Ratios are the Key Performance Indicators (KPIs) of a company and are divided into four sections: 1. Liquidity Ratios 2. Profitability Ratios 3. Financial Leverage Ratios 4. Efficiency Ratios Liquidity Ratios Working Capital Definition: The amount of capital available...

Get it sooner and you can invest it faster. The decision-making process is always easier if the top leadership is able to review swiftly the financial information of the company. For example, it should be unacceptable to wait weeks just to receive reports about the...

IMPORTANCE
The Compensation Analysis examines the financial burden and contribution of employees in an organization. Many decision makers tend to ignore the compensation analysis and it is to their detriment for long-term success.

IMPORTANCE
Performance Management measures the efficiency of the business and financial systems of a company. It also serves to enlighten possible areas of concern that may be detrimental to the organization’s smooth operation and financial profitability.

We live in a new Era We live in an era where speed and efficiency are the most desirable characteristics. The ability to obtain data, manipulate it, and develop actionable steps based on the information collected determines the secret to achieving these two factors....

IMPORTANCE
Growth Management is the process in place to ensure that the company’s market value increases on a consistent basis.
The following key tenets will ensure growth on a long-term basis:

IMPORTANCE
The financial analysis enables the decision-maker to review the financial information of the company and make the best decisions. It should be unacceptable to manage any operation or project without fully understanding your financial position.

Hope is Not Lost
You may have decided that the only choice you have left is to file bankruptcy, terminate your employees, and lose the business you have worked so hard to build.

IMPORTANCE
Budget Management is the process in place to forecast the required amount to cover operational costs, and prepare for future contingencies. A sound budget system will guarantee the continuous financial stability of a company.

If you have been in business for a considerable amount of time, it is likely that your company will go through a difficult time. These harsh stretches could originate either internally or externally. From the inside, it could be caused by a serious breakdown of...