We have come to the last posting that has covered the 5 financial ratios contained in our FREE Business Health Check designed to give SME businesses and starting point for understanding how their business can do more. As a reminder, Continue reading “How healthy is your business? Part 5 [VIDEO]”
In this fourth posting about the financial ratios that help businesses understand how they can do more, we cover a Debt Service Ratio and what it means. A Debt Service ratio is one of the five ratios contained in our FREE Business Health Check that we provide to SME businesses that are looking for opportunities to improve.
A Debt Service Ratio tells a bank or lender (as well as a business owner) how much cash or income is being used to cover interest payments due on liabilities of the business. The formula Continue reading “How healthy is your business? Part 4 [VIDEO]”
We are in the middle of reviewing 5 financial measurements covered in our FREE Business Health Check that can provide your business with an understanding of what it can be working on to help it do more. In our experience, most SME businesses do not know what these 5 financial ratios mean and how they relate to their business planning. We have covered the Quick Ratio and the Current Ratio with this posting detailing what a Debt Ratio is and what it means.
A Debt Ratio is the comparison of total debt to total assets. In our last posting we Continue reading “How healthy is your business? Part 3 [VIDEO]”
Over the next several blog entries we will be reviewing 5 financial ratios that can provide you insight into your business and how healthy it is. While the target for each of the ratios varies from industry to industry we are hopeful that the information will nevertheless be useful for you in understanding how your business can do more. We also have a FREE Business Health Check that we can complete for your business.
The Quick ratio lets a business know how well it is positioned to Continue reading “How healthy is your business? Part 1 [VIDEO]”