Financial Statement Analysis

How do the stockholders and stakeholders know about your company’s performance? It is with the help of financial statements like Balance Sheet, Income Statement and Cash flow Statement etc. These paint a picture of a business’s transactions that take place all through the year.

Taking this into consideration, IBSN Corporate Services studies your business in detail by assessing your business’s past, present and future financial conditions and comes out with your financial strengths and weaknesses. We do this with the help of financial statements and compare the financial ratios to the past, industry and competitors. We do the most cost effective company and industry analysis by preparing the following financial statements monthly, quarterly, annually:

Balance Sheet: We collect the data with the help of the annual reports, the other business websites about your firm. We shall review all the key items like assets, liabilities and Shareholder’s equity etc and prepare a budgeted balance sheet.

Income Statement: A P&L Statement is prepared to know the efficiency and profitability of your company. We consider all the major items like net sales, cost of sales, gross income, operating income, taxes etc. into consideration and calculate the net income which is a primary determinant of the business’s cash flows.

Cash Flow Statement: For every quarter, a public listed company should disclose the cash flow statement. Based on the previous data and the current period’s transactions, we come up with the cash flows to the stockholders which help them to track your company’s performance. The major determinants like ROE will be presented to the public.

Financial Ratios: The financial ratios helps let you know the financial state of your business, your strengths and weaknesses and also helps to alter the conditions for your future performances. Combined with the current information, we can assess the future performance; predict future valuation, earnings growth and returns. We calculate all the financial ratios, liquidity ratios, profitability analysis ratios, activity analysis ratios, capital structure ratios, capital market ratios etc. which helps to know the financial health of your company and lets you to plan your future investments.

Cash Forecasting

Need for cash forecasting: In whatever business you’re and how profitable it is, you will continue to struggle, if you run out of cash. A good business needs a positive cash flow, i.e. the amount of money coming in each month at least matches the amount of money going out. This needs to be monitored at every phase of business growth. If your business is not doing well, you need to keep a very close eye on your finances. According to a survey, most of the MNCs do not have confidence in their own cash flows and most of them are still using spreadsheets.

IBSN Corporate Services recognizes the areas where you should retain the cash and we will prepare the cash flow forecasts which help you to plan for the future prospects of your business. We provide the forecasting reports:

Cash Flow Analysis: Based on your revenues and disbursements, we model future cash flows which help businesses better understand and manage their future cash flows. We provide all the cash flow forecasting reports like the cash slow from operations, investing and financing activities.

Sales Report: We provide monthly sales forecasts report wrt to the market and your past performance.

Cost and Inventory Report: Our services also include the generation of the cost and inventory reports. We provide the predicted figures up to one year for costs you have undergone and also set inventory targets.

Taxes: We come up with the sales tax rates which can be set for your sales. We define various taxes like VAT and set different tax rates for the capital expenditure. We also specify when to pay all the taxes.