Financial Statements are vital to the operating of your business. After all your financial data is entered, the accountant can create statements based on those figures.
A Financial Statement is a report on the monetary activities of a company, painting a picture of the gains and losses incurred, and giving principals a wide scope of information upon which they can make informed decisions for the business. Balance sheets, along with income statements, are the most basic elements in financial reporting to potential lenders such as banks, or investors, and for vendors who are considering how much credit to grant you.
An income statement allows you to track revenues and expenses so that you can determine the operating performance of your business and identify your income tax liability. A balance sheet gives you a snapshot of your business’ financial condition at a specific moment in time. It allows you quickly get a handle on the financial strength and capabilities of your business. Also to identify and analyze trends, particularly in the area of receivables and payables. For example, if your receivables cycle is lengthening, maybe you should collect these receivables more aggressively. ATS Consulting provides a financial analysis statement to facilitate your business decisions.