Asharqia Chamber, represented by the Center for the Development of Small and Medium Enterprises, held a workshop entitled "Financial Skills for Entrepreneurs" at its headquarter on Tuesday February 19, 2019.
The workshop witnessed the active participation of interested parties and individuals.
An administrative consultant stressed that the entrepreneur must pay attention to the elements of the firm so that he can achieve profitable financial returns from his project such as the potential of the project, the distinctive product and the winning of potential customers.
The administrative adviser, Abdulbasset al-Sufayani, said that the entrepreneur should apply financial culture through the control of accounting operations, measuring financial performance, decision-making mechanism, linking elements of the business model with indicators and financial performance, and the use of applications for feasibility study.
Al-Sufiani said that finance is reading accounting reports, analyzing them, interpreting them, making use of them in the industry, guiding different decisions and treasury management and various financing processes, planning and future predictions.
He also highlighted a mechanism to facilitate understanding of the work of the accounting department through working with the financial auditor to design the accounting tree for the activity according to the standard accounting practices and practices, classification of the list of proposed accounts of the activity to (creditor / debtor), coding accounts as asset accounts, liability accounts and equity, and coding sub-accounts to two, three or more levels as needed.
He talked about the types of financial analysis between that are including the comparative analysis, which is to compare the company's activity with the company and brother activity, compared to the average industry, compared to the best sector companies.
The trend analysis is all elements of the list similar to previous periods.
The horizontal analysis is the comparison of one element in the list to the same at different periods of time to measure the performance of an element or management of an object.
The vertical analysis is all elements of the list in a given period of time compared to a fixed element (one element) in the same list.
The analysis of financial ratios is the ratios of liquidity, profitability ratios, solvency ratios and efficiency ratios.
