PEK Accounting | Consulting

HAVE YOU TAKEN PEK’S BALANCE SHEET STRENGTH ASSESSMENT? The assessment helps you see how your company tracks to developing and maintaining a strong BALANCE SHEET. Ask your management team these questions: 1.     Do your decision-makers review the BALANCE SHEET regularly? 2.     Can they identify the most significant BALANCE SHEET accounts? 3.     Do they understand how the P&L relates to the BALANCE SHEET? Every decision your management team makes impacts your BALANCE SHEET. Understanding those impacts is the key to building BALANCE SHEET strength. MESSAGE PAUL to join a BALANCE SHEET information meeting LIVE or on a ZOOM. Balance Sheet Business Management » PEK Accounting | Consulting

IS YOUR MANAGEMENT TEAM ENGAGED IN BUILDING BALANCE SHEET STRENGTH? With strength, your team can focus on decisions that drive business stability and growth. Building strength requires the management team to establish objectives: ·      Developing decision options to evaluate. ·      Selecting the best option to build BALANCE SHEET strength. ·      Showing strength building capability year over year. BALANCE SHEET strength is achieved by focusing on the objectives. This drives business stability and growth.   MESSAGE PAUL to join a BALANCE SHEET information meeting LIVE or on a ZOOM. Balance Sheet Business Management » PEK Accounting | Consulting

YOUR COMPANY IS IN A COMPETITIVE MARKET! You need a decision-making approach to face challenges and take advantage of opportunities. ·      Make decisions with a clear, defined objective. ·      Evaluate options with defined outcomes. ·      Select the best option to meet the defined objective. The “clear, defined objective” is to increase BALANCE SHEET strength with every decision. Assess your BALANCE SHEET strength by asking these questions: ·      Are we reviewing the BALANCE SHEET monthly? ·      Do we have working knowledge of company assets and liabilities? ·      How can we improve our understanding of the BALANCE SHEET? MESSAGE PAUL to join a BALANCE SHEET information meeting LIVE or on a ZOOM. www.pekaccounting.com

WHEN MAKING BUSINESS DECISIONS, DO YOU FEAR THE UNKNOWN? Will your decision result in a POSITIVE or NEGATIVE financial outcome? Ask yourself, “How does this decision impact my BALANCE SHEET?” When you know how your decision impacts the BALANCE SHEET, you will have the answer. ·      Prepare a list of decision options. ·      Evaluate each option by its impact on the BALANCE SHEET. ·      Make the right BALANCE SHEET decision at the right time. MESSAGE PAUL to join a BALANCE SHEET information meeting LIVE or on a ZOOM. www.pekaccounting.com

WHAT IS BALANCE SHEET BUSINESS MANAGEMENT? BSBM is making decisions that focus on building a financially strong BALANCE SHEET. Strength enables you to overcome challenges and take advantage of opportunities. BSBM decisions impact the three sections of the BALANCE SHEET: 1.     Assets 2.     Liabilities 3.     Equity Use BSBM to take the GUESSWORK out by making the right BALANCE SHEET decision at the right time. MESSAGE PAUL to join a BALANCE SHEET information meeting LIVE or on a ZOOM.  https://lnkd.in/gEPz4hS2

HAVE AN ACTIVITY PLAN TO DETERMINE FINANCING ON A SHORT-TERM BASIS. Financial decisions determine the need for short-term financing to fund revenue-growth opportunities. Short-term loans are CURRENT LIABILITIES because money will be borrowed and then paid off within 12 months. MANAGEMENT’s ACTIVITY is to evaluate the growth opportunity: -         Will the additional revenue be adequate to pay off the loan? -         When will the CASH be available to pay off the loan? Evaluating the revenue opportunity is required for BALANCE SHEET STRENGTH because the financing increases CURRENT LIABILITIES but the increase in CASH ASSETS is deferred. Management evaluation is the key ACTIVITY that works to build BALANCE SHEET STRENGTH by connecting decisions to that objective. MESSAGE PAUL to join a Balance Sheet information meeting LIVE or on a ZOOM. https://lnkd.in/gEPz4hS2

HAVE AN ACTIVITY PLAN TO REVIEW CASH BALANCES WHEN PAYING LIABILITIES. Financial decisions involve using cash to make payments on loan balances. Loan balances are “Long Term Liabilities” that is money borrowed to purchase company assets. A loan gives a longer period to pay for the asset. MANAGEMENT’S ACTIVITY is to review the loan balance: -         What is the loan balance on the payment due date? -         Is cash available to make the required loan payment when due? Making the loan payment on the due date is a good practice for BALANCE SHEET STRENGTH because cash is an ASSET RESERVE and is not reduced earlier than needed. Management evaluation is the key ACTIVITY that works to build BALANCE SHEET STRENGTH by connecting decisions to that objective. Message Paul to join a Balance Sheet information meeting LIVE or on a ZOOM. https://lnkd.in/gaYXweUb

HAVE AN ACTIVITY PLAN TO REVIEW CASH BALANCES WHEN PAYING LIABILITIES. Financial decisions involve using cash to pay down Credit Card balances. Credit Card balances are “Current Liabilities” that hold expense invoices paid with the Credit Card. Using credit gives additional time to pay the expense invoice. MANAGEMENT’S ACTIVITY is to review the Credit Card balance: -         What is the Credit Card balance due date? -         Is cash available to pay the balance when due? Paying Credit Card balances on the due date is a good practice for BALANCE SHEET STRENGTH because cash is an ASSET RESERVE and is not reduced earlier than needed. Management evaluation is the key ACTIVITY that works to build BALANCE SHEET STRENGTH by connecting decisions to that objective. Message Paul to join a Balance Sheet information meeting LIVE or on a ZOOM. https://lnkd.in/g8UY4iyb

HAVE AN ACTIVITY PLAN TO REVIEW CASH BALANCES WHEN PAYING LIABILITIES. Financial decisions involve using cash to pay expense invoices. Expenses are “current liabilities”, and for many companies are vendor invoices with 30-day payment terms. MANAGEMENT’S ACTIVITY is to review the invoices: -         Are the invoices valid company expenses? -         What are the vendor terms for the invoices? -         Is cash available to pay the invoices within terms? Paying vendors according to the terms is a good practice for BALANCE SHEET STRENGTH because cash is an ASSET RESERVE and is not reduced earlier than needed. Management evaluation is the key ACTIVITY that works to build BALANCE SHEET STRENGTH by connecting decisions to that objective. Message Paul to join a Balance Sheet information meeting LIVE or on a ZOOM. https://lnkd.in/gw-nj2pk

HAVE AN ACTIVITY PLAN TO BUILD YOUR COMPANY’S BALANCE SHEET STRENGTH. Every financial decision impacts the Balance Sheet. Where do you see the impact on the Balance Sheet? Financial decisions involve using cash to pay for operating expenses. Examples of operating expenses and the accounts impacted: ·      Renting warehouse space – increases RENT expense. ·      Compensation increases to employees - increases PAYROLL expense. THE ACTIVITY to be performed is for management to evaluate the operating expense: -         Will this operating expense contribute to a revenue increase? -         Will this operating expense contribute to an expense increase? Management needs to assess the impact of either to bottom line net income. An increase in bottom line net income works to build Balance Sheet Strength by increasing the EQUITY section of the Balance Sheet. Management evaluation is the key ACTIVITY that works to build BALANCE SHEET STRENGTH by connecting decisions to that objective. Reach out to Paul and join a Balance Sheet information meeting LIVE or on a ZOOM. https://lnkd.in/gDTQNfs7