In our fast-paced financial world we are seeing an increase in the both the range and severity of risks that can affect business enterprises. Changing legislations, shifts in market trends and fluctuating economies can all wreak havoc on money matters if one isn’t diligent.
A qualified accounting professional is required to identify best practices and processes to manage risk within organizations. If you are informed you can anticipate the impact of key business decisions on accounting and financial reporting. Some of the risks that a CPA will consider are:
Strategic – who is your competition and how strong are they? Who are you clients and what are their demographics? What’s happening economically outside of your company?
Credit – Is your company at risk on defaulting or do you have all of your credit tied up in one area or with one creditor?
Financial – Does your company have money invested in high risk ventures? If the structural risk between your assets and liabilities mismatched? Do you have enough capital? Is your company liquid?
Operational – Is your company’s technology secure? Do you outsource work? Are your clients satisfied with your service/products? Do you have sufficient personnel? Are you susceptible to fraud?
Compliance – Does your company meet all the regulatory demands of the industry? Does your company meet all the legislative requirements, both provincially and federally?
Clearly, most business owners do not have the knowledge to address all of these issues. Pomponio and Company can provide you with up-to-date, pertinent information that may affect your business.