Business succession planning involves planning for the smooth continuation and success of a business which depends greatly on the availability of competent people. Without succession planning, a business that has become successful can just as easily fail. The business grows because there is a leader with experience, drive and ability. Without the proper succession planning, the future success of the business is left to chance once that leader is gone. Without proper planning, the clashes of views and agendas can pull the business in several directions.
With so much at stake, business succession planning has to be a priority and should be part of every business planning. There are two main options available to business succession planning, which are:
1. Retention planning: retention of the business within the family.
2. Buy-sell planning: Selling of the establishment to other business owners or key employees or interested outsiders.
Cash Flow Planning
One of the most difficult concepts for small business owners to grasp is the difference between cash flow and profit. During periods of rapid expansion, small businesses often lurch from large cash balances to cash shortfalls and bank overdrafts. Cash flow is the most critical concept in financial management. We can help Business owners understand and enhance their total cash flow. We help clients:
- Understand the nature and source of Cash Flow
- Develop Cash Flow Forecasts
- Understand Bank Financing
- Understand the Role of Working Capital in Cash Flow Management
- Implement Cash Flow Enhancing Policies
- Understand the Role of Capital Expenditures in Cash Flow Management
Strategic Business Planning
When you start or expand a business, more than your money and time are at stake; you risk your dreams as well. A good business plan helps you realize your dreams. Whether your business is large or small, a startup or long established, developing a business pan enables you to:
- Make the crucial business decisions that focus actions and maximize your resources
- Understand the financial aspects including cash flow and break-even requirements.
- Anticipate and avoid obstacles your business is likely to encounter.
- Set specific goals and measurements to assess progress over time.
- Expand in new and increasingly profitable directions.
Client Instructions for Accounts Payable Process
1. Review AP invoices for accuracy and initial
2. Send KAPA approved copy of invoice by fax, email, mail.
3. Your Staff Accountant enters the invoices and sends client an Accounts Payable report.
4. Client reviews the report.
5. Invoices to be paid checked off or highlighted or circled on report.
6. Client signs the report and faxes back to KAPA.
7. Your staff accountant calls with any questions.
8. Staff Accountant issues checks and mails to the vendors.
Client Instructions for Accounts Receivable Process
1. Your customer invoices are sent to KAPA.
2. Staff accountant enters voices, prints them, and mails invoices to client customers.
3. Staff accountant communicates to client invoice process complete.