- Get the billing out every day. If you can't, find out why. Tweak the system and procedures until you can.
- Track your payroll and other major costs every day. Inquire about unusual items.
- Check all the procedures for job management. Don't allow excess hours without approval.
- Check your outstanding receivables list. If you are out of sync with the industry curve for "days outstanding", take immediate steps to collect. Hire a part-timer, if needed, to help with the process.
- Is the accounting department getting it done? If not, upgrade the staff or get some experienced part-time help. Have your senior accounting staff do the accounting, not paper pushing or bookkeeping. There aren't many good CFO types available these days. If you have a good one, keep him or her around and get them what they need to get the books closed on the 15th day of the month every month
Above all, decide on what priorities you have to address to be able to move your business into the sandbox. Then do what it takes to get there.???
Garry Bartecki is director of dealer/distributor services at BDO Seidman, LLP of Chicago, as well as a consultant to the AED. He has also worked as an independent CPA and consultant to equipment dealers. He can be reached at (312) 616-4677 or firstname.lastname@example.org.