During this time of year, when companies are rushing to close their books and give their accountants what they need to generate their year-end financial statements and tax reporting, I am reminded of the song, Get It Right the First Time  by Billy Joel.

It is true that financial statements look back while business owners look forward, but those financial statements tell a crucial story to the owner’s stakeholders, including their bank, investors, their board of directors, and others with an interest in knowing how the company has performed.  Financial statements are also the gauge by which potential buyers measure the company and derive its value or at least the value that they are willing to offer to purchase the company. Please click on the PDF to continue reading.