This is absolutely one of the most important aspects of every business, and here’s why.

While your accountant may be providing certain accurate and useful reports in order to disseminate information, in certain cases, we need to provide information that the audience may require, and in many of these cases ‘regular’ financial reports may not fit the bill.

For instance, while a bank will expect certain financial reports, in addition to standard P&L and Balance Sheet reports a Private Equity Group would expect to see different reports and different types of reports, because bankers look for different indications than Private Equity players.  And Venture Capital has their own set of expectations.

What can you do about this??

We feel that the most important take away from this statement is this.  While accountants can prepare fabulous financial reports, sometimes (perhaps many times) they prepare financial reports from their perspective and they don’t necessarily understand certain aspects of a business to make the right judgement.

When is the last time your accountant understood how increasing a specific marketing expense by 10% could possibly increase bottom line profit by 25%?

As much as we can guarantee that a banker and a private equity player look at things differently, we can also guarantee that different private equity players look at things differently, and they all probably look at things differently and have different expectations than your accountant.

Bottom line is this….if you don’t know your audience and don’t know what they are looking for you may miss out on an opportunity.

Interstar Financial is in the financial industry.  We know Private Equity players, we know bankers, we know Venture Capitalists.

We also know what many of them look for, and we know how to bring certain indications dictated by financial reports to the attention of those that would like to see them.

Even though sales may be down 5%, they may be up in certain demographic or geographic segments that indicate a growing trend in an untapped market.

And if you don’t point these things out, you may miss an important opportunity.