Franchise Study Shows Importance of Good Financial Reporting: Net Operating Income Up 35%, Revenue Up 17%
Summary
A subset of Group 3 was used for comparison against the benchmark, to eliminate the possibility that the locations using quality accounting were doing so because they had the highest revenues.The quality-accounting franchisees also added that, because they had accurate and timely information, they could make quick decisions to take advantage of opportunities as they arose – and they avoided impulse programs that they knew would not drive the right products in the right channels.This study shines light on another huge problem for many businesses, whether they are part of a franchise network or not: a significant percentage of them operate on the fly, with no meaningful financial/operating information on which to base decisions.Good operational accounting and reporting – and using that data to run better at both the unit and enterprise levels – is an extremely powerful management “secret” that is unknown or unappreciated by far too many businesses.The study is reproduced here and summarized with the permission of eProcessPros.About Qvinci Software:Qvinci Software is the creator of Qvinci®, an industry-leading, cloud-based solution that automatically syncs and consolidates an unlimited number of QuickBooks® files and other data, wherever located, in seconds, in an enterprise-class interface that gives the user a vast array of tools to analyze and act on the data, for better decisions and competitive advantage.