THE CLASH BETWEEN ACCOUNTING AND FINANCIAL MANAGEMENT


Prof. Vanyo Konsulov and Andrey Gekov, Managing Partners at K&G Finance

K&G Finance.jpg

Company directors who use external accounting services often do not distinguish between accounting and financial management. In reality, they need both.

Accounting and financial management are closely related, yet serve different functions.

Accounting involves collecting, processing, summarising, and presenting financial information about past events – providing insight into a company’s condition and performance. This information is used by external stakeholders (investors, creditors, tax authorities) and internal users (management). Its preparation is strictly regulated by accounting standards and legal requirements.

Financial management, on the other hand, is focused on future-oriented decision-making to achieve the organisation’s goals. Forecasting and planning are based on historical and current financial data, and the primary users are the company’s managers. Financial management is less tightly regulated, but is influenced by market conditions and business ethics.

Accounting provides the raw data and summarised financial information upon which financial management relies to make informed decisions. To be successful, business leaders need both – yet they often expect their accounting firms to perform tasks that fall within the realm of financial management. For instance, they may request specific reports on the company’s financial position, the development of a business plan to secure a loan, or advice on future investment projects.

Some accounting firms also offer elements of financial management – but their services typically come at a higher cost.

In summary:

  • Accounting is the "language of business", describing financial status and results.
  • Financial management is the "navigator", using this information to steer the company toward its financial goals.

A proper relationship between businesses and accounting firms requires a clear distinction between the functions of accounting and financial management. When negotiating fees, these functions should be clearly defined to avoid unrealistic expectations or undervalued work.

At K&G Finance, we offer a broad range of services designed to relieve company managers of time-consuming administrative tasks.

We provide comprehensive accounting, financial, and legal services that allow company directors to focus on running their business, without needing to constantly monitor legislative developments and regulatory changes.

K&G Finance handles all of this, giving business owners the freedom to concentrate on the operational and strategic management of their companies.

Sofia, 47 Princess Maria Louisa Blvd, floor 1
+359 88 7 621 933
office@kgf.bg
Kgf.bg

Колизията счетоводство – финансов мениджмънт

проф. Ваньо Консулов и Андрей Геков, управители на K&G Finance

Управителите на фирми, които ползват външни счетоводни услуги, обикновено не правят разлика между счетоводна отчетност и финансов мениджмънт. Реално те имат нужда и от двете дейности.

Счетоводната отчетност и финансовият мениджмънт са тясно свързани, но изпълняват различни функции.

При счетоводната отчетност се събира, обработва, обобщава и представя финансова информация за минали събития – за състоянието и резултатите на фирмата. Информацията е за външни (инвеститори, кредитори, данъчни власти) и вътрешни (мениджмънт) потребители. Създаването ѝ е строго регулирано от счетоводни и законови стандарти.

Целта на финансовия мениджмънт е вземане на решения, насочени към бъдещето, за постигане на целите на организацията. Прогнозирането и планирането са на базата на историческа и текуща финансова информация, а основните потребители са мениджърите в компанията. Финансовият мениджмънт е по-слабо регулиран, но се влияе от пазарните условия и бизнес етиката.

Счетоводната отчетност дава суровите данни и обобщената информация, въз основа на която финансовият мениджмънт взима информирани решения. За да са успешни, ръководителите на фирмите се нуждаят и от двете – и често изискват от счетоводните кантори да изпълняват функции, присъщи на финансовия мениджмънт. Те, например, изискват специфични справки за финансовото състояние на фирмата или разработка на бизнес план във връзка с получаване на кредит, търсят съвети свързани с бъдещи инвестиционни проекти и други.

Някои счетоводни кантори предлагат и елементи на финансов мениджмънт, но цените на услугите им са по-високи.

Накратко:

  • Счетоводната отчетност е "езикът на бизнеса", който описва финансовото състояние и резултати.
  • Финансовият мениджмънт е "навигаторът", който използва тази информация, за да насочва компанията към нейните финансови цели.

Коректните отношения между фирми и счетоводни кантори предполагат да се прави разлика между функциите на счетоводството и финансовия мениджмънт. При договаряне на цените тези функции трябва ясно да се дефинират, за да се избегнат необосновани очаквания или недооценена реализация.

Ние, от K&G Finance, предлагаме широк спектър услуги, които облекчават мениджмънта на фирмите от досадната административна работа.

Предоставяме комплексни счетоводни, финансови и юридически услуги, които позволяват на управителите на търговските дружества да управляват бизнеса си, без да губят време за проучване на законовата уредба и нейните изменения.

K&G Finance върши всичко това, а управителите на фирми използват времевия си ресурс за оперативно и стратегическо управление на бизнеса.

София, бул. "Княгиня Мария Луиза" 47, ет. 1
+359 88 7 621 933
office@kgf.bg
Kgf.bg

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