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Finance systems in a mess, what do you do?
Financial accounting review

It is interesting to see how complex systems within a business can get and when you start making adjustments and journals or applying add-ons this just adds to the complexity.

You start with a system and this works well in the beginning.

Then without proper training the staff start using the system in weird and wonderful ways. Creating multiple stock items, capturing duplicate entries, not posting invoices, posting to the wrong accounts, allocating creditors to debtors, debtors to creditors. Assets as expenses and on and on.

Then when it comes to year-end and the accounts have to be reconciled for the year-end there is manic and pandemonium. Adjustment on adjustment to try and reconcile, just compounding the mess.

Does any of this sound familiar?

If it does do not worry as this is very much more common than you would think and happens to 1 out of every 3 businesses.

If this is allowed to continue for too long then the amount of work required to fix it is immense.

At the outset having proper system descriptions and training, as well as set policies and procedures is fundamental. These need to be know by all and applied, with full accountability if not applied.

If the problem has already arisen then fix it fast and do this properly. A full clean-up or sometimes a totally new system and start is best and then implement firm procedures and train, train train. Make sure staff know their role and know the system backwards. This involves some correction and review on a continuous basis to make sure that the correct action is being taken.

We can help with implementation, flowcharting and documenting of policies and procedures as well as audits and reviews of existing systems to help your business or organisation do well and have finances rocking.

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