ACCA publishes financial guide for entrepreneurs
The Association of Chartered Certified Accountants (ACCA) has published a financial guide for entrepreneurs.
The report, entitled Financial management and business success – a guide for entrepreneurs, has been launched to help entrepreneurs understand how financial management can help their business and offers advice on how to successfully grow a business.
The guide covers a wide range of areas, including cash flow, business planning, how to find the right type of finance, and finance control.
Start-ups are also provided with advice on the different stages of business planning, such as long-term goals and objectives, business strategy and tactics.
The guide comes after research from Turnaround Management Society showed that up to 36 per cent of business failures occur as a result of inadequate financial management.
The report also included a few facts and figures for start-ups, with research from OECD entitled The Dynamics of Employment Growth showing that 5 per cent of small start-up businesses grow to employ over ten people within three years, whilst 80 per cent of businesses employ fewer than ten people.
According to ACCA Head of SME Policy Rosana Mirkovic, having the right financial capabilities remains “vital throughout the life of a business, whether you are just starting out, have an established business or are looking towards a final exit from a firm.”
She stated that businesses are “changing and innovating more rapidly than ever” and that the financial management needs of businesses must continue to evolve alongside their developments.