By Mindy Williams

Take a long look at the patriarch agencies and you'll see the secret to their longevity: great creative working in tandem with sound financial management. It might sound elementary, but the best agency managers have figured out how to balance the energy used to produce outstanding work while operating at a profit. (Either that, or they're just damned lucky.)

As a financial manager for a creative business, you've got a tough job. Not only are you a key player in ensuring the success of the agency, but you have to be certain that the agency's financial processes are working smoothly and that your accounting practices are efficient and accurate.

You already know that Clients & Profits has all the tools you need to manage your accounting. We've collected some of the best accounting practices here to help you fine-tune what you are already doing, add new processes to your toolbox, or put a new spin on old methods.”

The eyes have it

Creatives aren't the only ones who can give something a quick glance and know if it's right. Busy accountants (who isn't?) don't always have time to check everything in detail. So take a minute once a week to look over the agency's financial statements for any irregular amounts. The balances should be reasonable and consistent with your shop's regular numbers. Any inconsistencies should be a red flag for closer inspection.

Always review your work before posting it by printing a proof list. These reports give you a chance to fix any errors before they permanently affect the G/L. "I've made the proofing process mandatory," says Terry Broghner, controller for Barry Rayner. Terry and his staff print proof lists to check entries against the G/L. If the work looks good, they post the transactions. So make a habit of reviewing each batch of work instead of waiting until the end of the week or month. It will be easier to catch -- and correct -- mistakes.

Keeping in balance

If you proof before posting, keeping your G/L in balance should be a cinch. Remember, Clients & Profits updates the G/L as soon as you post entries, so the account balances on financials are always up-to-the-minute accurate. To make sure everything is A-OK, print a trial balance every week (remember, financials can be printed anytime, not just at month end.) The trial balance shows total assets, liabilities, and equity -- which should always add up to zero. This confirms that your books are in balance.

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