Six expert tips to master financial reporting in 2025

It’s January 2025, and with the new year comes fresh opportunities to refine how we work. For many, financial reporting is at the heart of planning and decision-making, but outdated processes and insufficient tools often hold businesses back. 

In this first edition of The Exchange for 2025, we’re diving into expert insights to help you level up your reporting. From tackling startup challenges to mastering KPIs and making trends visual, this is your guide to smarter, more impactful reporting for the year ahead. 

Let's dive in...

1. Simplify reporting for startups 

Early financial reporting often centers on straightforward questions for startups: How much is in the bank? Are we making revenue? How's the product performing? However, things can change dramatically when investors get involved. 

Tyler Caskey, Partner at TheBeanCounters, explains, "As soon as you go to the bank or an investor meeting, the first thing they ask for is a three-way forecast. It's a challenge for every accountant, especially when you're managing VAT, GST, or sales tax across regions." 

Tip: Startups should automate and professionalize their reporting early. Moving away from spreadsheets to integrated tools saves time and takes care of accuracy, creating polished reports that impress investors and help secure funding. 

2. Be patient and adaptable 

Rushing to set up reports often leads to generic, unhelpful outputs. Kate Douglass Partner at Walker Wayland stresses the importance of patience, "Patience and perseverance in the first instance are worth their weight in gold. Take the time upfront to tailor reports to your needs." 

Kate also highlights the need for adaptability, "Planning is priceless, but plans are useless if you refuse to adapt. Revisit and refine your reports as circumstances change." 

Tip: Invest time adequately in setting up reporting systems and revisit them regularly to align with your goals. Flexibility allows your reports to remain relevant and actionable. 

3. Regular reporting prevents surprises 

Inconsistent reporting often leads to unexpected challenges. Tyler Caskey shares how consistent forecasting helped a recruitment business manage rapid growth, "We hired 10 new staff quickly. By looking at the forecast and cash flow, we identified potential issues and adjusted strategy. Businesses that report regularly don't have surprises—they know where they're tracking." 

Tip: Build a habit of checking reports monthly, if not weekly. Predicting expenses in advance prevents surprises and strengthens financial stability, giving decision-makers peace of mind. 

4. Keep it simple and disciplined 

Jennifer Raines, Founder of YRH, emphasizes the value of discipline in reporting, "Set a calendar date to review metrics and stick to it. And remember, metrics should be actionable. If you're not using a KPI, stop measuring it." 

Over time, businesses often add new KPIs without removing outdated ones, creating clutter and confusion. Jennifer advises, "Review your KPIs regularly to ensure they're still relevant. Reporting should tell a clear story, not overwhelm with unnecessary data." 

Tip: Schedule time to review KPIs and simplify reporting. Focus on the metrics that drive decisions and eliminate those that don't add value. 

5. Make trends visual 

Visual trends are far more effective than rows of numbers in spreadsheets. Kat Wellum-Kent, Founder and CEO of Fractional Financer, explains, "Seeing KPI trends visually makes it easier to understand what's happening in a business. Whether it's profitability or leads, visual tools help highlight what's working and what needs attention." 

Tip: Incorporate trend graphs or dashboards into your reporting to highlight patterns and trends. Clients can quickly grasp what's working and where improvements are needed, saving time and supporting decision-making. 

6. Visibility drives better outcomes 

Edward Perry, Financial Consultant, recalls how a lack of reporting left one client struggling: "They weren't tracking project costs or gross profit effectively. By introducing better tracking, they gained the clarity they needed to stay on track and make better decisions." 

Visibility isn't just about identifying problems; it's also about uncovering opportunities. Edd adds, "When businesses understand their financial position in detail, they can confidently pursue growth strategies or cut back where necessary." 

Tip: Help businesses implement project-level tracking and cost reporting to improve visibility. This clarity lets them identify issues early and make informed, strategic decisions. 

Effective reporting isn't about generating endless data; it's about providing actionable insights. Whether you're working with startups or established businesses, the goal is to create clarity, consistency, and adaptability. This year, focus on reporting processes that save time, reduce errors, and empower businesses to grow confidently. 

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Until next time, happy reporting! 

Team Fathom👋