Ratio Analysis for Finance & Operational Business decisions
Ratio analysis is a quantitative method of gaining insight into a company’s liquidity, operational efficiency, and profitability by studying its financial statements such as the balance sheet and income statement. Ratio analysis is a cornerstone of fundamental equity analysis
All Startup founders and business owners, executives must get a basic understanding of finance and accounting to enable themselves to be able to read financial statements, analyze results, and the impact of their business decisions.
This course was recorded during a live class with startup founders who do not have any formal background in accounting and finance. Course contents, speed, and explanations are designed keeping in mind those users, hence other users may find it slow and sometimes repetitive. I repeated few things just to make my audience understand and absorb concepts.
This Class is a Second day of five day series topics discussion in the course includes
Analyzing financial numbers for making business decisions
A. Analyzing Financial Statements in Details.
B. Ratio Analysis
a. Why Ratio – Usefulness and Limitations
b. Profitability Ratio
c. Liquidity Ratios
d. Working Capital
e. Asset Utilization
f. Return Ratios
g. Special Purpose
C. How to use Ratio analysis to understand ground reality in operations.
D. How operational decisions affect financial results.
E. Working Capital Management
F. Pricing Decisions
G. Capital Expenditure planning decisions
H. Using Financial Analytics Metrics for KPI management
I. Using financial numbers together with operational metrics
Please let me know if you feel any topic is missed.
What you’ll learn
- Ratio Analysis
- How operational decisions affect ratio
- how different business models affect ratios
- how to interpret various ratios to understand business performance
Are there any course requirements or prerequisites?
- My previous course on Fundamentals of Accounting for Small Business and Startups
Who this course is for:
- Startup Founder and Co Founders
- Business Operation Executives