First off, as per the UAE commercial company law, maintaining the book of accounts is obligatory. Accounting & financial reporting periodically lets the investors assess the financial position of the company, analyse investment opportunities and minimise unnecessary expenses. Besides that, generating financial report helps organisations in:

  • Enhancing the debt management of a company.
  • Managing the liabilities through loan management and credit management.
  • Real-time tracking of the accounts, which facilitates liquidity management. If the businesses are in the know of the available funds, they can devise expansion plans.
  • Determining the trends of past and future which enables them in business forecasting by performing comparative study.
  • Business planning and making sound business decisions as it provides companies accurate information on the availability of capital.
  • Boosting quality of business decisions taken by public and internal management.
  • Maintaining transparency with customers.
  • Maintaining the share prices of the firm and treating all the investors equally.
  • Bringing down the employee iteration rate as it keeps the employees informed about company’s growth potential, thus increasing job security.