Income statement

Growing your business – 3 Key Tips

Growing your business – 3 Key Tips

There comes a point when entrepreneurs/founders want to expand and grow their business, be it adding a new service/product, opening a new location or adding staff to grow existing services. I would recommend 3 key tips for businesses to consider before embarking on a growth phase. 1. Planning for growth…

Keeping an eye on the figures – 3 Key Tips

Keeping an eye on the figures – 3 Key Tips

Managing a business isn’t easy and if you don’t know anything about finance, it’s a sure-fire way of running into trouble. The first thing any entrepreneur or manager has to learn is how to understand some basic finances. Once you learn the basics, it is critical to add to your…

Free Cash Flow and why it’s important in your Business

Free Cash Flow and why it’s important in your Business

Free cash flow is a financial indicator that is favoured over ROCE, ROI and other ratios to gauge a company’s health. So it’s important for entrepreneurs to understand how important it is in their business. Free cash flow is how much cash is left in the business after all running…

How to Startup a Business – 5 Practical Tips for Success

How to Startup a Business – 5 Practical Tips for Success

Advice on how to start up a business has been written about almost every day and the advice follows the usual steps. 1. Come up with the business idea 2. Research the market for the product or service 3. Write your business plan along with your forecasts for the numbers…

EBITDA – it’s importance in your Business

EBITDA – it’s importance in your Business

EBITDA is the figure commonly used to measure a company’s value and how well it performs against other businesses. EBITDA stand for earnings before interest, tax, depreciation and amortisation and isn’t usually shown separately in formal financial statements. Usually its earnings before interest but after depreciation that’s shown in the…

5 minute Guide to understanding a Cash Flow Statement

5 minute Guide to understanding a Cash Flow Statement

What is a Cashflow statement? It shows how the business spent the cash it earned during the period and is usually the easiest financial statement to understand. Essentially, it is a reconciliation of how the cash amounts on the Balance Sheet have moved from one period to the other by…