Jul 19, 2022

4 Financial Reporting Mistakes OSMEAC Solutions Helps You Avoid

Financial Reporting Mistakes

Financial reporting is essential in several areas of business operations. From helping leadership make million-dollar decisions to getting through tax season without an audit, accurate financial reporting is the backbone of your business’s bottom line.

It’s safe to say that accurate reporting from a financial professional is necessary in an area where there isn’t room for error. However, if your leadership doesn’t have accounting professionals on its staff, error is bound to happen.

At OSMEAC Solutions, we help businesses fulfill interim financial roles through our fractional accounting services. Find out how we can help you avoid these common mistakes that could cost your business in the long run.

Filing Single-Column Reports

Comparative data is necessary to gain accurate readings from a financial report. An inexperienced accountant could easily pull up a single-column report as a financial overview.

Yet without additional columns like budgeted amounts or prior year’s statements, it’s difficult to understand just exactly where a business’s finances stand. An experienced accountant can help your business pull up all necessary data that paints the real picture of your business’s finances.

Even if the full report isn’t as flattering as a single-column snapshot, your leadership can have a better idea of where it needs to improve.

Estimated Adjustments

Cash flow is vital to a business’s long-term and short-term development. While most self-made accountants will remember to add larger shifts in cash flow to a report, smaller, one-time transactions often get reported inaccurately.

We see lots of companies round off smaller or one-time items in order to make their statements read cleaner. However, all this really does is create an estimate of a financial forecast and not the actual adjustments.

A professional accountant can help you avoid future corrections and wasted time by tracking down your actual adjustments and giving your future statements the blueprint it needs to accurately portray your business’s finances.

Recurring Accounting Errors

Accounting errors can happen, and while you may adjust your numbers in the moment, without an expert, it can be difficult to prevent the same accounting error from happening again.

OSMEAC Solutions can help you adjust any accounting procedure weaknesses and give your team the necessary processes for success. Let our interim bookkeeping services help you prevent future discrepancies that could tarnish your brand’s reputation.

Missing Critical Reporting Windows

Your business should file financial statements every quarter. In fact, for publicly traded companies, it’s a requirement.

Even if you are a private company, sticking to this filing window keeps your numbers accurate and prevents outliers that lead to confusing financial statements in the distant future.

Failing to stick to a quarterly filing schedule can not only get your business in trouble with the law but can also culminate in devastating business decisions, economic loss, and the failure of your business.

Having a contract accountant on-hand to assist with your quarterly financial statement filings can ensure that all of your reporting remains accurate and keeps your business in compliance with any regulations hanging over its head.

Correct Your Financial Reporting Mistakes With OSMEAC Solutions

If your business is falling behind on its finances due to inaccurate reporting, let the experts at OSMEAC Solutions help. Our fractional accounting services have helped businesses across the nation balance their books, fulfill interim CFO positions, or simply get their taxes in order.

No matter your accounting needs, OSMEAC Solutions is ready to step into the ring.

Contact us today to learn more about our contract accounting solutions.