Predictive Accounting Helps
Business Advisory Services Updates
Knowing the financial impact of decisions, before a client implements those decisions, is very important for financial stability.
The process commences with an examination of the key drivers relative to the physical number of units to be produced and the calculation of the direct costs that will be involved in that process. The calculation of estimated stock holdings can be made based on manufacturing/purchase estimates and the unit sales can be based on estimates from sales people.
If the client’s vision is that the business should expand or undertake a significant amount of research and development or acquire another business, all of this information can be entered into the Predictive Accounting Package so that Predicted Budgets, Cashflow Forecast and Predicted Balance Sheets can be produced.
A review can then be made to determine whether the client is happy with the overall result. Fine tuning can be processed to show the effect of various manipulations on the figures.
This is part of the process of offering Chief Financial Officer Services.
