Business Snapshot is a dashboard-style report displaying business performance measures to help you better understand the financial position of your business at any given time.
Examining your key business metrics regularly will help you keep on track with your growth. The dashboard gives you a snapshot of your income and spend and highlights if there are any issues with payment collection from your customers. If you don’t look at your balance sheet regularly, this gives you a summary of your liabilities to have in mind when planning your cashflow.
- Profit and Loss – you can view your profit before tax for last month, last quarter, last year or year to date with instant comparison to previous period. Instantly see if your profit has increased or decreased as a percentage against previous period.
- Income and Expenses – see a summary of your income, cost of goods sold plus operating costs as a figure and a chart. You also see the percentage comparison against the prior period.
- Gross Profit Margin – monitor your gross profit margin and how it changes compared to prior period.
- Latest Operating Expenses – instantly see the highest costs and comparison to previous spend. You can pick up areas where the spend has gone up or reduced significantly.
- Financial Position and Cash – this gives you a snapshot of your balance sheet which is vital for understanding your liabilities at any given time.
- Overall Cash Balance – see the total of all your cash across all bank accounts.
- Average Time to Get Paid – the average number of days it takes your customers to pay you. Identify in an instance if you need to address how you collect your payments or if you have bad paying customers.
- Average Time to Pay Suppliers – how long do you take to pay your suppliers. If it is outside your credit terms, do you need to address this to improve your relationships with your suppliers?
To benefit from using Business Snapshot dashboard you need to have at least a couple of months’ worth of transactions in Xero. Keep your bank reconciliation up to date too to see the correct cash balance.
Use the dashboard to discuss your organisation’s financial health with us or your accountant.