Financial literacy for entrepreneurs

The painThe entrepreneur looks at accounting reports but does not get answers to financial questions from them: where the money is, what the profit is, and what it is based on.

• Finance: concept and essence
• The relationship between financial and accounting reporting
• The difference between financial and accounting reporting
• Types and forms of financial reporting
• Data for financial reporting
• The role of accounting in preparing financial statements (extended analytical data)

The resultThe participant understands the essence of finance, the difference between financial and accounting reporting, its types and forms, and the role of accounting in its preparation.

The painThe statement of income and expenses is compiled slowly and manually, and the owner does not see in it a real picture for management decisions.

• How to speed up the preparation of financial statements (actuals from the Profit and Loss Statement form, using 1C analytics and accounting data)
• Additional tables for preparing the AKhD (analysis of economic activity), their role and purpose
• Using the potential of accounting software (through the structure of reference catalogs and the required subaccounts (subconto))
• The role of financial reports in making management decisions

The resultThe participant understands how to quickly generate the statement of income and expenses from 1C data and use it together with AKhD (analysis of economic activity) tables for management decisions.

The painThe owner knows about the AKhD (analysis of economic activity) and the balance sheet in theory but cannot prepare them in practice or read their data for decision-making.

• Work on preparing the AKhD (analysis of economic activity)
• The technique of preparing the AKhD and additional supporting tables
• The balance sheet (its purpose and the use of its data in management decisions)

The resultThe participant prepares the AKhD with supporting tables in practice and understands the purpose of the balance sheet and the application of its data in management.

The painThe business operates without a budget: plans are not quantified, and the owner does not see where the actuals diverge from the plan and why.

• The technique of preparing a budget (monthly, quarterly, annually)
• Additional and supporting tables used for preparing the budget
• A comparative report of AKhD (actual) versus budget (plan)

The resultThe participant masters the technique of preparing a budget for a month, quarter, and year and can compare actuals (AKhD) with the plan (budget).

The painMoney in the accounts runs out unexpectedly: the owner does not maintain a cash flow statement and does not understand the causes of cash gaps.

• Cash flow statement, monthly and daily (CASH FLOW)
• Cash gaps, their causes and solutions
• Review of the homework assignment

The resultThe participant can maintain a daily and monthly cash flow statement (CASH FLOW), sees the causes of cash gaps, and knows how to resolve them.