SME business tips
Three month-end questions every owner should be able to answer
18 June 2026
A short monthly conversation can turn management accounts into a more useful operating tool.
What changed this month?
Focus on the movements that matter: revenue, margin, costs, cash, debtors, and creditors. The goal is a clear explanation, not a longer report.
Compare the month with both the prior month and the working plan where one exists. Ask what caused the movement and whether it is timing, a one-off item, or a trend that the owner should act on.
What needs a decision?
Identify the point where an owner’s judgement is needed, such as hiring, pricing, collection, stock, or an upcoming commitment.
Frame the decision in operational terms: the cost, the expected timing of cash, the assumptions that need to hold, and the person who will carry it forward. That turns management accounts into a decision tool rather than a retrospective report.
What should we watch next?
End with the risks or opportunities to monitor in the next month so the finance conversation has a practical forward view.
Choose a small set of signals, such as overdue customer balances, gross margin, scheduled payments, sales pipeline conversion, or stock commitments. Assign an owner and a review date so the next month’s conversation starts with what actually happened.
Practical next steps
Put this into practice
Review cash, debtors, creditors, margin, and major cost movements
Name the decisions management needs to make next
Write down the few indicators to watch before the next review
