capital

capital

Using Your Financial Statements to Evaluate Capital Budgeting Decisions

Strategic investments — such as expanding a plant, purchasing a major piece of equipment or introducing a new product line — can add long-term value. But management shouldn’t base these decisions on gut instinct. A comprehensive, formal analysis can help minimize the guesswork and maximize your return on capital investment. Forecasting cash flows  Financial forecasts…

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financial forecasting

Forecasting Financial Results for a Start-Up Business

There’s a bright side to today’s unprecedented market conditions: Agile people may discover opportunities to start new business ventures. Start-ups need a comprehensive business plan, including detailed financial forecasting, to drum up capital from investors and lenders. Entrepreneurs may also use forecasting as yardsticks for evaluating and improving performance over time. However, forecasting can be…

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