{"id":11758,"date":"2024-05-31T14:57:16","date_gmt":"2024-05-31T04:57:16","guid":{"rendered":"https:\/\/smithink.com\/?p=11758"},"modified":"2024-05-31T14:58:34","modified_gmt":"2024-05-31T04:58:34","slug":"unlock-your-accounting-superpowers","status":"publish","type":"post","link":"https:\/\/smithink.com\/2024\/05\/31\/unlock-your-accounting-superpowers\/","title":{"rendered":"Unlock Your Accounting Superpowers"},"content":{"rendered":"\n
Australia has been in a per capita recession for several months. Some businesses are thriving, while others, particularly those dependent on discretionary spending, are struggling. As accountants, your skills are critical in both scenarios.<\/p>\n\n\n\n
Your client\u2019s gross and net margins are holding or increasing, but they have only 1.3 months of cash runway. Ideally, this should be between 3 and 6 months. Digging deeper, you find average debtor days at 39, cash conversion at 70 days, and creditors paid within 10 days. Despite profitability, cash is leaking.<\/p>\n\n\n\n Noticing this, you decide to dig a little deeper. The average debtor days are 39, cash conversion is 70 days, and creditors are paid within ten days. Despite profitability, the business is leaking cash. What can be done?<\/p>\n\n\n\n You create a 12-month forecast, reducing debtor days from 39 to 18 and extending creditor days to 30. This frees up $30k in cash for the business through a simple process change, adding real value.<\/p>\n\n\n\n First, assess debtor, creditor, and inventory to generate cash quickly. Analysing data, you find gross margins steady but net margins falling due to increasing wages. Overemployment is confirmed through revenue per employee analysis. Your insights and forecasts are crucial for your client\u2019s business health.<\/p>\n\n\n\n Every entrepreneur needs your analytical and advisory skills. Here\u2019s what might be stopping you:<\/p>\n\n\n\n 1: Lack of Skills\/Structure<\/strong> 2: Cumbersome Technology<\/strong> 3: Confidence<\/strong> 4: Service Levels and Pricing<\/strong> SMEs need your business advice services, and you can build a strong monthly recurring revenue stream.<\/p>\n\n\n\n If you would like to find out more about Jazoodle<\/a> and how it can help your accounting firm find its superpowers, get in touch. Andrew Paton-Smith is the co-founder and CEO of Jazoodle. Jazoodle is an easy to use reporting, forecasting, and valuation platform for accountants and advisors. Jazoodle enhances your advisory superpowers and allows you to scale them across your client base. Find out more at www.jazoodle.com<\/a><\/p>\n<\/blockquote>\n","protected":false},"excerpt":{"rendered":" Australia has been in a per capita recession for several months. Some businesses are thriving, while others, particularly those dependent on discretionary spending, are struggling. As accountants, your skills are critical in both scenarios. The Power of 1% Scenario 1 \u2013 Your client\u2019s crushing it Your client\u2019s gross and net margins are holding or increasing,…<\/p>\n","protected":false},"author":460,"featured_media":11763,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[23,41,48],"yoast_head":"\n<\/figure>\n\n\n\n
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Scenario 2 \u2013 Your client is struggling<\/h2>\n\n\n\n
Enhance Your Client Services<\/h2>\n\n\n\n
Smithink<\/em> can provide a blueprint for your business.<\/p>\n\n\n\n
Use platforms that are user-friendly and scalable, like Jazoodle.<\/p>\n\n\n\n
Start with key metrics and expand over time.<\/p>\n\n\n\n
Smithink<\/em> can help define and price your services appropriately.<\/p>\n\n\n\n
Andrew<\/p>\n\n\n\n\n