We can prepare or supervise the preparation of your financial statements. Compiled and reviewed statements can be provided according to your needs.

More importantly, we can help you use these statements, as well as other reports, to better manage your business and increase your profitability.

Good financial records are necessary for several reasons:

Here are some common business ratios you should monitor on a month-by-month and a year-by-year basis:

•	Current ratio - Current assets divided by current liabilities will measure your ability to pay your current debts.
•	Debt to equity ratio - Total liabilities divided by net worth will provide you with a year-to-year comparison of your ownership in the company.
•	Receivables outstanding - Receivables divided by average day's sales will give you the number of days' sales on the books.
•	Profit margin - Gross profit divided by net sales will allow you to compare your business operations to other companies in your industry, as well as monitor your own operations over time.

Understanding financial statements can increase business profits. If you would like to learn more about using financial statements to make sound business decisions, we would be happy to assist you. No one was born understanding financial information, but it is easier to learn than most people think.

Please ask as many questions as you like; we will help you until you are comfortable with business numbers and can use yours to increase your profitability.