There are plenty of benefits that can be obtained from undertaking a Spotlight report if you are business owner who is wanting to know more information about the financial reporting, financial forecasting and KPI tracking elements of your business.

Tyler Bisgrove from Vault Business Advisors describes Spotlight reporting as an “analytical tool that creates so much more enrichment to your standard reporting, it can report on financial and non-financial data, it can display figures in info graphics as well as standard reporting making the numbers and the metrics far more meaningful,” says Tyler Bisgrove

Spotlight Reporting can be hugely beneficial as it can “It can provide historical reports as well as cashflow and 3-way reporting. It’s a very powerful tool. It’s a great tool for anyone that needs insight and in-depth information into the health and wellbeing of their business,” says Tyler Bisgrove.

There are plenty of products available for users via Spotlight Reporting software. “Cashflow Forecasting and Scenario /What If analysis is two of my favourite features available on Spotlight Reporting,” says Tyler Bisgrove.

These features such as cashflow scenario can be applied to help users think about what would be the financial consequence if they decided to for example take on more staff or if they increased their sales price by 15 percent or in a situation where they purchase a machinery over a 5-year loan period.

Tyler Bisgrove asserts that it is crucial for business owners to have a good understanding of how their business is operating financially and there are plenty of problems that will most likely arise in a business that fails to understand how their business is operating on a financial basis.

“You can’t manage what you can’t measure. Knowing your numbers is imperative to being able to know and understand your business. It’s important to know what’s working and to also know what’s going well, as well as what needs to be addressed and what aspects of the business need to be managed differently,” says Tyler Bisgrove.

One of the most common reasons why a business is fails is having poor cash flow management. Ultimately a business cannot survive if it doesn’t have any money coming into its revenue stream.

How much money a business has flowing in will significantly determine how much longevity a business has and whether it can continue to survive.

A cash flow forecast has the potential to play a big role in assisting a business that it is preparing for its future. A high-quality cash flow forecast model that is well put together will help predict a business’s future financial position. This will also ensure that the business will have the necessary amount of cash to meet future obligations and better manage working capital.

Spotlight Reporting can play a big role in helping a business owner understand the cashflow forecasting process of their business and reduce the difficulties associated with cash flow management.

Cashflow modelling is helpful as it makes it easier for a business to prepare for the future and get ready for any possible market fluctuations and also prepare for an economic recession. 

“The benefits of undertaking a cashflow forecast are huge and multiple. Planning for “rainy days” strategizing the cost of growing your business or just having a clear understanding of how the money moves through your business will help you make some really fundamental and big picture business decisions,” says Tyler Bisgrove.

“On the other hand, not having a handle on your business finances or cashflow can have a huge negative impact. Poor cashflow is the most common cause for a business to fail. Given the volatile world we now live in, it’s imperative we know where are at so we can adapt and change as needs require,” continued Tyler Bisgrove.

Business owners often make mistakes when managing their finances but thankfully Spotlight Reporting has the potential to help prevent the likelihood of many of these mistakes occurring.

“Employees are by far and away a business’s biggest investment, so you need to know that what you’re paying in wages is making a significant, positive impact on your revenue,” says Tyler Bisgrove.

“Spotlight Reporting is beautiful, seamless integration with Xero makes it really easy to use and really easy to understand.  If you haven’t seen what Spotlight can do for your business, then contact us today for a demo and a no-obligation quote,” says Tyler Bisgrove.