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Pitfalls to Profit – Three tips for incomplete records clients

18th Sep 2014
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The challenges - 
For years, accountants and bookkeepers have been offering a service which takes a massive burden off the hands of their clients. Once those books and records are delivered to the accountant’s office, it’s job done . . .at least from the client’s perspective!!
It’s clear, clients have it easy and that’s the way it should be. However, this burden has not gone away. It is instead landed firmly on the shoulders of the accounting
firms. Once it is ensured that all the source documents have been received we can start to process the job internally. From that point on, it is all about efficiency and there are several challenges which need to be overcome to achieve this and retain profit from these jobs:
  • Physical Bank Statements - Manual data transfer from statements to Microsoft Excel or accounting software is slow and cumbersome
  • Clerical Errors - Discrepancies on the bank reconciliation can be difficult to identify due to the volume of data input required and the human error factor
  • Tight Budgets - The fees recoverable from these clients are often outweighed by the chargeable time to completion of the jobs, resulting in writing off time from the budget hours allocated
These challenges have not changed in over 20 years . . . but now there’s a solution!!
Accounting firms don’t need to move away from servicing these clients. In fact, with the right processes, they can form the core client base of a successful and profitable practice. Increasing the speed involved in these types of jobs is an important part of an overall strategy to improve a company’s profit, speed and reliability.
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