In this series, we are exploring the discipline of Accounting. As entrepreneurs, we don’t want to be allergic to its technicalities. Instead, we want to truly understand it in the most practical and simple way, so we can take advantage of it in our own businesses.
Business Vital Signs: Practical Accounting for Business Owners
As our business operates, it can either increase, stagnate, or worse, decrease in value leading to eventual bankruptcy.
Every little process our business undertakes affects our business outcome; some on a small and temporary scale, while others, in subtle ways, initially, albeit continuously, resulting to more aggravating effects in the future.
That is why it is very important to know our business vital signs as frequently as possible.
As business owners, we do not need to know our entire business numbers every single time. By knowing just the vital signs, we can make the appropriate decisions.
In this book, we will explore our business vital signs through practical accounting. We are taking a concise and practical approach, because at the end of the day, we, as owners, want our time better spent on strategizing for our business.