Management accounts for company directors.
We prepare monthly or quarterly management accounts and explain changes in your company's profit, costs and cash. From Sheffield and Mansfield, we work with companies across the UK. We agree any forecasts, tax estimates and dividend checks around the decisions you need to make.
What you receive
Our management accounting service starts with reconciled records. As Chartered Management Accountants, we explain what the reports show and which changes need a closer look. Your proposal sets out the reports and advice included.
Profit and loss and balance sheet
See what the company earned and spent, what it owns and what it owes. Comparisons with earlier periods help you spot changes in margins and overheads. Our guide to what management accounts are explains the reports.
A note from your accountant
We explain the changes that need attention, such as rising supplier costs, overdue customer payments or a tax bill to plan for. You can discuss what those figures mean for your next decision.
Tax estimates and dividend checks
We can estimate Corporation Tax, review profits available for dividends and check money owed through your director's loan account. Your proposal confirms which checks are included. Our guide to what to include in management accounts covers the usual sections.
We can also handle your annual accounts, Corporation Tax return and Companies House identity verification. Your proposal confirms the services included and the fixed fee.
Illustrative report
Why is profit lower when sales are ahead of budget?
In this example, a company has sold more than planned, but the extra sales have not covered higher costs. Comparing the figures with the budget shows what needs investigating.
| Report item | Budget | Actual |
|---|---|---|
| Sales | £165,000 | £168,000 |
| Direct costs | £66,000 | £78,000 |
| Overheads | £67,000 | £71,500 |
| Operating profit | £32,000 | £18,500 |
The figures are illustrative, taken from our guide to what management accounts should include. They are not a client's results.
What changed?
Sales were £3,000 above budget, but direct costs were £12,000 higher and overheads were £4,500 higher. Together, those movements left operating profit £13,500 below budget.
What would we discuss?
We would check which supplier costs had risen, whether selling prices still covered them and what caused the extra overheads. That gives you specific costs and prices to review before the next period.
What about the bank balance?
Profit includes sales that customers may not have paid for yet. We also check money owed to you, unpaid bills and upcoming tax payments. If you need to plan ahead, we can agree a cash forecast alongside the reports.
Monthly or quarterly management accounts?
Choose a schedule that gives you time to act on the figures. We discuss how quickly your sales, costs and cash commitments change, and when your records can be ready.
Monthly reports
A monthly review can help when margins change quickly, customer payments are uneven or you are taking on new commitments. You can compare each month's results with the budget and discuss changes before making the next spending decision.
Quarterly reports
A quarterly review may suit a company with more predictable income and costs. It gives you a regular opportunity to review profit, tax estimates and plans for the next quarter. Tell us about a significant purchase or proposed dividend before proceeding, even if the next report is not yet due.
Keeping your existing bookkeeper
Your bookkeeper or finance team can continue maintaining the records. We agree access, the checks each person handles and when questions need to be answered. If you need us to bring records up to date or maintain them, we include that bookkeeping work in your proposal.
How we prepare and review your reports
At the start, we agree the reporting period, the records needed and the questions you want the reports to answer. That might mean checking product margins, the cost of another employee or the cash available for a planned purchase.
Get the records ready
We agree who updates the bookkeeping, reconciles bank balances and provides details of stock, unpaid invoices and other adjustments. We follow up missing information before relying on the figures.
Prepare the reports and explanation
We prepare the agreed reports and explain material changes in income, costs and balances. Where forecasts are included, we state the assumptions so you can see what would change if sales or payments differ.
Discuss your next decisions
We discuss the figures and any questions you have, then agree what needs checking or following up. You can bring a proposed hire, purchase or dividend to the discussion.
Sheffield and Mansfield
Chartered Management Accountants for UK limited companies in South Yorkshire, the East Midlands and across the UK, with the work run through secure cloud records and scheduled calls.
Agreeing the work and the reporting dates
Tell us which software you use, who maintains the records and when you need the figures for a decision. We use that information to agree a practical timetable and a fixed fee in writing before work starts.
You can ask us to prepare management accounts from records maintained by your bookkeeper or finance team, or include bookkeeping in the work. Annual accounts and tax returns can be agreed alongside the reporting. Our fees page explains how we scope those services.
- Records and responsibilities
- Who supplies bank reconciliations, sales and purchase records, payroll information and any stock or work-in-progress figures needed for the reports.
- Preparation and review dates
- When records are due, when we prepare the reports and when you discuss them with us. If information is missing, we explain what needs resolving and how it affects the timetable.
- Reports and additional analysis
- The profit and loss account, balance sheet and commentary, plus any budget comparisons, cash forecasts or tax checks included in the agreed work.
Frequently asked questions
What are management accounts?
Management accounts are regular reports on your company's financial position. They usually include a profit and loss account, a balance sheet and an explanation of changes. We agree any budgets, cash forecasts and tax estimates you need alongside them.
How often should we prepare management accounts?
Monthly reports can help when sales, costs or cash commitments change quickly. Quarterly reports may be enough when the business is more predictable. We agree the schedule around the decisions you need to make and when the records will be ready.
Can you work with our existing bookkeeper?
Yes. We agree who records transactions, reconciles the bank and answers questions about the figures. If you want us to handle the bookkeeping too, we include that work in your proposal.
Do management accounts replace annual accounts?
Your company still needs annual accounts and its tax return. Management accounts help you review the business during the year. We can include both the regular reporting and year-end work in the agreed service.
Can management accounts help with dividends?
Yes. Current accounts help us check the accumulated profits available for distribution after losses, tax and earlier dividends. We also consider the cash needed for bills. Ask us to review a proposed dividend before declaring it; we agree the advice and paperwork you need.
Keep reading
Discuss the reports your company needs
Tell us who maintains your bookkeeping, which software you use and whether you already receive regular reports. Bring any existing reports and the questions you want them to answer. We will discuss the preparation and review dates, any forecasts or additional checks, and the fixed fee for the agreed work.
Book an initial consultation