In small, growing companies, the CEO is usually the founder. The founder is the one who conceived of the business idea, took the risk, and got it going. Founders come from all sorts of backgrounds. They could be engineers or developers who took their innovations to market. Or they could simply be anyone who has […]
business management
Lean Accounting: Should Your Company be Doing It?
What is “Lean Accounting”? It is the dedication to essential accounting purposes, while at the same time spending as little as possible on accounting functions. Its core principles include minimal resource usage, maximizing cash flow, enhanced financial analysis, and rapid reporting. I’ve preached for years that most companies spend way too much on the accounting […]
The Quick Ratio
The Quick Ratio is a variation of the Current Ratio, and is also an indicator of a business’s ability to meet its financial obligations. To learn about the Current Ratio, visit our video library at www. CFOoutsource.com. As discussed in the Current Ratio video, the Current Ratio is a number that is derived by dividing […]
Business Plans
Do you have a business plan? If so, how detailed is it? Does it include forecasts of income and balance sheets? And most importantly, does it include forecasts of cash flow? Does your business plan model allow you to modify important drivers, such as variations in monthly sales levels, variations by product, gross profit percentage […]