Archive for the ‘Financial Analysis’ Category

How to handle cash

One way to reduce the financial risk is by improving cash management.

Assessment of cash management in companies is an issue of great importance since it is considered as one of the most volatile assets that organizations have.

When we talk about cash management assessment first thing you think is on the money you have in the case of the business or bank account.

With regard to bank management, there should be a decision about the institution where the deposit money and our trust.

Among the considerations that must be found:

* The choice should take into account the credit available to the bank today and as their relationship to maturity and the assets you have. Read the rest of this entry »

Turn your financial management in business success

Financial management is inextricably linked to corporate management, since all business activity is a reflection of their performance in the network of exchanges involving the corporate dynamics. Hence the importance that employers take responsible decisions and enable their organizations to operate profitably.

From the selection of products and services, purchasing, inventory, financing and pricing and discounts to the markets where it competes, human resources, technologies, installed equipment and planning, all due to the financial management and makes it the center of the process, as well as an evaluation space to know what investments to make and how to get the capital to afford them.

Each of these decisions is to some extent a correct or incorrect performance positively or negatively impact the economic value of the company, while the difference between successful companies and those that are overshadowed the achievement of its objectives by err in their choices.

At this point deserves recognition then that financial management is integrated into one of the functional areas of management, and therefore present in any organization, in order to carry out analysis, decisions and actions related to provide financial resource management. Read the rest of this entry »

The advantages of a system of quality costs

Referring to the cost of quality, we can say that it is a powerful tool that will identify the expenditures that occur on the quality of production processes.

Knowing the cost of quality will allow for improvements in the quality / price through corrective actions to implement the organization.

The goal of a quality system is to facilitate the actions that are made for costs associated with improving the quality of the products.

With regard to the advantages of a quality system can be mentioned: Read the rest of this entry »

Financial audits and Internal Revenue Service

A financial audit is a review of the financial statements of a person or institution to determine its accuracy and legality. In the United States, the word “audit” colloquially refers to an audit by the Internal Revenue Service (IRS).

Taxpayers often do everything possible to avoid being subject to such audits, but a financial audit in the business world is a normal process in the course of the year for trade and economic operations.

Businesses, churches, and governments are among the institutions that are subject to financial audits annually. In a typical financial audit, a certified public accountant, reviewed and examined the records of the accounting procedures of the institution. This is important, especially for publicly traded companies as it establishes the credibility of the company’s financial position. Read the rest of this entry »

What is a financial analysis and economic analysis?

What is a financial analysis? And an economic analysis? Is it the same? The purpose of a financial study is to determine availability of cash has a company, whereas if the focus is the economy that is being done to investigate the results. That said, to understand the ability to generate liquidity of a company must ask two questions: Is it solid? Is it solvent?

To answer the first question we look at its balance sheet. And above all, we get it right. This is composed of two major items that are assets and liabilities. On the assets are all assets and rights that the company has and will someday become cash. These are ordered from least to most liquid, ie, des the most money quickly become the least. By contrast, the liabilities include all the resources the company has used to acquire those assets, in other words, sources of funding. Read the rest of this entry »

What is SWOT analysis?

We will explain below the importance of a SWOT analysis before making decisions in our society. What we will do in two parts, taking into account the importance of the issue and the interest that our readers, this type of information, which is intended only to support and entertainment as appropriate in each case.

What is SWOT analysis?

The simplest method to decide what to do below is the SWOT analysis. We will be of great utility to detect how we should act against threats, taking into account our strengths and weaknesses.

Purpose of the SWOT analysis:

The reason SWOT analysis is performed, it is important keys that gives us this, on our society. Firm foundation for quepodamos find a way to bring about the critical factors that the company has, in addition to difficult to detect their strategic factors to be taken into account, and help change them, focusing on our strengths, reduce our weaknesses, benefiting from the advantages and reducing threats.

We must remember that is based on two factors: internal analysis of the organization ( strategy, processes, leadership, resources / alliances) and external analysis of the organization ( market, sector and competition)

We will continue this week, detailing both, of the SWOT analysis, we must master to perfection, if we who take the important decisions, and we have who we do it.