Ansid/Insights/Article

Is your finance team ready?

AnsidMarch 15, 2020

"I need to make quick decisions but cannot seem to get straight answers and insights from my controller."

That comment came from a CEO of a $15M company. It is one of the most common frustrations we hear. And it is almost never a people problem. The controller is usually competent, hardworking, and technically capable.

The problem is a systems and structure problem.

What "Ready" Looks Like

A finance team that is ready to support a scaling business can answer these questions clearly and quickly:

What is our cash position today, and what will it be in 13 weeks? Not roughly. Not after they run a few reports. Now.

What is our gross margin by product, service line, or customer? Not total company margin. Segmented. So pricing and investment decisions can be grounded in data.

What changed last week versus the week before, and why? Not a summary of what happened. An explanation of the drivers.

What decisions need to be made this week to protect margin and cash? Not a description of the situation. A recommendation.

If your finance team cannot answer those four questions in the course of a normal week, your finance function is not ready.

Why Finance Teams Get Stuck

The close process is too long. If your close takes 20-25 days, your leadership team is making decisions in the dark for most of the month. By the time the numbers arrive, the window to act has usually passed.

The accounting structure does not match the business. A chart of accounts built for compliance reporting cannot produce the operational visibility that leadership needs. You cannot get margin by service line if your P&L is not structured to show it.

The reporting is built around what is easy to produce, not what is useful to decide. Thirty-page packages full of tables are what finance teams produce when the goal is completeness rather than clarity.

What to Do About It

The fix is structural, not personal. It requires:

  • A close process that produces reliable numbers in 7-10 days
  • An accounting structure aligned to how the business actually operates
  • A reporting framework built around the decisions leadership needs to make
  • Weekly visibility, not monthly, so the numbers arrive when they can still change outcomes

If your finance function is one step behind your business, it is not ready. The cost of that gap is paid in margin, cash, and decisions made without the information that could have changed them.

Put This Into Practice

See what this looks like for your business.

A Discovery Call is 45 minutes and free. We identify the exact gaps in your current finance function and tells you what closing them is worth.

Book a Discovery Call