Keeping a small or medium business running isn’t for the faint of heart. Many small businesses face financial challenges that can affect their survival and growth in the long run. However, having a dedicated financial management software can help small businesses save valuable time, money, and resources while improving their financial performance and decision-making.

The challenges faced by finance department in an organization are-

1. Limited or Inconsistent Cash Flow:

Most small to medium businesses struggle with managing their cash flow. From simply invoicing ensuring that you bring in enough to cover monthly expenses to accumulating cash for investment, liquidity is an issue.


Microsoft Dynamics 365 Business Central provides real-time insights into your financials, helping you track cash flow more accurately. With features like cash flow forecasting and budgeting tools, you can better manage incoming and outgoing funds, ensuring a more consistent cash flow.

2. Not Using a Budget:

When businesses don`t have enough budget to allocate, it won`t take long to end up with more debt and financial responsibilities than they can handle.


Business Central enables you to create and monitor budgets easily. You can set up budget templates, allocate funds to different departments or projects, and track actual spending against your budget in real-time, helping you stay on track financially.

3. No Preparation for Unforeseen Expenses:

Unforeseen expenses can derail even the best-laid plans of any small and medium business.


With its robust financial management capabilities, Business Central allows you to set aside reserves for unexpected expenses. Additionally, its predictive analytics features can help identify potential financial risks, allowing you to proactively prepare for unforeseen costs.

4. Not Raising Enough Capital:

A lack of working capital is a problem for companies of any issue, and it can be especially harmful for smaller businesses with fewer resources. A lack of capital can prevent them from hiring, expanding into new markets or exploring opportunities.


Business Central helps you make informed financial decisions by providing comprehensive financial reporting and analysis tools. With clear visibility into your financial health, you can present accurate financial data to investors or lenders, increasing your chances of securing the capital you need.

5. Too Much Debt:

It`s not unusual for business owners to take on debt to launch their businesses. However, these situations can have significant short- and long-term impacts on the company.


By optimizing cash flow, budgeting effectively, and managing expenses efficiently, Business Central can help you reduce reliance on debt financing. Its financial management features empower you to make strategic decisions to minimize debt and improve financial stability.

6. Neglecting Necessary Reporting:

Not reporting financial data or filing inaccurate reports can lead to financial losses and time spent trying to fix problems. Not recording transactions accurately can create a snowball effect which can further hurt monthly cash flow and impact other financial reports.


Business Central automates financial reporting processes, making it easier to generate and distribute accurate reports to stakeholders. You can customize reports based on your specific requirements and ensure compliance with regulatory standards.

7. Poor Tax Compliance:

One of the biggest challenges that businesses face regarding taxes isn’t payment. Infact, it`s the cost of compliance. This burden hits small and medium businesses harder than their larger counterparts.


With built-in tax management capabilities, Business Central helps you stay compliant with tax regulations. It simplifies tax calculations, generates tax reports, and ensures accurate tax filings, reducing the risk of errors and penalties.

8. Not Paying Bills on Time:

Consistent late remittance of payments can cost a small business dearly. Damaged supplier relationships, being cut off from essential services and constantly running behind debt can all have a negative impact on a company’s financial health.


Business Central streamlines accounts payable processes, allowing you to track and manage vendor payments efficiently. With automated payment reminders and scheduled payments, you can avoid late fees and maintain positive relationships with suppliers.

In today’s competitive landscape, investing in a finance management software is not just a choice but a strategic imperative for SMBs looking to thrive in an ever-evolving marketplace.

If you are still looking for a comprehensive solution, we recommend our NC365 Basic Financial Accounting Module.

NC365 Basic Financial Accounting Module is designed keeping the requirements of the small and medium businesses in mind.

Key Features of NC365 Basic Financial Accounting

General Ledger (1 Company)
Accounts Payable
Accounts Receivable (Simple Receivable Entry)
Bank Account Reconciliations (Manual Reconciliation)
Non-Inventory Purchasing and Invoicing Included
Real-Time Integrations to Microsoft Teams, Outlook and Excel
Emailing of Documents from Business Central (Invoices, Order Confirmation, Quotations, Purchase Orders)Standard VAT reports, VAT returns and HMRC IntegrationSystem Audit TrailUser Accounts, Permission Group, Permission Sets
User Posting Control Based on DataUp to 2 Customized ReportsData conversion (Customers, Vendors, open AP, open AR, GL (1 year history), Chart of Accounts)8-Hour Training Support

Microsoft Dynamics 365 Business Central offers comprehensive financial management capabilities that address various challenges faced by businesses, ultimately promoting financial stability, efficiency, and growth.

We are the leading and trusted Microsoft Gold Partner providing comprehensive cloud solutions and services catered to the distinct requirements of the businesses.

With over 12 years of expertise, our certified and experienced Microsoft Business Central professionals offer implementation, customization, training and support services.

By working with us, you choose fully tested and reliable software that is delivered with a complete support team based in the UAE. If you have any further questions about our software, we will be happy to help you.

Consult with Us: Contact – NASCONCEPTION FZCO

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