Innovative Analytical Graphs for a Visual Representation of Financial Results
When you opened your business, you likely chose that route because you love what you do and wanted to share your expertise with others. Small business owners are great at their trade, maybe cooking an amazing meal, installing a new bathroom, providing legal or professional consulting, and engineering a dream home. It is unlikely that you went into business for yourself because you love looking at financial reports and wanted to wade through the detailed information presented in them, however, they are critical to the success of your business.
From finding new investors to deciding on the best time to expand your company, financial reports and understanding the results of financial strategies you’ve put in place is essential to the overall health of your business. Fortunately, with today’s technology, you no longer need to wade through dense blocks of text or graphs that don’t make sense to you to gather the necessary financial information for success.
Innovative analytical graphics can offer a visual representation of the financial results of your strategies. You need to learn more before committing to this new way of representing your company’s financial health. Here’s everything you need to know:
What Are Analytical Graphs?
Analytical graphs are the presentation of interconnected data using graphics to highlight those connections. They can be used to represent almost any collected data. As a small business owner, you can utilize these graphs to highlight the financial results of specific actions and strategies.
These graphs can highlight the relationship between specific actions you take within your business and the financial results of them. They can help you recognize connections that you might not realize in another way, and allow you to use this information to guide future strategies and decisions you make.
With analytical graphs, you have a visual representation of the causes and effects of your decisions and strategies that can be more easily understood than a report filled with financial jargon. Of course, these graphs can be used for more than your understanding. You can use analytical graphs for pitches for new investors or report your current financial condition to existing partners.
Why Are Analytical Graphs Helpful?
You might be hesitant to commit to a new way to represent your financial actions and the results. You aren’t sure it’s worth the effort, and you might think the financial reports you’re using now are getting the job done. We want to help you understand the ways that an analytical graph is helpful for your company.
Here are a few things to consider:
Creates a Beautiful and Easily Understood Representation of Financial Information
As a business owner, you’ve almost certainly spent countless hours pouring over financial reports. Most of these reports feature dense blocks of text or chunky graphs that leave you struggling to understand the information represented.
While you read through financial reports, you return to certain terms and phrases to ensure that you understand the information presented. Traditional graphs can be equally hard to understand. You’re constantly running your finger over certain points to see where the information intersects.
Your company’s financial strategies and results are complex and produce a lot of data that can be challenging to sift through to determine the overall results. The chances of overlooking certain connections and results are high, and you require a complete picture to make better choices in the future.
With analytical graphics, it’s easier to understand the financial steps you took and the results of those steps. You’ll be able to connect the dots between cause and effect more quickly than with traditional graphs and financial reports. These beautiful graphs provide you with confidence when making future financial decisions.
Provides the Tools to Run a Presentation More Smoothly
Whether you’re being presented with the financial information of your company, or you need to show your financial situation to someone else, an analytical graph or series of graphs can help the presentation run more smoothly. The facts outlined in these graphs are more easily understood.
You’ll find that the use of analytical graphs makes the financial presentation much easier to follow and help you and others engage with the presented information. If you’re running the presentation, you won’t need to worry about going back and forth between graphs to present your findings.
These analytical graphs are more comprehensive and present the information in ways that make it easier to understand the cause and effects of each financial strategy your business enacted. All the information needed is represented in a clear, visual way.
Innovation analytical graphs can minimize the questions following a presentation, which create the potential for further misunderstandings. These graphs help create a comprehensive picture of a small business’s finances and successes.
Impress Potential and Existing Financial Partners
If you have investors in your business, or you need to attract some, analytical graphs can not only highlight the benefits of investing in your company but impress investors with your professionalism. Some common financial partners that you can impress include:
- Board members
- Potential investors
- Stakeholders
- Financial institutions when you seek financing
- And more!
By creating and using analytic graphs, you’re showcasing your understanding of the cause and effects of financial strategies along with a commitment to make smart financial choices, making your business a more attractive investment. The graphs help to impress investors with accurate information in a pleasing format.
You can use an analytic graph to highlight your ability to make financial decisions that pay off in the end. It can help to foster a sense of security with potential investors and reinforce the confidence of your existing stakeholders.
To help impress investors, you can rely on a financial professional to create analytic graphs for you. They might be able to see things in the data that put your company in a better light.
Partner With McNurlin Hancock for Professional Analytical Graphs
As you gain confidence in understanding your business’s finances and ways to represent them, you may want to partner with professionals who can take this chore off your hands. Certified public accountants (CPAs) are the professionals you need on your side.
At McNurlin Hancock, our team of CPAs is always ready to help you make smart financial decisions and represent the results of those decisions, including the use of analytical graphs. Reach out to us today to learn more or schedule a consultation.