An analysis of the balance sheet

balance sheet analysis helps identify errors in the conduct of financial affairs.And the identification of weaknesses does that explain some of the difficulties of the company, the crisis, and to eliminate them and thereby increase profits.As practice shows, it does it extremely useful.

Why analyze the balance sheet of the enterprise?The fact that the balance sheet - it's just a statement of assets, liabilities and equity of the enterprise.For the man in the street - it's just a set of numbers, but an experienced person, viewing the balance will be able to say whether the company will come out of the crisis, whether it can survive during inflation and whether it is successful in its field.

way, important is the analysis of balance sheet liquidity.In this case, liquidity shows whether the company copes with its direct obligations, that is, repayment of loan liabilities.Agree, for any leader, this information is extremely important.Calculated and visible liquidity through a table.In the first column we enter the standard indicators, the second, third and fourth - indicators that turned you as a result of calculations.So you can see your firm cope with difficulties or not.

There are several types of analysis of this kind.The most common of them - is the analysis without changing the articles adjusted for inflation analysis.Popular and analytical analysis of the balance sheet, with which you can see how the company is developing dynamically.By the way, any analysis is very useful if you want to visualize the results of your business.

The most common analysis of the balance sheet is held at the end or beginning of the year: summarizes the annual figures, it turns out, the firm has moved, or vice versa, has handed over their positions.

findings may contribute to improving the work of the enterprise reform and problem solving.Because of the visibility of this method of diagnosis, weaknesses can be seen, at a glance, and it helps to quickly eliminate them.

The simplest analysis of this table consists of 15 rows and 4 columns.The first line of the first column is blank, the second write - "Active", the third is called - "Cash and investments."Fourth of receivables 5 - is often inventory and costs, and 6 line usually marked - "Total current assets".7 line - "Non-current assets" and the 8 - "property" and "Total".In the 9th line are already "Liabilities", 10 - "Loans" in line 11 - "Short-term loans", 12 - "Total short-term loans", 13 - "Long-term all", 14 left to write -"Equity," and 15 - "The result in liabilities."The second column assumes that you know how to use symbols.So it called 1 line 2 column.2 line is empty, a 3-write - DS 4 RS, 5 - PO, 6 - OA, 7 string put - BA, 8 respectively NEA, 9 line is blank, 10 write designation - short circuit, then11 - KK 12 - CO, and 13 - to.It is necessary to fill in the 14 - SC, and 15, respectively - CRS.The third and 4 columns is called - "At the beginning of the year" and "year-end", respectively.Cap table analysis of the balance sheet is prepared.It remains only to fill it with all the necessary data on the articles, and it is not hard to do.

Using this data table, you can analyze all the milestones of your business.One condition: the information must be as accurate as possible.In accordance with the data made some conclusions about how the company is promising, and how consistently and clearly it worked.But most importantly, that the authorities are interested in - it's profit margin.And it also can be calculated thanks to this table.By the way, in order to carry out a report at a meeting of leadership is best to create a chart on the table, or graphics - the visibility is always held in high esteem.