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What is Your Real Income

Martinka Consulting

Operating interest (a working capital line of credit). About 15 years ago I started using the term “free cash flow,” which is pretty much the same as what’s above. Not to mention no management reports, no metrics, KPIs, etc. Anticipated capital expenditures. I like the term “real income.” It’s now my go-to term.

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Financial Shenanigans Versus Incompetence

Martinka Consulting

The Wall Street Journal and others recently reported about an accounting expert who had predicted the Madoff Ponzi scheme and recently went after GE for what he said are their deceptive accounting practices (of course, GE responded this person didn’t know what he was talking about).

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Don’t Let the Numbers Get in the Way of a Good Story

Tom Spencer

Data analysis is, of course, a crucial part of consulting. There are, of course, heavily analytical cases which use advanced statistics, or proprietary out-of-the-box methodologies which use statistical analysis in the background, such as A/B testing or optimisation problems. Statistics in consulting (or the lack thereof).

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The Importance of Business Acumen for High Performance

LSA Global

We believe that employees need to better understand the key factors that affect a company’s operations and financial strength to improve decision-making and strategy execution. Take a financial acumen course , do online research, or invest in a textbook on the subject. Operating income. Operating Expenses. Cash flow.

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Growth by Acquisition Isn’t for Everybody

Martinka Consulting

Of course the owner has to be willing to take advantage of the deeper bench by delegating to them. Of course it’s the annoying (bad) customers he was referring to. It proves you have the team that can integrate one operation into another. Of course, most of this is just talk. Psychology – Be part of a winning team.

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Why We Need to Update Financial Reporting for the Digital Era

Harvard Business

This notion, that risk is a desirable feature, can seem like sacrilege to anyone who’s taken an introductory finance course. Business students are taught to value a company based on the discounted amounts of future cash flows or earnings. Analysts increasingly rely on non-GAAP metrics.

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How to Improve Your Finance Skills (Even If You Hate Numbers)

Harvard Business

“The decision-makers will want to see a simple model that shows revenue, costs, overhead, and cash flow,” he says. Of course, there are also myriad books and reference guides on the topic. ” Focus on key metrics. That metric is often expressed in the form of a ratio. Play with numbers.

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