How Could Financial Fluency Help You Better Understand the Foundation Your Business is Built upon
December 2, 2019
Our goal is to help grow our clients into financially fluent business owners. Developing this fluency allows for a better understanding of your company's numbers and what those numbers are doing for you.
It’s like traveling to a new city. You have the option of discovering it through a tour guide, or getting off the bus and going sightseeing for yourself. For a business, this is the difference between seeing it through someone else’s eyes and seeing it through your own.
Essentially, they break through the barrier of what feels like a foreign language, or as we jokingly call it, “accountingese.” This is an important step in the life of your business, as it helps clients see how they are able to affect those numbers.
If you think of all the numbers going in and out of a business as the mud of a business piled in front of you, it’s easy to see how jumbled, messy and confusing it can be to interpret how that mud is important and how you can take that mud and adapt it into something that works for you.
However, every ounce of this metaphorical mud can be turned into a brick and layered just right to create a better foundation to walk on, and every business owner finding themselves staring the mud in the face already have all the tools they need to start making bricks. Each brick is important to the integrity of the business structure and each brick laid affects how the structure stands.
To better understand the health of your “mud brick building,” it all comes back to financial fluency, or how the bricks are organized and layered. Our goal at Cunningham, Powell, Alexander, A.C. is to help you understand these “bricks” so you can identify which ones still need some work, and organize them so they help you build a stronger business.
Now, think of viewing your company from a dollhouse perspective. It’s one thing to see it from the outside and know how each brick holds it together, but another entirely to see how the inner workings and activities going on inside keep those bricks from tumbling down. What you and your staff are doing has a direct impact, and it is possible to understand what activities influence your company positively in the long run and what activities are the weak bricks that need reinforced or removed and replaced with something more beneficial.
Over the next few months, we will break down aspects of financial fluency for you brick-by-brick, to help you get a better understanding of your business numbers, not only what they are, but what they mean and how they nestle onto the foundation of your business.
Educating you on this aspect of business is one of many services we can offer. If you’re interested in learning more about what we can do for you, reach out to us today. Call our Morgantown office at 304-292-9469 or our Weston office at 304-997-8377.