POWER OF NUMBERS IN “BUSINESS”

MINDSENT OF SME BUSINESS OWNERS GENERALLY TOWARDS NUMBERS:

I regularly visit to SME Business Owners, who are having a Turnover in the Range of 1 Cr. To 20 Cr. What we observed hardly a few Business Owners are serious towards Regular check of their Business Numbers Say Financial Statements (Profit & Loss Accounts & Balance Sheet)

• Few business owners check their Financial Statements once in a Month.
• Few of them check it, once in a Quarter.
• Few of them check it, once in every six month.
• Majority of them check it, once in a Year, when they are required to sign the Audit Report.
• What we observed that they hardly able to achieve extraordinary success in their Business.
• We also come into contact of Business owners who review their Financial Statements on daily basis (as it takes a few minutes), are very successful in their Business.

We also observed, that SME Business Owners generally believe that checking /reviewing/understanding of Financial Statement is the Accountability of the Accountant or Auditor (Chartered Accountant), but the reality is different.

As Tracking Business Performance Numbers is one of the Very crucial Activities of any Business, which must be performed by the Business Owner himself/herself regularly at any pre - defined intervals say Weekly, Monthly etc.

As whatever get measured, gets improved.