Business Establishment: Accounting Needs and Advice Report

This report provides comprehensive advice on establishing a new business, emphasizing the crucial role of accounting and financial management. It details the importance of market analysis, financial data collection, and the preparation of financial statements. The report highlights how an accountant can assist with supply and order decisions, bill payments, and the resolution of financial discrepancies. It stresses the need for sound accounting structures, control procedures, and adherence to financial deadlines. The report also covers the significance of management accounting, government regulations, budgeting, and investment strategies. It underscores the need for efficient financial planning and the ability to attract investors. The author emphasizes the importance of high-level planning, strategic decision-making, and the overall financial health of the business. Finally, the report advises on the timely integration of accounting systems and the benefits of hiring a skilled accountant to ensure the long-term success of the business, even within a specific niche such as men's fashion wear.

Address
Date–
Name-
Dear Mr. Smith,
I am glad to appreciate the opportunity to advise you regarding the idea of your new
business.In order to ensure better understanding between us I would like to give a brief idea
about the areas that you need to keep in mind while giving soul to your idea. Advising on
functions of business you may need basic idea about various issues such as revenue and
expenditure trends in desired sector, financial commitments and future revenue expectations.
As everyone knows that the primary motive behind establishing any business is to gain profit
so in order to achieve the motive you need to keep in mind following points.
Among the important points the important one is having good idea market and for this you
need analysis. As an accountant have experience about the performance of analysis using
financial data that can be used to make viable business decisions. Decisions regarding
supply and order , bill payments and many other intricate financial details can be taken with
the help of accountant.He can help you resolve or minimise certain discrepancies and various
irregularities that have potential to arise.You will need help about decisions regarding
development of efficient resources and strategic suggestions for certain financial issues.
As an accountant I can suggest you that a sound accounting structure is among the basics of
business establishments.You need to collect and analyse financial data of your establishment
that is related to your company. Maintenance of financial accounts in accordance with the
legislation’s with respect to corporate level is the primary objective of any accountant..
Establishing andmonitoring of control procedures with respect to financial data collection and
its analysis is also the mandatory steps in any business establishment.
An accountant has the basic duty of performing functions related to accuracy, collections,
analysis, recording and presentation of a business or organisation’s financial operations.
Collections of financial data for a business is the primary function of an accountant .
Depending on the level of investment, firms require financial advisor who can suggest market
understanding and help in achieving goals set for business.
A business need to prepare financial statements that usually consist of monthly and annual
accounts based upon financial data compiled. Preparation of financial management report
includes quarterly or annual documents. These reports help the owner to have idea about the
budgetary support and forecast activities.

It is also important to ensure that all financial deadlines are met within stipulated time,
internally and externally. Various tax calculations and other periodic payments related
deadlines must met within time. There will be need of an accountant in order to monitor and
support taxation related issue with accountability regarding its filing. Financial data
preparation also plays a crucial role while facing audit by authorities as commercial
functions require close surveillance in order to avoid any kind of discrepancies.
Industry , public management , internal auditing and official accounting are the basic arenas
to cover while establishment of any business .Large scale business and corporates use
management accountants to record and analyse financial statements of the business .
Adequate accounting is vital to a business as good sales . It’s role is to provide financial
information about company to the owner or other financial stakeholders .These informations
include data of sales revenue , the cost of benefits and the amount owed to suppliers.All these
informations from accountants are mandatory without which no one can good financial
decision regarding his business. Some other issues worth mention m be given as-
Management– You may feel good when you sell a lot of merchandise but its is also possible
that your accounts have storied different from your visible sale. For this information about
company performance there is need of management accounting. It is possible that all your
sale occurred in credit which can bound your hand from spending money. To overcome this
the need of management accounting is in place that gives you information about when to burn
money or when to keep control on spending . Also high cost of sale reduces profit that need
advice to create a viable balance between cost of sale and production.
Government- As government rely on taxes as a major share of their revenue so taxes are part
of business establishments. You may need to pay social security , business income tax,
various duties employees pay check and possibly some other tax bills while operating
business. If you calculate wrong amount then you may land up giving penalties and other
fines .Advise if an accountant will be beneficial as he will suggestyouaboutvarious
formalities, amountto pay to government officials and various forms to fill up while dealing
with all these affairs. Sometimesthere is need to provide some financial data to government
authorities that can be new to you soyou may need to consult an accountant.
Budgeting-Organising budget for your company is one ofthe most crucial job performed by
accounting department .It is usual task for accountingdepartment to maintain budget for the
functioning of various business entities.It will be in the benefit of the company to have a
centralised body that decide steps to be taken regarding various issues in unbiased manner
keeping the interest of company as a priority in his mind.-

Controls- The more you grow the more you will unable to track money . It makes easier to
for unethical employee to cheat on you when he has access to accounts.There will be need to
spot possible wrong deeds happening around your establishment. An accountant has expertise
in recognisingany kind of suspicious patterns of transaction from the account or pay-checks
to non existent employees . It can also help you draw or establish policies that can help in
preventing any opportunity to fraud.Also this problem can be solved at the initial stage of
hiring bu having a strict measures while recruitment. A good accounting system involves
making your hiring process much easier that will be crucial for your business while in the
period of rapid growth. You may need to assure that you can go in accordance with the influx
of employees and for this use of a expert accountant can be beneficial for the future of your
company.
Investment- Investors want profit. Nobody will trust on you and put money in your company
to make it go waste. You will not get any investment if there is a single possiblity to loose
money.Everyone want their money return with adequate amount of returns that May act as
motivation while investing in your company again. You ways want to handle your investors
with someone who have expertise in this field and who actually understands how to balance
between the needs of company and its investors .There are many subtle details about how to
maintain good relationship with investors and it must kept in mind while dealing with
investors that small mistake can cost you a lot.. An efficient accountant can turn the facts and
figures into cash flow statemtent in balance sheet which attract anyone to guess about the
financial condition of your comapnay and consequently can help to get more investment to
your establishment .Good financial condition and strict financial decision can benefit your
establishment to a large extent. So just try to ensure yourself that you are protected from the
possible negativities.
High level planing–Better accounting mechanism can help to play a major role in planning
and strategic decisions you commit while operating your business.There are various tasks that
accounting measures can help to complete . It will affect your decision making even better.
You will need information regarding accounting situations of your firm. Also you need to
ensure that you are working with the future of firm keeping in mind and not missing out any
good opportunity to score extras for your business. Adequate overview of thefinancial
situation of the company can help youplanning a successful growth for your company.

There are plenty of factors you need to keep in mind but abovementioned are the majorities
that you must keep in mind while setting up your business and thinking about the accounting
requirements. Just make sure to take care of these points right as early as possible. It will be
difficult to integrate adequate accounting system in your business as it started to grow once. It
can make your suffer and face trouble if you don’t have panned about accounting measure for
fulfilling the future predictions of your company
These are the several ways that an accountant like me can help you in establishing your
business in general . If I ever talk about your specific topic of men’s fashion wear then above
mentioned suggestions will be equally relevant and useful. One of the most important
decision you have to take is hiring of an accountant that can help you in above mentioned
situations at a time when the utility of accountant will be maximum for you and your business
establishment .
Please let me know if you want to discuss above mentioned issues further .It will be my
pleasure to assist you in establishment of your business .
Best regards,
Name
(Staff accountant)