Preparation of management accounts is not a legal requirement, but it is hard to run a business effectively without it. Management accounts are aimed at internal users, such as the company’s management or board of directors. Their purpose is to provide information which will help to control the company’s operations and make decisions.
Management accounts are aimed at helping you to plan your business and make decisions about key areas such as sales, margins and stock. They can highlight variations in your income or spending which may require attention. Different businesses will have different management accounting needs, depending on the business areas that are important to them.
At Aspen Accountancy we can help you keep an eye on your performance indicators and point out any variances that should be investigated further.