- “I would just like to thank you & your friendly staff for the excellent service I have received.
Everything was so clearly explained...”
Jane Wootton Smith - “Thanks to Nick Park’s advice we secured a sizeable tax and VAT rebate which was very helpful towards our barn conversion.”
G.G Sevenoaks - The winner of the feedback prize draw for March 2013 is Elysium Cymru. A box of chocolates are on their way to them.
- “It gives us great confidence knowing we are able to rely on you and your team to solve our tax problems...”.
J Matthews JM Hair Ltd - “I don’t think you could improve your service to us as everyone we deal with is great. Nothing is too much trouble...”.
Christine Grey, Grey’s Health & Safety Solutions Ltd - Having hired Ed Gooderham at Green and Co, we now enjoy more freedom to concentrate on other areas of our business, and have a lot less stress...
Mark Cushing – Twisted Pair Limited - "During the past 21 months, when I have needed help and guidance, Green and Co have assisted me in every way".
Carol Jones, K Jones Electrical Limited - “What a fantastic service these guys give, they not only sort your accounts they give impartial advice to ensure all your affairs are up to date and working effectively.”
All Sorts Training - “Becoming a limited company is a big step but with the support of Sam and Ed this transaction will be made smoothly.”.
Vixtay Web Design - “Being my first visit to an Accountant's office I was a bit nervous about what to expect, I was totally surprised... and my fears dispelled...”.
A potential client - “Nick Park fully understands our business and we therefore have confidence in his judgement. We feel we receive excellent service”
Bev Baker – B E Baker & Sons Limited - “It’s a really nice team, feel like human beings. Advice is excellent and reassuring. Would recommend to friends”
Giles Davis - “Thank you very much, I will definitely recommend you!”
Charlie Fleming – April House Farming - We have saved clients £2,293 in tax for every £1,000 in fees.
- “Thank you very much, I will definitely recommend you!”
Charlie Fleming – April House Farming - “We have been with Green and Co for just 8 months but wish we had come to them sooner. The advice we have been given has been invaluable. Thank you.!”
Mr and Mrs TEJ Morris - “We are extremely happy with the excellent personal service you provide, and of your knowledge of our particular sector.”
Milton Farm Partnership
Stock answers
If not managed efficiently, stock can be one of the biggest drains on profitability for a business.
Holding stock incurs costs in:
- Warehousing
- Personnel
- Transportation
- Insurance
Above all, it ties up cash.
Ideal solution
In an ideal world, every business would have no stock at all but would operate entirely on a well-tuned just-in-time (JIT) system with materials and parts arriving in the order and quantities in which they are needed for the manufacturing or assembly process.
But we do not live in an ideal world, and many small and medium-sized businesses do not have the resources or the sophistication to implement JIT. So if you must carry stock you need to be constantly on the lookout for ways to minimize the haemorrhaging it can cause to your hard-earned profits.
Reducing stock costs
Here are some suggestions for reducing stock costs:
- Identify those materials that contribute the least to product variety and differentiation - that is, those that are commonly used in numerous different products - and use them as widely as possible
- Check the quality and accuracy of goods received from suppliers. If you only spot the poor quality at the end of the process, it is too late...
- ...However, if you work closely with your suppliers and build up a relationship of trust, you may be able to cut down on the time spent checking the materials that come in
- Wherever possible, reduce the lead time for ordering materials, but take care not to unwittingly create hold-ups in production
- Constantly review sales trends and cross-reference them with stock requirements
- Make sure delivery schedules are neatly choreographed with production - try to avoid holding any more finished products than you really have to.
- Try to negotiate discounts on virtually everything that you buy and then negotiate terms for payments and interest rates.
Caution
Finally, a note of caution. Although it is generally best to keep stock as low as possible to avoid tying up capital, this might not always be the case if there are really significant bulk discounts available. Also, if you decide to make changes to your stock levels or procedures, be sure to do so within the context of the business as a whole: never make stock decisions in isolation.
Call us if you would like help with maximising the efficiency of your stock management.
