Business is a Numbers Game
You have to know your numbers: Fixed Expenses, Variable Expenses, Profit Margin, Accounts Payable, Accounts Receivable, Break Even Point… and understanding those terms and what they mean to your business is critical.
Businesses run on Cash Flow. You need to have cash on hand or the liquidity to make good decisions and take advantage of opportunities as they arise.
There are 5 reports that every business owner should review on a consistent basis:
- Profit and Loss Statement
- Balance Sheet
- Accounts Payable
- Accounts Receivable
- Cash On Hand
Do you know how much cash you have? Do you know how much cash you need to run your business? Do you know what your business is worth?