Running financial reports quickly and accurately is extremely important for organizations. While you may be accustomed to the executive board wanting information yesterday, efficient financial reporting is even more pressing when your compliance is dependent on it. Without an efficient report generator, you may not just let the board down–but you may be sacked with fines to boot. Choosing software that enables you to run the types of reports you need is critical to your success as a business.
Why are efficient financial reports so important?
Financial reports shine a light in the window of a company’s inner workings, exposing financial conditions, operating results, cash flows, and shareholders’ equity. Financial reports communicate past successes, future projections, and current status. This information is extremely important to be able to pull together quickly and accurately. Much of the information presented in these reports is required by law, so mistakes and misgivings are not often tolerated.
Missouri: a case study
A recent law that went into effect in Missouri is making expedient financial reporting even more imperative, and other governments and organizations are likely to follow suit.
Missouri municipalities are required to file annual reports within six months of the close of their fiscal year. A law that went into effect on August 28, 2017 added a penalty fine of $500 per day that these reports are absent or late. These fines can add up quickly, lighting a fire beneath all local governments to ensure that the reports filed are accurate and punctual.
Prior to this legislation, nearly half of local Missouri governments failed to meet these requirements, in spite of the six-month lead time to produce reports after the close of the fiscal year. Compliance has vastly improved with the new legislation.
As more legislation is introduced across the U.S. to enact fines and penalties associated with financial compliance, it is increasingly important that your accounting software can accommodate your constantly evolving business needs.
Advanced financial reporting software can lead you to easier report generation, automated report distribution, increased security, enhanced data integrity, and 24/7 mobile access. Choosing software that will help you meet your regulatory needs and maintain compliance is critical as regulations and compliance are constantly evolving across all industries.
Choosing FYIsoft for efficient financial reporting
Contact FYIsoft today to learn how a move to the cloud can benefit your organization and provide you with the most efficient financial reporting–according to your deadlines.