Introduction

A management dashboard is one of the most powerful tools a Quebec SME can implement to drive its performance. It allows for quick visualization of sales, profitability, cash flow, expenses, and operational indicators. Yet, many businesses still operate "on instinct," without regularly monitoring their key figures. This guide explains how to create an effective dashboard, the indicators to include, and how a CPA near you in Montreal can help you transform your data into strategic decisions.

Legal and Regulatory Framework

Although a dashboard is not a legal requirement, the Income Tax Act and the Quebec Tax Act require businesses to:
• Maintain complete bookkeeping
• Produce accurate financial statements
• Track their revenues, expenses, and sales taxes
• Analyze their results to make sound decisions
A dashboard facilitates compliance by allowing continuous monitoring of the financial indicators used during audits (GST/QST, gross margin, cash flow, inventory, salaries).

Important Judicial Decisions

Several decisions have shown that the absence of financial tracking:
• Leads to errors in GST/QST
• Causes discrepancies between bank deposits and reported income
• Inflates or underestimates expenses
• Results in adjustments for poor management of accounts receivable or payable
Judges remind that managers must demonstrate prudent and documented management; a dashboard is a key tool to meet this requirement.

Why the CRA and Revenu Québec Are Interested in Dashboards

The tax authorities examine businesses that:
• Have irregular sales fluctuations
• Present incoherent margins
• Do not have monthly reconciliations
• Have fluctuating expenses without justification
• Display significant discrepancies in accounts receivable or payable
An effective dashboard helps identify these anomalies before they become a tax risk.

The Key Figures to Monitor in a Management Dashboard

1. Monthly Revenues and Trends

The dashboard should display:
• Sales by month
• Changes compared to the previous year
• Sources of revenue (online, in-store, projects, services)
• Seasonality

This enables the detection of declines or growth opportunities.

2. Gross Margin

Tracking gross margin helps understand actual profitability. A drop can signal:
• A rise in supplier costs
• Pricing errors
• Poor inventory management
• Losses or theft

3. Cash Flow

An effective dashboard includes:
• Cash balance
• Expected inflows and outflows
• Monthly net cash flow
• Cash forecast for 3 to 6 months

For an SME, cash flow is often more critical than profit.

4. Accounts Receivable and Payment Terms

Essential indicators:
• Total amount owed
• Age of accounts (30-60-90+ days)
• At-risk clients
• Average collection times

Poor monitoring of accounts receivable is one of the main causes of financial difficulties.

5. Operating Expenses

Expenses should be broken down by categories:
• Salaries
• Rent
• Marketing
• Supplies
• Software
• Travel expenses
An unexpected increase can signal a problem or irregularity.

6. Sector Performance Indicators (KPIs)

Depending on your industry:
• Customer Acquisition Cost (CAC)
• Retention Rate
• Inventory Turnover
• Cost per project
• Occupancy Rate (retail, restaurant)
• Productivity per employee

These indicators complement financial analysis.

Mackisen Strategy

At Mackisen CPA Montreal, we help SMEs to:
• Design a personalized dashboard
• Integrate accounting, banking, e-commerce, and POS data
• Automate weekly or monthly reports
• Monitor margins and cash flow in real time
• Detect anomalies before tax audits
• Improve overall performance with clear analyses

We transform your accounting into a strategic management tool.

Real Client Experience

A Montreal merchant had unexplained sales fluctuations. Our dashboard revealed recording errors and discrepancies in inventory. After correction, their gross margin increased by 14%.
A service provider had cash flow problems despite good income. The dashboard identified excessive payment delays; a collection policy improved their liquidity the following month.

Frequently Asked Questions

What tool should I use to create a dashboard?

Excel, Google Data Studio, QuickBooks, Power BI, Zoho, or integrated POS/e-commerce dashboards.

How often should I check my dashboard?

Every week for sales and cash flow, every month for margins and expenses.

Can the dashboard be automated?

Yes, most data can be automatically updated.

Is it useful for avoiding tax audits?

Yes. A dashboard quickly identifies anomalies in sales, taxes, and deposits.

Why Mackisen

With over 35 years of combined experience, Mackisen CPA Montreal helps SMEs establish effective dashboards to monitor their key figures and make informed decisions. We offer precision, clarity, and a strategic financial vision.