The majority of the UK’s small to medium-sized enterprises (61%) are not using management accounts or forecasts for financial planning and less than a third (31%) agree they have the right finance processes for their business to ride the recession, according to a survey of 250 SMEs. The research was commissioned by fdu group, specialists in finance executive search, recruitment and online support services, to tie in with the launch of its new online forecasting service, GoForecast.
The research highlights the need for better finance planning in UK SMEs, with only 12% agreeing the financial management information provided to their business was very useful. Almost a quarter (22%) also said better forecasting would have put their business in a better position to cope with the current economic climate.
To help SMEs accurately forecast and plan for business growth, fdu group has launched GoForecast – a new online forecasting tool and support service. GoForecast has been developed by finance experts to provide businesses of any size with affordable, accurate and easy to use forecasting. Added professional support is also provided as required, to assist with modelling, customising the tool, or offering guidance from experienced SME finance directors.
“It is worrying that so many SMEs don’t fully understand the key elements of finance planning or use forecasting as a key tool to manage their business,” said David Bloom, co-founder of fdu group. “Adopting forecasting as a key discipline can mean the difference between business success and failure in the current economic climate and the launch of GoForecast will enable businesses of any size understand their cash flow, make better decisions and plan for growth. What sets GoForecast apart from other forecasting services is the level of support that is offered. While other systems are complicated to use and require expert levels of knowledge, fdu group understand that providing just a forecasting tool is not always enough.”