While the Income Statement is excellent for seeing at a glance whether or not your business is profitable, a deeper analysis can reveal so much more, like how different business units or products are performing, or whether your seasonal business should be a full-year b...

If you've ever heard the phrase, "What's the bottom line?", then you know what an Income Statement is. The "bottom-line" everyone is referring to is the last number at the very bottom of the statement under the last (or "bottom") line called Net Income (also know as Ne...

Cash flow is the lifeblood of any business. While many small business owners are concentrating on the bottom line (Net Income), few are paying close enough attention to cash flow, and that can have dire consequences for running a small business.

For example, Marc owns a...

The Cash Flow statement is one of the essential financial statements for small-business owners to understand, yet a surprising number of them don't review it with their bookkeeper or accountant. In this article, I will explain what the cash flow statement is, why it's...

Understanding the two major types of accounting is a major milestone in more clearly understanding your financial statements.