise of an experienced accounting leader can help your business to manage errors that often cause chaos in accounting records and aid your team in predicting and navigating financial crises.
NetSuite is an ERP accounting software designed to help your accounting team operate more efficiently as the software automates core accounting functions and processes to feed your controller real-time insights into the financial position of your business. Not only does the software offer sophisticated business management solutions that automate finance functions, but it also aids your accounting team to pull bespoke data at the click of a button. The software is jam-packed with functionality that your business can leverage for exponential growth, but oftentimes the average staffer won’t understand all the functionality of the software. Many businesses that invest in NetSuite are not getting full use of the software as they aren’t fully equipped to unlock all of its functions. A NetSuite-trained CFO can use the software to help avoid a mess in your accounting and to steer your business to its greatest efficiency and growth by using the software to its full potential.
If you do not have an accounting team or require the skills of someone with NetSuite-specific accounting expertise, then outsourcing the accounting lead role to a controller could be beneficial for your business. Not only would you gain access to their specialized skills at a fraction of what it would cost, but you would be ensuring accounting compliance while investing in an agile growth strategy for your business.
At Fusion CPA, we offer a host of outsourced accounting services. Whether it be accounting, bookkeeping, or controller services you need, we can help you decide which accounting roles and functions your business needs most. You can also outsource a combination of these functions to our accounting experts, who have years of experience and expertise across different industries.
Our NetSuite Outsourced Controllers are skilled at software integration and can offer your business the peace of mind it needs to run its accounting accurately and independently.
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This blog article is not intended to be the rendering of legal, accounting, tax advice or other professional services. Articles are based on current or proposed tax rules at the time they are written and older posts are not updated for tax rule changes. We expressly disclaim all liability in regard to actions taken or not taken based on the contents of this blog as well as the use or interpretation of this information. Information provided on this website is not all-inclusive and such information should not be relied upon as being all-inclusive.
