Most SMEs do not struggle due to a lack of customers. Often, the struggle stems from messy accounting,
missed compliance, and a lack of financial visibility, which slows their growth.

Today’s business environment is fast-evolving with dynamic finance-related regulations. Digital
disruption, global economic uncertainty, and regulatory updates increase the stakes for business leaders
as they struggle to stay compliant and profitable.

Accounting is more than just bookkeeping; it is about future readiness, real-time insights, and strategic
decision-making. Here we explore the top five challenges faced by SMEs and how businesses can
overcome these with the right accounting company and tools:

• Staying Updated on Constantly Changing Rules
  Tax compliance is dynamic with new digital VAT systems, evolving cross-border rules, and changing
  environmental levies. SMEs often struggle to keep pace with changing rules. Common issues include
  missing deductions due to poor recordkeeping, penalties due to late or incorrect filings, and unfamiliarity
  with new deadlines, digital filings, and thresholds.
• Managing Cash Flows During Inflation
  As inflation increases, interest rates rise. Additionally, supply chain volatilities impact cash flows. Many
  SMEs fail to realize that liquidity can be limited even when the business is profitable on paper. Delayed
  receivables, lack of forecasting, dependency on credit, and unclear visibility of expenses are common
  challenges.
• Adopting and Integrating Technology
  Outdated or mismatched systems across accounting, payroll, inventory, and expenses lead to errors and
  inefficiencies. Although cloud-based systems simplify accounting, SMEs often struggle to select and integrate
  appropriate tools. Many rely on disconnected systems or manual entry, increasing the risk of costly
  mistakes. Lack of internal capabilities further adds to the challenge.
• Insufficient Financial Forecasting and Reporting
  Numerous SMEs still depend on traditional spreadsheets or outdated reporting systems that do not display
  real-time performance. Without timely insights, business owners may miss early warning signs, make
  inaccurate decisions, or fall short of compliance and funding requirements.
• Data Security and Fraud Prevention
  In the digital age, financial data is a prime target for cyberattacks. With limited IT infrastructure, SMEs
  are more vulnerable to breaches, which can cause financial loss, reputational damage, and legal liabilities.
  
  How Greenvissage Solves these Challenges

• Implement cloud-based systems with auto-updates aligned to changing laws and rates
• Schedule regular compliance reviews to stay ahead of filing deadlines
• Provide real-time dashboards and reports for accurate decision-making
• Review overheads, pricing, and vendor agreements to optimise cash flows
• Automate routine tasks and integrate a robust finance system into existing workflows
• Develop scenario-based forecasts and track variances between actuals and projections
• Deploy software with multi-level authentication and encryption for enhanced security

SMEs can grow faster when accounting does not slow their progress. If your accounting feels chaotic,
limiting, or slow, it is time to upgrade. Partner with a proactive accounting company that does more
than file your tax returns.

Strengthen your finance function and scale with confidence.
Discover how Greenvissage experts can transform your finances. Contact our team at
info@greenvissage.com or
+91 8237857853.