Remove Assets Remove Cash Flow Remove Operations Remove Sales
article thumbnail

HR Finance 101: A Guide To Finance for HR

AIHR

Labor costs like salaries, benefits, and related taxes make up as much as 70% of total operating costs of a business. A debit is an entry that increases the value of an asset or expense in an account or decreases the value of equity or liability. Examples of assets are investments, tools, equipment, machinery, and patents.

Cash Flow 117
article thumbnail

It’s Time For Leaders To Rethink The Way Their Companies Make Capital Expenditures

Chief Executive

Instead, when a given site or plant makes a capex request, that request is judged only in terms of the anticipated change in cash flow of making—or not making—the investment in isolation. They spend their last dime on their worst assets because that’s where they believe they will get money back the fastest. It’s not fact-based.

Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

Trending Sources

article thumbnail

Registering Your Small Business: Single-Member LLC vs. Multi-Member LLC

Zenefits

For example, Member A may focus on day-to-day operations, while member B will contribute capital and act as a business advisor. If someone attempts to sue your business and you’ve filed as an LLC, they usually can’t come after your personal assets. Is a single-member LLC the same as a sole proprietorship?

article thumbnail

Stop Using The Wrong Inventory Metrics

Chief Executive

It is rooted in two pervasive problems that characterize virtually every company: (1) maximizing sales does not maximize net profits; and (2) maximizing gross margin does not maximize net profit. They generate significant additional profit, cash flow and customer service benefits. Step 2 – Customer-optimized inventory.

Metrics 98
article thumbnail

571 | Second-Generation Transitions in Small Business: The Dos and Don’ts for Founders

Chris LoCutro

It's just a really good basis for you to operate off of, right? You know what, if it's a, we look at an opportunity for, maybe there's something inside of the business that is an asset that we're not needing anymore, we could sell that off. If there's other options like assets or things, great, there's a ton of different ways.

article thumbnail

564 | The CEO’s Quiet Battle: Combating Isolation at the Top

Chris LoCutro

And you're looking at the p&l all the time, you're looking at cash flow all the time, you're looking at sales projections all the time, you're looking at expense reports all the time. So let's say you've got a sales leader, and a marketing leader, and then an operations leader, or a service manager?

article thumbnail

The Best Accounting Platforms for a Growing Business

Zenefits

As your small business continues to scale, cash flow transparency and accounting efficiency become harder to maintain. Poor cash flow visibility. But for medium-sized businesses continuing to expand, or if you deal with complex supply chains, warehouses, sales, and manufacturers, you might need an ERP.