“If you're spending all your time bookkeeping, or chasing debtors, or making payments - none of those things are making you money. Think what you could be doing with that time,” says Pam Phillips, founder and MD of accountancy firm de Jong Phillips.
Most agencies start off by just winging it, which can often lead to your finances being handled by a novice. But could that be contributing more harm than you realise?
“The thing that causes the worst mess is when agency leaders try and run their finances themselves, rather than getting in someone who knows what they’re doing,” Pam says. “We've had so many people that do their own bookkeeping who don't really know how their business is doing because the numbers don't mean anything to them.”
“It's not just the expertise, it's the fact that you're wasting your time - you’re doing something that's not your skill set.”
In this month’s CFO surgery, Pam will be taking us through some of the worst things she’s seen in her 20+ years of handling agency accounts, and the things you should always avoid when it comes to managing your money.
“Another huge problem is not involving your finance partner into your strategic decision making,” she says. “Businesses that just see their accountant as someone to do their taxes lose out on so much valuable insight and guidance.”
Come along to hear Pam’s horror stories of horrendous agency finances, and get your questions answered by the accountancy expert.