Stock on the shelf.
Cash still needed.
For Dural businesses carrying inventory or managing supplier accounts, profit is only part of the story. Connect your records to the cash the operation needs.
Target Advisory provides tax and accounting support for Dural owners whose books need to explain more than the bank balance. We can scope annual accounts, business returns and BAS alongside inventory-related reconciliations and reporting.
A simple trading example: where did the cash go?
Illustration only, not a client result. Assume a business starts with $20,000 cash. During the period it receives $15,000 from customers, pays $12,000 to replenish stock and pays $8,000 in other operating commitments.
| Opening cash | $20,000 |
|---|---|
| Customer receipts | +$15,000 |
| Stock payments | −$12,000 |
| Other payments | −$8,000 |
| Closing cash | $15,000 |
Cash fell by $5,000. These movements do not establish the accounting profit: some stock may remain unsold, some sales may be unpaid, and the timing of expenses may differ. The next questions concern what the business holds, what customers owe and which bills are still coming.
Three reconciliations that make the picture more useful.
Stock: explain quantity and value
Identify the inventory system, count records, purchase information and adjustments available. Differences between operational stock records and the general ledger need explanation before the balance can support useful accounts.
Customers: explain what will be collected
Review unpaid invoices, credit notes and disputed amounts. A list of outstanding invoices is more useful when someone owns the follow-up and the expected receipt dates are realistic.
Suppliers: explain what must be paid
Bring purchase records and supplier statements together with bills recorded in the accounting file. Note significant commitments that have not yet become a bill, particularly planned stock orders or equipment purchases.
What an agreed review can deliver
Depending on the engagement, we can prepare a reconciliation query list, review selected balance-sheet accounts and help develop a cash forecast. The proposal specifies which balances, periods and reports are covered.
Inventory preparation can involve additional work beyond a straightforward service-business plan. We assess the systems and record quality before quoting; a published monthly starting fee is not a promise to rebuild an inventory ledger at no extra cost.
Choose the right depth of support.
Can you work with our existing inventory software?
We first review the reports and reconciliation process it provides. An integration project, physical stocktake or historical reconstruction is not assumed to be included in routine accounting.
What about buying a business with stock included?
That is a separate transaction question. Our financial due diligence service can examine agreed financial risks and evidence; it does not automatically establish the physical condition or realisable value of every stock item.
Can the annual tax work be included?
Yes. We identify the financial statements, business returns and BAS periods to be prepared, together with the reconciliations required to support them.
Show us the report you find hardest to trust.
Dural clients can meet Vishal Bishnoi, CA, online. In-person meetings are at our North Sydney office by arrangement. Bring the stock or cash question you want answered, and explore why profit and cash can diverge.