The financial statements that you must understand in your business

[Good-Person]

Financial statements are a big part of financial accounting in business. This is why they are so important in any kind of business. They are used to keep and manage records of various different things.

 

[tyrim88]

Financial statements and records at very important in running a business and every entrepreneur must understand or employ those who understand them.

Every organisation that is desirious of constant growth and good turnover,should be able to balance his financial ooks and keep his record up to date,because that is what will show if the firm is healthy.

 

[GIFTMICHAEL]

You have really pointed out one of the most important thing that must be made compulsory in a progressing business organization. If I have to start up a business in the future, accounting must be made the most important aspect of the business.

 

[Shigobad2020]

You have really pointed out one of the most important thing that must be made compulsory in a progressing business organization. If I have to start up a business in the future, accounting must be made the most important aspect of the business.

If you want your business to be succesful and not have problems when doing business , accounting is very important in your business to know where your business is headed .

 

[Mighty]

Well the truth is that Indeed I think it is important to have a proper financial statement and also the ability to read and interpret. Another thing is to keep a detailed log of all the transactions, income and expenses accrued over the working days.

 

[Agbalagbaa]

There is a lot of things you have to know before you can start up a business, the first thing is don't spend more than what you can earn, you need to develop this attitude.

 

[Good-Person]

If you want your business to be succesful and not have problems when doing business , accounting is very important in your business to know where your business is headed .

I think that each and every kind of business has its own financial statements and other kind of financial system that they are supposed to follow as each and every business is different.

 

[Immilash]

Well the truth is that Indeed I think it is important to have a proper financial statement and also the ability to read and interpret. Another thing is to keep a detailed log of all the transactions, income and expenses accrued over the working days.

That's completely true, if you want to be financially independent you need to have source of income to take good care of your needs, this the best way to be financially free.

 

[nana kwasi]

You won't be able to tell if your business is expanding or contracting without an honest and dependable person preparing accurate financial statements. Knowing your financial situation is necessary to move forward when the business is failing, which is the majority of the time.

 

[Immilash]

You won't be able to tell if your business is expanding or contracting without an honest and dependable person preparing accurate financial statements. Knowing your financial situation is necessary to move forward when the business is failing, which is the majority of the time.

It only takes hard work before you can get to the top, a little of people don't really get this right,you need to take good sacrifice before you can get the best results you want.

 

[frederick_9]

Financial statements are written records that convey the business activities and the financial performance of a company. Financial statements are often audited by government agencies, accountants, firms, etc. to ensure accuracy and for tax, financing, or investing purposes.

 

[Sincerem]

Thanks for sharing , accounting in business is very important because it is with the help of accounting that business management will understand how cash are being spent. It is also how you will get to know when your business is not generating the required profit.

 

[Shigobad2020]

You won't be able to tell if your business is expanding or contracting without an honest and dependable person preparing accurate financial statements. Knowing your financial situation is necessary to move forward when the business is failing, which is the majority of the time.

Sometimes , even without writing any financial statement , you as the owner of the business must know If your business is moving or going backward , but you really need a written financial statement to be able to confirm .

 

[Setho]

In most cases, finances are almost a direct reflection of what your business is going through or what is to come. Everybody should be able to understand if their business is in profit or loss at the minimum.

 

[Joe]

Every business organization uses bookkeeping to support its structure, expansion, and development. Proper bookkeeping is a crucial component that helps determine and forecast a company's long-term growth. by maintaining a record of its revenue and expenses

 

[nana kwasi]

Financial statements are a big part of financial accounting in business. This is why they are so important in any kind of business. They are used to keep and manage records of various different things.

 

[Planbizzle]

Generally when someone ventures into a business, one of the most important tasks is the bookkeeper or the accountant that manages and records the finance of the business. If you do not have the necessary skills to take on this task by yourself then you can revert it to another person that your employee, who is experienced and can handle such tasks as well.

Either way, whether you are handling it yourself or giving it to someone else to manage, you have to be able to understand some of the basic financial statement to ensure that you stay up to date with how your business is progressing. The three financial statements that I believe that you need to be versed in are:
1. The balance sheet - this shows yoru assets and liabilities of the business and ensures that there are no discrepancies
2. The income statement showing the expenses and the income of the business
3. The cash flow projection to show how cash is coming into and being spent from the business and may include future predictions as well.

Are there are other financial statements or requirements that you feel that an owner should be well versed in?

The balance sheet depicts a company's current financial condition, including assets, liabilities, and equity. It indicates the company's financial condition and its capacity to fulfill its fiscal responsibilities.

 

[Heatman]

Without someone loyal and honest doing a proper financial statement in any business, you won't know when you're growing or falling. And most times the business is failing, you need to know your financial standings to forge ahead.

This is actually why a lot of people go to extra mile when it comes to hiring their business accountant because they know how important such role is when it comes to their business growth as it involves running the money in the business.

 

[Jonaville]

Without a proper financial statement in any business, you won't know when you're growing or falling.
Stewardship are more like devils disguised as angels and it is the financial keeps that will help you tail some of the extortion they bring along with them. So proper recording is needed in a business so as to track where it started going wrong.

And this is why I always say that a business owner cannot do everything alone because there are times that I need to employ people that will make the financial statements for the company