As a CFO, I am seeing a trend that is not productive for the business owner. The alarming trend is there are too many business owners who have inaccurate financial statements.

Most business owners want to know two things no matter what: Sales and Net Profit.  However, if the financial statements are not accurate, you will not know those two metrics. 

Why does the business owner need accurate financial Statements?

• To Make Better Business Decisions: How can you make business decisions on collections, pricing, what vendors to pay, capital expenditures, inventory purchases and much more without accurate financial statements?
• To Get Bank Financing and to Obtain Leases: Banks will take you a lot more seriously if your numbers can back up what you tell them. Furthermore when a banker sees inaccurate financial statements, there is very little chance to get a loan.
• To Keep Bank Financing: Many business owners have credit lines that need to be extended or converted to term debt. Without accurate financial statements, you may not get the credit line extended which requires you to pay off the credit line immediately.   
• Allows for Better Financial Analysis: Without accurate financial statements, there is no basis for cash-flow solving problems or for strategic planning.
• Estate Planning: If you are going to have an effective estate plan, the accuracy of your financial statements are a critical part of the process.
• Selling a Business: Potential buyers may be discouraged if you have inaccurate financial statements. 
• Shareholder Buyout or Disputes: Just like selling a business, accurate financial statements are critical in any shareholder buyout or dispute.

A CFO can be a very cost effective way to make your financial statements accurate and alleviate any stress you have with the aforementioned events.