Positive net cash flow shows that the cash generated has come from the business’s operating cash flows and investing activities. Cash flow from financing activities outlines the cash inflows and outflows related to funding your business. Now that we’ve gotten into the nitty-gritty, let’s j...

This confirms that Zig Zag trading is financially healthy and has the capital to buy such things as inventory, pay off debt, or invest into a marketing campaign. NCF only concerns the money that physically moves in and out during the accounting period – it doesn’t include capital in the bank, an...

A firm with a relatively high level of combined leverage is seen as riskier than a firm with less combined leverage because high leverage means more fixed costs to the firm. The Degree of Operating Leverage (DOL) indicates how sensitive a company’s operating income is to changes in sales...

The degree of operating leverage can never be harmful since it is a two-positive numbers ratio, i.e., sales and operating income. Moreover, the negative operating leverage implies that the operating income decreases as the revenue increases, which is inconsistent with the traditional definition of o...

Premier is the most comprehensive construction accounting software on our list, earning the best overall. It is a cloud-based solution that can help you scale your business by having the right data at your fingertips. Its feature-rich platform starts by allowing you to manage multiple companies wher...

Effective bookkeeping services provide a clear picture of where money is coming from and where it is going. This clarity is essential for managing expenses, planning future projects, and ensuring the business can weather the ups and downs of the construction market. With professional bookkeepers, ho...