Financial Performance Review
Why Compare Performance to Previous Years?
It is almost impossible to evaluate how you are doing in a vacuum. Performance is always relative.
In other words, you can only really judge performance by comparing it to:
- Previous months and years, and
- Others in your industry
The aim of this Step is to identify and analyse the underlying trends in your business over the last five years.The key trends that successful businesses focus on include:
- Profit and loss account trends – such as sales, margins, profit drivers, productivity, net profit and the breakeven point
- Balance sheet trends – such as liquidity, debtor days and stock turnover
- Trends in key ratios – such as gearing and return on investment
How We Can Help!
We can carry out a Financial Performance Review for you – and produce a report that:
- Identifies the trends in all your key numbers and ratios over the last 5 years
- Presents the findings as colourful graphs
- Contains a Plain English explanation of what it all means, and
- Does sensitivity analysis to calculate how much more successful and profitable you could be