FINANCIAL STATEMENTS & TAXES
Financial statements are numbers that convey business activities and performance. Your financial statement tells a lot about the health of your business and a determinant for future expansion and position of the business. Knowing where your business financial position stands is vital for maximizing your financial performances, making informed decisions and investments.
RACCWEALTH assist in balancing records, proper accounting entries, preparation of balance sheet, income statement, and guide to different investments.
RACCWEALTH Business Consultants train staff for proper accounting procedures allowing for a better record of transactions, timely effective reports generation, investment decision, and company’s health.
A Brief Overview
Investors and financial analysts rely on financial data to analyze the performance of a company and make predictions about its future direction. Financial statements are used by investors, market analysts, and creditors to evaluate a company's financial health. The Balance sheet in a nutshell provides an overview of a company's assets, liabilities, and stockholders' equity as a snapshot at a particular date.
Assets=(Liabilities Owner’s Equity)
Commonly referred to as profit and loss statement, (P&L) primarily focuses on a company’s revenues and expenses during a particular period. The statement provides a profit or loss figure called net income/net loss after subtracting revenues and expenses.
The Cash Flow Statement
The cash flow statement (CFS) measures how well a company generates cash to pay off its debt, fund operating expenses, and investments. The Cash Flow Statement allows investors to generate a visual picture of how well a company's operations are running, where the money is coming from, and how each dime is being spent. The Cash Flow Statement provides an insight of the company solid financial footing.
The operating activities include any sources and uses of cash from running the business and selling its products/services.
Investing activities include any sources of cash from a company's investments for future of the company and long term growth
Cash from financing activities include the sources of cash from investors or banks, or cash paid to shareholders.