Whether you’re looking for new investors, applying for a government subsidy or taking a business loan you will need to be able to show that your business is viable and will be ongoing.
Any lender or potential investor will want to know that your business has a future, but how do you go about that? You will need to be able to provide reports on your business that show you are going to be able to make the repayments on any loans, and that your business will be a position to deliver on the payouts for your investors.
Before you’ll be able to get any investment in your business, you’ll need to be able to demonstration the following:
- Evidence of a healthy and consistent revenue stream
- Manageable debt that isn’t going to start taking a toll on your profits
- A positive cashflow
- Forecasts showing your expected or potential growth
- A business strategy that covers the next two to five years
To be able to produce these reports you’ll need to keep your business data up to date and accurate, and with all the ways to record and track the business performance there is no reason you can’t have this information at your fingertips.
With today’s cloud accounting software you can easily produce all of the reports you will need, not just for investors but for your own management.
If you have any questions on how to prepare these reports for investors, if you need assistance on clouding, please get in touch with us.
