Member Article

Know your numbers in 2013

Businesses in the North East and Yorkshire can help to mitigate the danger of insolvency in 2013, according to chartered accountants and business advisors Waltons Clark Whitehill.

Recent data showed a combined 305 business failures in the North East and Yorkshire in 2012, up 9% from 280 in 2011. All other regions saw a drop in businesses entering administration, with England as a whole seeing 1,833 failures in 2012, compared with 2,009 in 2011.

However, some simple and easy steps are available for businesses to keep on top of their finances, with “knowing your numbers” the key to keeping afloat, says Heather O’Driscoll, Managing Partner at the Hartlepool firm.

She said: “Most business owners understandably want to be out there bringing in work and getting on with what they set up their companies to do, but it is vital that they keep on top of their finances.

“Knowing your numbers is the key to success in this area, along with keeping accounts up to date and reducing cash flow difficulties through invoicing punctually and properly and collecting debts.”

Heather continued: “Many businesses are now outsourcing their entire accounts functions to firms such as Waltons Clark Whitehill, which allows them to concentrate on their own areas of specialism, and it gives peace of mind that people who are experts in this field have a watchful eye on the figures.

“The other important things business owners need to make sure they do is to keep their banks aware of their financial position and to ensure payments to HMRC are up to date.”

In 2012, Waltons Clark Whitehill, which is based on Hartlepool’s Marina, launched a new department to handle the growing trend for small and medium enterprises (SMEs) to outsource all financial management. The team supports clients’ ongoing business development as well as catering for those which wish to delegate activity such as payroll management and debt chasing to external experts.

This was posted in Bdaily's Members' News section by George Hardey .