Cash is the lifeblood of a business that enables you not just to keep the business alive, but prosper. It is the key indicator of the well-being of your business. Thereby, you must take some measures to keep your cash flow healthy and stress-free. Nevertheless, the task of keeping your cash flow in a positive way can be as challenging as attracting and retaining loyal customers and increasing productivity. The good new is, accounting firms in Singapore are helping the businesses to manage cash flow in a perfect manner.
The experts of a third-party accounting firm in Singapore help the businesses avoid serious problems related to finance. While the bookkeepers manage the day-to-day financial transactions report, accountants have expertise in accounting assessment and forecast.
“What is Cash Flow?” & “How to Manage Your Cash Flow Better?”
Apparently, the net amount of money that comes into and goes out of a business is termed as cash flow. It can be determined by keeping a regular track record of accounts payable and accounts receivable of a business that is following the accrual basis of accounting. If the amount of accounts receivable is greater than accounts payable, the business is considered cash flow positive and vice versa.
Apparently, the net amount of money that comes into and goes out of a business is termed as cash flow. It can be determined by keeping a regular track record of accounts payable and accounts receivable of a business that is following the accrual basis of accounting. If the amount of accounts receivable is greater than accounts payable, the business is considered cash flow positive and vice versa.
A positive cash flow is a sign of the good financial health of business. It signifies that productivity is increasing, capital is growing and the business is competent to weather future financial challenges.
Luckily, there are several ways a business can do to ensure positive cash flow. Firstly, make sure to keep a track record of accounts payable and accounts receivable promptly. Secondly, you can leverage the latest accounting software to get excellent results. Plus, you must determine the break-even point of your business in order to focus on cash flow management. Additionally, keeping some cash in reserve to combat unforeseeable challenges is highly recommended.
When you are operating a business in Singapore, compliance plays a crucial role in every aspect of business. So accounting is no exception. Make sure to adhere to the laws of the authorities while taking care of your cash flow.
How Accounting Firms in Singapore Ensure Healthy and Positive Cash Flow?
More than often, the Singapore accounting firms boast of the team of certified accountants and qualified bookkeepers who have years of hands-on experience in counting numbers. The experts are well aware of the GAAP, Singapore accounting standards and statutory obligations of ACRA (Accounting & Corporate Regulatory Authority). ACRA is governing authority that oversees the compliance matters vis a vis Singapore accounting.
When you entrust a good accounting firm to handle the financial aspect of your business, the team ensures to keep your woes at bay by delivering compliant-friendly and effective accounting services. A dedicated accountant will be assigned to look after your financial matters when you hire an accounting firm in Singapore. The Accountant will handle end-to-end activities including monthly accounting, GST registration, quarterly bookkeeping services, preparation of compilation report and Director’s report.
Last but not the least, the two key elements of assessing cash flow viz. accounts payable and accounts receivable are being handled by the professionals of these firms in a seamless manner.
Credits for Article source:
Accounting and Corporate Regulatory Authority (ACRA)
BizFile+
SBS Group Singapore
Accounting and Corporate Regulatory Authority (ACRA)
BizFile+
SBS Group Singapore
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