SMEs Urgently Require Additional Services
Advisory Services News - Issue 40
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Welcome to this update on ESS BIZTOOLS ADVISORY SERVICES NEWS.
SMES URGENTLY REQUIRE ADDITIONAL SERVICES
The level of “Advisory Services” provided by accountants, as distinct from “Compliance Services” relating to taxation, is a significant point of differentiation between accounting firms.
In this very difficult business environment of high interest rates, high inflation, high levels of business failures, reduction in the share of GDP created by small businesses, and reduction in the share of the private sector workforce attributable to small businesses, the services provided by public accountants will have a significant bearing on the performance of SME businesses.
The level of advisory services provided by accountancy firms influences how accountancy firms are viewed by SMEs.
If a SME is being supplied services by an accounting firm that only relates to compliance, generally the service provided by the accounting firm is viewed as a “Government-Imposed Obligation”.
If advisory services as well as compliance services are being provided to the SME, there is a different reaction because the SME believes the accountant has shown an interest in matters that relate to the successful performance and sustainability of the SME’s business.
If the “52-Week Business Enhancement Service” is offered, including Business Plans, Predictive Accounting Reports (Budgets, Cash Flow Forecasts, Projected Balance Sheets), and Due Diligence Analysis to gain a 1-inch wide/1-mile deep understanding of the client’s business operations with daily, weekly, and monthly reports, the SME operator will welcome the accountant’s participation as part of their “scaling up” process, which will enhance the opportunity for the survival of the business.
The level of advisory services supplied by an accountancy firm also has a significant impact on the accounting team. If the firm is only offering compliance services, it appears that there is job dissatisfaction and probable staff shortages.
The “52-Week Business Enhancement System” offers the opportunity for the accounting team members to be involved in interesting and challenging work, which will contribute to those firms being able to retain their talent and attract new talent.
At the joint complimentary webinar being presented in conjunction with AccSource Pty Ltd – “Advisory Services Reflect How You See Accountancy” on Thursday, 29 August 2024, at 11.00am AEST, the level of advisory services being supplied by public accounting firms will be discussed. You can register for this complimentary webinar by //events.teams.microsoft.com/event/4597dcb1-4ae7-4762-865d-8a6684935211@cf0c14a1-7cd5-49c6-baf2-029c9b0902cf/registration">clicking here.
If you would like more information on the services provided by ESS BIZTOOLS, please visit our website at www.essbiztools.com.au
The “Olympic Special Discount Prices” on all ESS BIZTOOLS product packages are available until 16 September 2024.
