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More than a numbers game – why financial knowledge counts

Whether we like it or not the bottom line measure of any successful business is the profit made from the sales of products or services. It really doesn’t matter how cool your workplace is, how lovely your customers are, or how great the work is if you’re operating in the red rather than the black.

New Zealand has over 470,000 small-to-medium enterprises (SMEs), accounting for 97 per cent of all Kiwi businesses. Sadly though a quarter of those with fewer than 20 employees will not survive the first three years.

Studies conducted by the Ministry for Business, Innovation and Employment show that failure is not due to a shortage of creativity or ideas, but a lack of day-to-day business and financial know-how. Businesses need to have financial capital as well as people capital to achieve the growth needed to survive and thrive.

It’s not just small to medium businesses that require financial savvy-ness though. If you want to advance to a senior level within a large organisation you will need to be financially articulate. To sit at the top table you can’t nod and pretend to understand the financial statements. You need to be able to understand the organisation’s profit margins, sales growth, debt burden, asset values and the like. These are all important areas of financial knowledge that can help you make decisions to make the organisation prosperous.

However, not everyone is born a numbers guru! Finance and accounting aren’t everyone’s core strengths. Thank goodness you can upskill. Whether you need additional accounting skills to round out your knowledge, or you already work in a finance role but want to formalise your skills with a qualification, the New Zealand Diploma in Business (Accounting) is a fantastic option.

This new course will give you a sound understanding of the technical components of accounting. You will learn how to record and process a wide range of financial transactions and apply the correct accounting standards when preparing financial statements and reports.

Studying online with TANZ eCampus means you don’t have to take time off work to get qualified. You can learn all the additional skills you need, qualify with the Diploma, all whilst still earning a salary. Find out all you need to know at https://www.tanzecampus.com/business/new-zealand-diploma-business-accounting-level-5/