I am the Managing Partner of London-based SRK Accounting. At SRK we do things a bit differently. With a lean team and 50% growth year-on-year, my colleagues and I have embraced new technology to streamline our processes and cut down on administrative tasks. But one area that still required administrative time up was cash flow forecasting. Until we partnered with Float.
About SRK Accounting
Managing Partner: Simon Kallu
The Problem – We Used to Use Spreadsheets
We used to manage cash flow forecasting for our clients through a time-intensive Google spreadsheet that was updated monthly. The problem was that the spreadsheets were only able to show high-level target cash flow rather than actual invoices and bills coming in throughout the month, and whether or not they had been paid. Additionally, spreadsheets weren’t ideal for sharing with clients due to their complexity.
We found this method really frustrating as it was time consuming, inaccurate and did not take account of overdue sales invoices or bills to be paid. Time was being spent setting up and maintaining these sheets instead of writing commentary and adding strategic insight.
The Solution – Float
Partnering with Float has provided our clients with a much faster, more accurate, and more collaborative way to manage cash. We can now work through future expected cash flows together with clients, helping them to see potential risks and opportunities. This means that clients can now be much more confident in making decisions about spending cash to grow their business, or even taking on debt to finance growth.
“Float provides an automated way to manage cash flow, taking the pain and risk away from creating an Excel model.”
Additionally, Float has helped SRK further enhance the advisory side of our service since we are spending far less time generating reports. We have also found our clients are more relaxed and happy with the future direction of their business since using Float. Additionally, using Float for our own practice has given us more confidence in our future trajectory, which means we can invest in growth.
We had been searching for years for a cash flow tool that linked in automatically to the bank statement and to Xero until we found Float.
Why We Recommend Float to Our Clients
The only clients we tend to lose are ones whose businesses fail, usually due to a cash shortage. For many of those clients, coming to us to create an Excel forecast would be too expensive, and doing it themselves would be too time-consuming. Float enables any client from a startup up to a large business to forecast cash, set goals and track their progress towards them, reducing their risk of business failure.
On the flip side, for clients not experiencing cash issues, we have been able to create scenarios to help them understand how to best invest in their business, while still keeping three months of overheads and all accrued tax balances in their accounts. Doing this in Excel can be really annoying and complicated. Whereas using Float, we are able to automatically pull through all receivables and payables.
Through using Float and taking the time to become experts in the software, we have seen our client engagement increase. Our main driver at SRK is helping businesses grow by providing the numbers to start a conversation. Using Float enables conversations and opens up the possibility for clients who just started up to afford a detailed cash flow forecast. As a result, SRK can now give really good quality advice to all clients, no matter their size.
“Float provides an easy-to-manage, accurate cash flow forecast that has created a more meaningful relationship between us and SRK Accounting.” – Louise Francis, Manan Ltd.
“With Float, we have an instant, accurate picture of where the business is headed. The forward-looking piece means SRK can be much more involved in active planning for our business, and their advice has been invaluable.”
We offer a Virtual FD service that now includes Float as standard. Float has helped create a more attractive Virtual FD package, which means we can now truly outsource the whole finance department. When we show people how easy it is to manipulate a cash flow forecast in Float, it’s much easier to sell an FD package, which is boosting our revenue.
Float is a no-brainer as far as I’m concerned for all our of our clients, now and in the future. Cash is king and whether you grow through reinvestment of retained earnings or through debt finance, the key to breaking through the ‘growing pains’ stage will be strategic insight into the future — setting goals and then tracking carefully against those goals. The most critical part of it all is managing and monitoring cash flow.
Join the free Float Partner Program for Accountants!
Are you ready to test out a cash flow tool that connects right into Xero, QuickBooks Online and FreeAgent saving you buckets of time? Just visit this link to join for free! Float partners get some great perks including substantial discounts.
Are you looking for a forecasting tool for your clients that updates dynamically with accounting data? Check out Float Cash Flow Forecasting!
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