The following SC&H Group blog post reveals how executives at fast-growth companies are establishing strong internal controls by adopting and optimizing financial cloud applications, allowing them to gain a competitive advantage and achieve strategic goals.
In today’s competitive business environment, strong internal controls can yield a powerful advantage. By demonstrating effective accounting and reporting processes, start-ups and fast-growth companies can not only satisfy financial statement audit requirements, but also earn lender and investor trust—thus maximizing their ability to raise capital, spur innovation and growth, and meet short-and-long term objectives.
Facing the Challenges of Establishing Effective Financial Controls and Processes
However, finance executives face numerous challenges to establishing and enforcing an effective internal control framework. For example, economic volatility can significantly complicate financial operations. Also, increased risks, transaction volumes, and reporting requirements can burden staff with new information and complex tasks.
Moreover, to ensure dependability, accuracy, and success, finance executives must put forth continual effort to assess controls and implement effective financial risk management strategies.
Meanwhile, financial executive roles and responsibilities are expanding to include other corporate functions, such as performance improvement and strategic planning, which can require valuable time and energy. Also, financial executives are expected to connect an increasing volume of data from various sources and ensure that it is easily available to make timely, intelligent business decisions.
Furthermore, even after finance executives establish strong internal controls, maintaining them is essential—yet increasingly complex—as companies plan for growth by raising capital. In particular, strong internal controls are key for companies to acquire bank loans, meet the expectations of risk capital investors, and properly manage and monitor cash flow.
Attaining a Powerful Competitive Advantage with Financial Cloud Applications
To overcome these challenges, many finance executives are implementing financial cloud applications, such as Intacct, to develop an effective internal framework and obtain automatic, accurate, and real-time financial data. By combining different financial and market data, financial cloud applications are allowing executives to align financial results with operational metrics and ratios.
As a result, executives are benefiting from one version of the truth, enabling them to improve forecasting and modeling, as well as develop a more strategic growth plan. And by easily accessing financial data from one location, they are also providing more efficient, straightforward revenue and expense planning and reporting.
Optimizing the Impact of Financial Cloud Applications
In addition, many finance executives are partnering with specialized CFO advisors to optimize their cloud application, ensuring that automated processes and financial data support a strong and sustainable internal framework. This way, companies are better positioned to fulfill audit requirements, achieve long-term business visions, and build investor and lender trust and engagement.
Ultimately, by working with specialized CFO advisors, forward-looking finance executives are developing efficient and accurate internal controls through a fully optimized financial cloud application. With the solution in place, executives are maximizing their competitive advantage, proactively managing daily demands, and more effectively planning for future goals.
Want to learn more about how your company can build a strong and sustainable internal framework to achieve short-and long-term objectives? Contact SC&H Group’s CFO Advisory Services Team today to discuss how you can efficiently and effectively manage financial and operational data, develop a strategic growth plan, and leverage Intacct cloud financial applications.