Key Financial Condition Steps
{"Image DocumentName": "Key Financial Condition Steps", "Image ImageDescription": "Compute several Key Financial Ratios. Benchmark Key Financial Ratios to Industry. Evaluate Trends over a 3+ year period. Go Beyond Metrics & evaluate stress points: Unpaid Payroll Taxes. Pension Funding. Inadequate Insurance. Note and Disclosures with regards to: Internal Control Issues. Related Party Interests, Organizational Changes, etc. Going concern issues, disputes, claims, litigation. What areas does the contracting center typically evaluate compared with this list? The major evaluation steps include evaluating trends and benchmarking the key ratios to industry. Note that 2 years (or 2 data points) will not identify a trend. You need at least 3 data points to show any kind of trend. When a company is in distress -- taxes, pension and insurance are among the first to go \u2013 so we look at that.", "Image XResolution": "37", "Image YResolution": "37", "Image ResolutionUnit": "Pixels/Centimeter", "Image Software": "SlidePlayer", "Image YCbCrPositioning": "Centered"}