What services are included in CFO?

From overseeing bookkeeping and accounting tasks to presenting accurate numbers, keeping a close check on financial security, maintaining a balance between income and outcome, implementing up-to-date financial software to designing financial strategies – CFO services are wide-ranging.

To name a few, below mentioned CFO services are the most common to be included:

• Developing financial strategy & exit strategies
• Tax management & advice
• Forecasting
• Debt planning & management
• Maintaining financial structure
• Budgeting
• Corporate governance
• Technology analysis
• Auditing
• Analyzing & restructuring cash flow
• Weekly or monthly financial reporting
• Risk analysis
• Creating cost cuts
• Assisting mergers & acquisitions

How much it costs to hire/outsource a CFO?

The fees vary considering:

• Amount of workload
• Type of financial services you are asking for
• The complexity of tasks
• The size of the company
• Type of hiring (contract, virtual, interim, fractional, hourly, full-time)
• Staff volume to be looked after
• The seniority and experience of staff allocated.

What are outsourced CFO Services?

Outsourcing CFO services means hiring skilled and professional financial experts outside your organization (not in-house) for top-tier financial, bookkeeping, business, and accounting guidance. An outsourced CFO can be hired full-time, part-time, or on an interim-basis to improve profitability.

It is the best solution if you don’t have a bookkeeper or controller with enough experience to manage critical accounting tasks or identify business risks and mitigate them.

What are accountants’ services?

An expert accountant is responsible for tackling plenty of financial operations to produce accurate financial statements, maintain records, and regulate result-driven recordkeeping practices. Majorly, accounting services are based on processing financial information to provide in-depth insights along with:

• Tracking/balancing incomes and expenses.
• Reviewing revenue-generating activities.
• Tax consultation, preparation, advisory, and compliance.
• Cost containment programs.
• Strategic planning.
• Recording, reporting, and scrutinizing financial transactions.

What does ‘Audit and Assurance’ mean?

It is a comprehensive procedure where each and every aspect of a company’s processes is evaluated to ensure their functionality. Primarily, it is performed to assess the system’s internal control. The efficiency and reliability of workflows are tested based on the statistical samplings.

Assurance works as proof that financial information is valid, authentic, and fair, free from material error, and obtained from reasonable resources.

Why do you need accounting services?

Every business needs expert accounting services to have financial operations and recordkeeping procedures streamlined. It is necessary to make data-driven decisions with the purpose of cutting down extra costs and improving revenues.

You need an expert accountant to ensure that your financial statements are free of errors and in full compliance with standard rules and regulations.

Is it mandatory to live in Dubai to set up a business?

No, the business owner is not obliged to have a full-time residency in the U.A.E. while running a business or establishing a company.

Which free zones are the cheapest in UAE?

1. Sharjah Media City free zone (SHAMS)
2. Ras Al Khaimah free zone (RAKEZ)
3. Sharjah Media City free zone (SHAMS)
4. International Free Zone Authority (IFZA)
5. Ajman Media City (AMC)

Is Dubai a tax-free zone?

Yes, Dubai has specifically defined zones where authorities are not allowed to collect any income or corporate tax money. No tax and no dividend for companies or individuals in free zones!

Nevertheless, you must pay municipal tax to the local authorities on your properties in this country.

What is management accounting? What are management accounting services

Management accounting, also called managerial accounting, refers to gathering financial information, analysing and interpreting reports about business operations, identifying hurdles, and measuring operational business metrics to strategize professional goals for the organization. Later, each piece of information related to sales revenue and expenses of products/services procured by the company is communicated to the management.

It helps the managers make profitable short- and long-term decisions by using performance reports to acknowledge variances between actual results and forecasted budgets.

What are the criteria to work for a company as a Management Accountant?

• Top-tier skills in mathematics, statistics, business, and basic accounting.
• The minimum education requirement is an undergraduate/bachelor’s degree in accounting or finance.
• In-depth know-how of cost accounting, GAAP, and finance tools & techniques.
• Special designation as CAM (Certified Management Accountants) and CGMA (Chartered Global Management Accountants).
• Effective communication skills, good presentation, strong leadership, and collaborative abilities.

Proven record in hard accounting.

What are the two major professional designations for Management Accountants?

1. Certified Management Accountant (CMA) – A designation obtained after completing bachelor’s degree, passing 2 parts CMA exam, and earning 2 continuous years of professional industry experience.
2. Chartered Global Management Accountant – A designation issued by the American Institute of CPAs in the union of the London-based Chartered Institute of Management Accountants, based on experience and exam.

What are the most common three types of SOP format?

• Step-by-step (simple format to explain the straightforward procedure by breaking and explaining each step in a numbered list with detailed instructions).
• Hierarchical steps(a top-down approach for explaining complex business workflows that must comprise multiple steps).

Flowcharts (a diagrammatic/visual presentation of stages to map out a complete procedure using boxes and arrows indicating the next step).

Who is responsible for creating SOP in a company?

Generally, a single individual writes SOPs. But, the best practice is to work with a team for better understanding and collaboration, as well as to include specialized personnel from different departments. Their feedback will contribute to the success of writing a well-executed SOP.

What are the basic elements to write a good SOP?

• Title page and/or header
• Overview
• Scope
• Quality Assurance/Quality Control
• Scheduled procedures
• Objective/Purpose
• Responsible parties
• List of references, glossary, and index

How do you define BPR vs BPI?

BPR refers to a complete transformation of the procedures to obtain absolutely different results and change the organizational structure. In comparison, BPI refers to implementing solutions for improving existing/ongoing workflows.

BPR changes how a task is carried out, but BPI only makes adjustments for process optimisation and to get free of conventional approaches. You can consider BPI a preventive technique (similar to running repairs/maintenance) whether there is a problem or not for quick wins. But, BPR is typically brought into action when enterprise-wide disasters must be taken care of, demanding significant time to resolve.

How to improve processes in business? What are the BPI Methods?

The most popular BPI methodologies used effectively in various companies include:

1. Six Sigma – Based on DMAIC (Define, Measure, Analyze, Improve, Control), it utilized organizational data and statistical tools to bring improvements.
2. Lean Thinking – This checklist-based approach is best recommended for continuous improvement while minimizing waste with the utilization of the fewest resources.
3. Agile management – Cross-functional staff working together to enhance productivity or implement new technology.
4. Total Quality Management – All focused on customer satisfaction, TQM takes customer value as a foundation to improve the company’s management and operation.

Theory of Constraints – Recognizing key limitations responsible for hindering improvement and devising ways to enhance process efficiency and get rid of inefficient bottlenecks with no adverse effects.

Is BPI better than BPR?

The answer depends on the need for an hour!

Looking for solutions to improve the ongoing process of working on a fundamental level? Go for BPI! And, if the process has stopped working on a basic level, BPR is your best choice.

What are the best accounting softwares?

• QuickBooks
• FreshBooks
• Xero
• Oracle and Oracle NetSuite
• Microsoft Dynamics
• Zoho Books
• SAGE and SAGE Intacct
• SAP
• BillQuick
• Wagepoint

What are the categories of accounting software?

Characterized on the basis of the “varieties of operations the industry handles,” there are the below-mentioned categories:

1. Billing/ Invoicing Software – Automating basic, day-to-day billing activities, cheque writing, etc., minimizing manual entry errors.
2. Project accounting – For aligning complicated interdepartmental or inter-company tasks, better human & material resource management, and project analysis.
3. Payroll management system – For managing payroll registers, calculating and depositing salaries, cutting deductions, producing tax forms, etc.

Enterprise resource planning (ERP) Systems – For handling the core accounting, material purchasing, marketing & finance, inventory and supply chain management, and B.I. to improve operational portfolio and enhance functionality.

What are the different types of accounting software?

• Spreadsheets
• Commercial accounting software
• Enterprise accounting software
• Custom accounting software

What are the main types of financial statements?

1. Balance Sheet – Typically defined as an actual record of the funds being received and used, it explains everything statistically about what your company owns and owes at the end of a given year in the form of 3 sections, including assets, liabilities (debt), and shareholder’s equity.
2. Income Statement – Highlights each penny earned by the company along with providing a profit & loss statement to know how much money is grossed and expended due to business operations. Consider a snapshot of a company’s current financial position!
3. Cash Flow Statement – Useful in reflecting a company’s exchange of money, sources from where a company has earned revenue (outside world), and on which activities money has been spent the most (between a company) over a specified time. It helps control cash flow successfully for stable financial health.

Why is financial statement analysis important for business?

Data obtained after financial statement analysis can help company owners make result-driven decisions. Financial insights on a company’s past results, projections, and goals are valuable to devise strategies that can help them enhance profitability, control cash flow, generate more revenue, and cut down on extra spending.

Moreover, a thorough overhead review is essential for identifying trends, strengths, and weaknesses.

What are the most important financial ratios in financial statement analysis?

• Debt to equity ratio
• Return on equity ratio
• Earnings per share
• Profit margin
• Quick ratio
• Price-to-earnings ratio
• Working capital ratio

What are the types of internal audits?

Compliance audits – To ensure that the company’s processes and practices are fully compliant with policies, laws, and regulations standardized by either industry or government.

Operational audits – A comprehensive overview of fundamental processes and vital systems for enhancing productivity, improving operational efficiency, and evaluating if resources are utilized efficiently.

Financial audits – All focused on scrutinizing accounting and bookkeeping practices, financial reporting and statements, and transactions for maintaining fair and authentic data.

Information technology audits – A real-time system assessment for checking whether management controls are up-to-date. It ensures that each I.T. application and automated information processing system performs at full capacity and in compliance.

How can internal audit add value to the business? What is the role of internal audit?

Internal auditing helps organizations ensure that their processes are carried out effectively, systems are running accurately, resources are utilized cost-effectively, strategic needs of an organization are met, and governance complies with standardized policies and regulations. An internal audit is necessary to introduce a systematic approach to improving productivity.

You can identify your strengths and weaknesses and correct them before an external audit carried out by an outside firm highlights them. It adds value to your company by protecting organizational assets and obtaining independent assurance that your risk management processes are in place, safeguarding your firm against potential fraud.

What are the key phases/stages of an internal audit? How to conduct an internal audit?

Planning/Survey/Preliminary Review – To define the scope and primary purpose, fix a timeline and budget, set fundamental requirements per the regulated laws, lay out the plan to be implemented, assign duties, and review previous audit reports.

Fieldwork – Execution of decided steps in the audit plan by the audit team that may include communicating with managers for feedback, investigating the company’s documents, understanding and testing management controls, writing all the procedures being followed, and suggesting possible changes.

Audit Report – Most critical stage as you will be drafting the report and reviewing it with the management to eliminate mistakes and bring accuracy with process improvements.

Follow-up Review – Make sure that recommendations made after addressing organizational issues in the audit are properly implemented and followed.

What are three types of cashflow?

1. Operating cash flows (CFO)
2. Cash flows from investments
3. Cash flows from financing

Why is cashflow management important?

Every business must keep its assets balanced to avoid financial crises. Cash flow management helps you keep a close eye on the amount of money being generated and spent, letting you forecast the revenue. With effective management, the company will be able to reserve sufficient funds to meet future expenses as well as to pay existing investors.

It focuses on how a company’s financing activities are managed and if adequate cash flow has been grossed.

How to manage cashflows?

• Decide your credit control procedures that must be achievable, practical, and result-driven.
• Forecast your realistic sales to get an estimate of revenue that can be generated in future.
• Develop healthy relations with suppliers by paying them timely.
• Implement strict controls over inventory management for efficient stock control.
• Stop unnecessary, surplus spending to keep your business financial cycles running. Make efficiency savings.
• Review financial records, cash flow, and balance sheets to evaluate the progress, highlight potential future cash flow problems, and determine underperforming factors.
• Don’t assume to achieve unrealistic profits. Always appraise the financial situation honestly.

Who is required to pay Corporate tax applies to UAE-incorporated businesses, foreign entities with a permanent establishment in the UAE, and individuals conducting business activities under a commercial license. ​FTA UAE

Are free-zone companies subject to corporate tax?

Free Zone companies may benefit from tax exemptions if they meet specific conditions. However, income from mainland UAE or non-qualifying activities may be subject to corporate tax. ​

What are the penalties for non-compliance?

Penalties can include fines for late registration, failure to file returns, and inaccuracies in tax filings. It’s crucial to comply with all tax obligations to avoid such penalties. ​

How can Profits Plus assist with corporate tax compliance?

We offer end-to-end services, from registration and advisory to filing and audit support, ensuring your business remains compliant and optimized under the UAE’s corporate tax regime.​