As a kid, few consequences were more frightening than the threat of having something go on your permanent school record. Any slip-up, large or small, could go on this life-determining record. The prospect of a tainted record was all most of us needed to sit up straight, respect our teachers, Read more…
Determining your company’s creditworthiness can feel like looking into a crystal ball. Although you might know some of the basics, it’s important to understand the 5 C’s of credit and how they make all the difference when you apply for business financing. The 5 C’s determine if your company has Read more…
Technology is transforming the landscape of small business accounting. Empowered by the automation and innovation fueled by artificial intelligence (AI), the cloud and blockchain — now, more than ever, accountants are expanding their roles as business advocates and advisors. It’s a trend backed by a 2016 study by the International Federation Read more…
For some entrepreneurs, putting together your financial statements can seem like busywork. You have a business to run, so can’t your accountant just whip up what you need and send it off wherever it needs to go? Theoretically, sure. But the most forward-looking business owners understand that doing the numbers Read more…
Few financial vital signs are as important as cash flow. Some of the best minds in business (and, surprisingly, hip-hop) have coined cash flow quotes musing about keeping an eye on money coming in and going out of a business. The first modern mention of cash flow dates back to 1863 in Read more…
Peaks and valleys are the norm in business. A big part of whether your company has staying power is whether you can survive those tougher times when your cash inflows plateau. Understanding your cash burn rate is an essential piece of making it through. Once you know your company’s burn Read more…
Business cash flow is vital to the health and longevity of your company. Even if you’ve got a million-dollar idea, it won’t go anywhere without money to sustain it. You also can’t calculate your cash flow with a single number. Instead, you must add together your financing, operational cash flow Read more…
Ideally, as a small business owner, you’ll know a lot about your company’s financials. But no matter how much time you spend deep in the books, there are some cash flow questions that you should absolutely be able to answer. They’re important because they’ll give you a picture of your Read more…
Financial ratios help small business owners who want a fuller picture of their company’s overall financial health. Ratio analysis takes raw financial figures and helps you uncover patterns and problems at a glance by establishing relationships between variables and providing benchmark indicators. Within ForwardAI’s cash flow forecast and analysis, there are Read more…
However, profit’s a deceptive metric for success that often only gives you part of the picture. For example, sales are recorded on a profit and loss statement, regardless of whether the customer has paid for them yet. While profit is simply the difference between what it costs you to produce Read more…