Cash Flow Statements Explained: Definition and Examples

Cash Flow Statements Explained: Definition and Examples

What is a cash flow statement? A cash flow statement measures how well a company manages its cash position. In other words: Does the business bring in enough cash to pay its debt obligations and fund its expenses? Even profitable companies may not manage their cash...
Income Statements Explained: Definition and Examples

Income Statements Explained: Definition and Examples

What is an income statement?  One of three financial statements that every company uses to track their financial performance, the income statement shows the amount of sales, expenses, and profit flowing through a business over a period of time. This statement is...
Financial Ratios: How to Calculate and Analyze

Financial Ratios: How to Calculate and Analyze

The raw numbers reported on a company’s financial statements are informative, but to unlock insights, spot trends, and compare against competitors, you have to look at the relationship between those numbers. That’s where financial ratios come in. There are four types...
Shareholders’ Equity: What It Is and How to Calculate It

Shareholders’ Equity: What It Is and How to Calculate It

Shareholders’ equity is found in the capital section of a balance sheet, as selling ownership in the company is a way to raise capital.  What is shareholders’ equity?  Also known as stockholders’ equity or owners’ equity, shareholders’ equity boils down to the total...
Complete Guide to Employee Performance Reviews

Complete Guide to Employee Performance Reviews

Annual performance reviews are challenging for everyone, but they’re also a valuable way to connect with each and every one of your employees. If you’re going into them feeling a bit nervous, chances are the person on the other end of the conversation is feeling the...
Leader vs. Manager: How Are They Different?

Leader vs. Manager: How Are They Different?

On the job, you’ve probably been encouraged to think like a manager. You’ve had to set goals, measure progress, hit deadlines, and employ soft skills to collaborate with others. But, if you’ve had success as a manager, you’ve also probably cultivated another set of...