More Than Just Numbers: The Value of a Good Business Adviser

By Jaye Mankelow
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For many business owners, an accountant is seen as someone who handles tax returns and financial reports. But a skilled accountant can be so much more—a trustworthy adviser who understands the business's heartbeat and is vital in steering its direction. A good adviser brings insight, strategy, and support, helping businesses turn challenges into opportunities and guiding them toward growth. Here's how the right adviser can make a transformative impact.

The Story of ABC Manufacturing: A Business Transformation

Meet John and Jo Smith, owners of ABC Manufacturing, a family-owned business that had been steady for years but hadn't seen growth. Profits were flat, and their financials were solid yet uninspired. John and Jo knew they needed more than just bookkeeping—they needed a fresh perspective to help their business thrive. Enter their accountant, Matt, who they thought would primarily handle their end-of-year taxes. Matt, however, was more than a numbers person; he was a strategic business adviser ready to offer insight and direction.

Understanding the Business Beyond Financial Statements

From the start, Matt took time to understand ABC Manufacturing's operations, goals, and challenges. He listened carefully, learning about the company's production process, customer base, and goals for the future. Rather than focusing solely on the financial statements, he looked at the business holistically.

• Identifying Growth Potential: Through a close review, Matt noticed the company was underutilising a key asset—their equipment could support higher production levels if they could increase demand.
• Pinpointing Cash Flow Issues: By analysing cash flow patterns, Matt identified that while ABC Manufacturing had reliable income, its cash flow could be optimised to free up funds for reinvestment.

Example: Matt saw that by improving inventory turnover and negotiating better supplier terms, ABC could improve cash flow significantly, creating room for investment in new marketing efforts.

Creating a Roadmap for Strategic Growth

With a deep understanding of the business, Matt moved beyond numbers and created a strategy for ABC Manufacturing's growth. He helped John and Jo establish a realistic roadmap that included both immediate improvements and long-term goals.

• Benchmarking and Goal Setting: Matt used industry benchmarks to show where ABC Manufacturing could be performing better. Together, they set measurable targets for revenue, profit margins, and operational efficiency.
• Budgeting for Expansion: Matt advised John and Jo on how to create a budget that included funds for marketing, hiring, and new equipment purchases to drive growth. By forecasting the potential return on these investments, he helped them make confident decisions.

Tip: With Matt's guidance, John and Jo could see how short-term investments could lead to long-term rewards, making strategic planning an integral part of their daily operations.

Providing Support Through Challenges

Business is rarely smooth sailing, and for ABC Manufacturing, the unexpected happened—a supply chain disruption threatened their production schedule. Matt was there every step of the way, providing advice and support during this difficult time.

• Crisis Cash Flow Management: Matt quickly helped the business adjust their cash flow projections, shifting funds to cover essential expenses and minimise disruptions.
• Alternative Financing Options: Recognising the cash flow strain, Matt advised John and Jo on financing options that would allow them to bridge the gap until supply chains stabilised.

Example: Matt's proactive approach helped ABC Manufacturing keep operations going, avoid debt, and maintain customer relationships, turning what could have been a major setback into a minor hurdle.

Inspiring a New Vision

With Matt's guidance, ABC Manufacturing started to thrive. Matt helped John and Jo think differently about their business, encouraging them to see beyond day-to-day operations and embrace a bigger vision. They began exploring ways to increase efficiency and customer engagement, all while maintaining their commitment to quality.

• Technology and Process Improvements: Matt introduced them to industry tools that could streamline operations, from inventory management software to cost-saving production techniques.
• Regular Progress Reviews: Every quarter, Matt met with John and Jo to review progress, adjust strategies, and celebrate achievements. These reviews became pivotal in keeping the business on track and ensuring goals were met.

Tip: By setting regular review meetings, Matt created a system of accountability, helping ABC Manufacturing stay focused on growth and continuous improvement.

Matt's role in ABC Manufacturing's journey shows that a good accountant is much more than a bookkeeper. They are a business adviser, a strategist, and a trusted partner, able to guide owners through both growth and crisis. For John and Jo, Matt's guidance brought renewed vision and lasting impact, turning their business from a steady operation into a thriving enterprise with purpose and direction.

At Aspira, our advisers work closely with business owners, providing strategic insights and customised guidance to drive success. If you're ready to see how a true business adviser can support your goals, reach out to our team to start building your roadmap for growth.

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