As a small to medium business, wrapping up your end of the financial year 2016 can seem daunting and time-consuming. If you struggle with any of the following tasks at the end of financial year (EOFY), you’re not alone:
- Efficiently and accurately conducting a stock take;
- Trusting that your sales and margin figures are correct;
- Identifying bad debts;
- Identifying dead or slow moving stock;
- Making EOFY adjustments; and
- Keeping your accounting system open until you have all the EOY figures, even though your sales department want to start trading for July.
However, these tasks are not ones you can afford to get wrong. Here’s why:
What happens when businesses get these important tasks wrong?
When businesses don’t accurately and efficiently close out their financial year, they run the risk of reporting inflated numbers. What does this mean? Well, if a business is reporting higher financial figures than their actuals, they are likely:
- Budgeting, forecasting, and planning is based on a false pretence;
- Digging into more and more debt by continuing to sell to customer’s who don’t pay on time or carrying stock that should be written off or On Sale to free up cash;
- Paying tax on inflated stock figures;
- Reporting and tracking current orders / financial figures manually, while rushing to finish off adjustments to the ledgers of the end of financial year 2016; and
- Spending more time than is necessary, tying up expensive resources on mundane tasks – such as conducting stock take manually, instead of better utilising their skills elsewhere.
So, how do you wrap up your end of financial year 2016, completing each of the above tasks efficiently and accurately?
- Implement a mobile barcode scanning system, this will increase efficiencies during your stocktake with details automatically entering the system and accuracy.
- Analyse your data easily on multiple platforms and at a high speed.
- Have real time financial visibility of your business, including your debtors.
- Improve stock accuracy and visibility.
- Implement a new system where you are able to run ledgers in different periods, so that you can still make adjustments to your end of financial year 2016 ledger after it has closed out, while beginning to enter stock and sales data for the new financial year.
Micronet is a powerful platform for your business that will enable you to revolutionise the way you close out your end of financial year 2016. With Micronet you can:
- Conduct Mobile Stocktaking – an efficient and accurate process for managing stocktakes, while integrating barcoding – which provide a great improvement in speed while reducing the amount of errors in the identification of items.
- Analyse your data at a high speed with Micronet’s Business Intelligence (BI) solutions – data analysis and reporting tool set specifically designed to complement and integrate with your Micronet system using Micronet’s ODBC interface engine.
- Achieve total real time visibility of your customer accounts and efficient debtor control with Micronet’s Debtor Ledger.
- Handle inventory more accurately, reduce operational costs, improve decision making and gain real time visibility into inventory management with Micronet’s Warehouse management systems.
- Roll over Micronet’s General Ledger and Creditors Ledger, while running the previous ledger, allowing you to continue editing data from last financial year, while staying on top of current data.
So, how are you going to wrap up your end of financial year 2016? Learn how Micronet can help you leverage the latest technology to make your end of financial year 2016 as simple and efficient as possible, by calling my colleague, Yvette on 02 9542 2000.
Stuart Duncan is a Senior Sales Consultant at Micronet Systems, and is focused on helping business leaders overcome inefficient processes regarding: sales, inventory and accounting systems by leveraging cutting edge technology. If you want to gain better control of your key processes, then leverage Stuart’s 35 years of experience to help you drive a real change in your business.