Financial Reporting and its benefits for your software business.

Importance of Financial reporting for software businesses

Financial statements record everything that happened during a certain time period and enables owners to analyse the financial health of their organisation as well as the internal and external processes of the company. Let us look at how financial statements can be key to a company’s growth.

1. Budgeting and Forecasting

Understanding the past performance of a company helps owners understand what worked for them and what did not. Decisions on immediate and future investments can also be wisely made. The budgeting process allows owners to accurately forecast figures.

Financial Management Checklist For Your Software/IT Business

Financial Management Checklist For Your Software/IT Business

Process Checklist: The key processes you should keep an eye on as a small or medium software development/technology business owner.

1. Record keeping process

How will you maintain a list of transactions within your company? The process around record keeping is critical to ensure you do not miss out on any transactions that need to be recorded for taxation and audit purposes.

Do you have strong cash management capabilities?

Cash management capabilities

Do you have strong cash management capabilities?
In generic terms, cash management refers to the handling of cash that comes into and out of your business. It is also defined as the process of collecting, managing and monitoring cash for a business. Cash management is a key driver for any company’s stability.
For a technology or a software development services company, certain strategies, if implemented, could mean a stable financial eco-system and consequently less stress on the overall growth of the company.