Your accounting system is your navigation tool. If you know how to use it, it can tell you your financial position and show you which direction your business is heading towards.
Failure to prepare is preparing to fail
When I started fell walking (many years ago) I learned pretty quickly that I needed the ability to get around in dark or foggy conditions.
The first time I got caught out on my own was pretty scary. I was enjoying marvellous views from the summit of Blencathra (pic below) when a thick mist suddenly blew in from behind me, and the path I’d been intending to follow back down to my car suddenly disappeared from view.
It was as if someone had turned the lights out. I couldn’t see further than my nose, and the map I was carrying was useless without a compass. But I didn’t have a compass with me because I’d never learned how to use one. Never thought I’d need one because I only ever ventured out on the fells when the weather forecasts were good…
”What the f@*k am I going to do now?” I mumbled to myself, trying to ignore the knot of anxiety growing in my gut.
I knew it was unwise to start blundering about given that I was on boggy ground and standing just a few feet away from a steep cliff-edge. There was nothing for it but to stay put and try to keep warm as I waited for the mist to clear.
Mountain weather isn’t like lowland weather.
For a start, the air temperature drops by 1oC for every 100 meters of ascent. Wind speeds are normally much higher on the hill tops, and you can be shrouded in mist and fog even when the valleys below are being warmed by sunshine. Despite the warmest of clothing you soon feel the effects of wind chill when you stop moving.
Fortunately I didn’t have long to wait. The mist soon cleared and I got down off the fell having learned a valuable lesson. I invested in navigation and mountaineering skills courses, and I practised at night in all weathers until I was satisfied I could find my way around a mountain on my own in all but the severest conditions.
A tool is only as good as the person using it
As I said, your accounting system is your navigation tool. If you know how to use it, it can tell you your financial position and show you which direction your business is heading towards. It can help you make the financial decisions necessary to steer your business through stormy weather.
That’s why I recommend Sage Business Cloud Accounting and Payroll to my clients. It’s cost-effective and puts essential data at your finger tips. You get financial reports whenever you want them, and if you need my help interpreting them you need only ask.
Need a little help?
My Accounting Emails are for business owners who want a better understanding of their financial position. They’ll help you manage your cash flow and stay in the black.
Need more help?
Contact me today and we’ll talk about the help you need.
“As a small business it is important to always have financial clarity and often it is difficult to try and do this yourself. Paul has worked with us for several years and has streamlined and organised all of our accounting systems. He provides us with a complete accountancy service and is very professional in his approach as well as being a likeable guy.” - D. Walsh, Director. DualTEC Services Limited, Keighley. (Google review)
“Paul has done a great job putting my accounts on to Sage Business Cloud, and also got a discount for me. I like that the software is MTD compatible and I can access it from anywhere. Paul sorts out all my invoices, does my bookkeeping and produces reports every quarter (or whenever I need them). He is friendly, reliable and easy to work with - it's good to have him on board." - C. Milne, Proprietor. CAM Properties, Carnforth. (Google review)