Pub. 1 2021 Issue 2

45 MOTIONLESS MOTIVATED What inspires you, inspires us. 406.896.2400 | eidebailly.com BE READY FOR THE ROAD AHEAD What’s next in your journey? Whether it’s optimizing your operations or preparing for a sale or acquisition, our experience can help you map out a path to success. don’t want untrustworthy employees to remain on your staff. Fix Costly Process Issues Your documenting, accounting and reconciliation processes could be inefficient and full of bottlenecks that cost you money. Performing monthly reconciliations and having control over your cash will help you get a better view of your processes and where you might improve efficiency overall. Account for Cash More Accurately Reconciling your cash each month means you will have a truer idea of what you actually have available, which empowers you to make business decisions from the point of financial security and assurance. EIDE BAILLY CAN HELP Cash Management Tips for Dealerships To support effective cash control and reconciliation efforts, you must broaden the scope from just comparing documents each month. Good cash management requires: • Solid internal controls. Proper internal controls are essential to control l ing cash and avoiding risks. They include documented procedures, segregation of duties, approval structures, and activities l ike reconci l iation. • Process improvement activities. Look for process issues that create bottlenecks, causing delays and leading to errors with your reconciliation and cash management processes. • Measure of cash needed. How much cash you need on-hand will fluctuate as your business and demand changes. It’s important to know what you need, what would be dangerously low, and what would be suspiciously high. • Constant training. Keep employees vigilant and up- to-date on good practices, particularly if you update processes or technology. • Supporting technology. Your technology and software may be limiting your capabilities and even costing you money. Consider introducing new technology for more harmonious processes, fewer errors and greater efficiency. You will want to align yourself with a team of advisors with extensive backgrounds in accounting and consulting with dealerships industries. It is imperative for dealer owners to manage monthly reconciliations consistently and stay alert in detecting discrepancies. Dennen Gamradt, CPA, Partner Eide Bailly, LLP 406-896-2452, dgamradt@eidebailly.com