The founder of a new business is often not be a financial expert who understands all of the financial formulas necessary to manage all areas of running a business. Both startups and businesses that ...

Profits may look good, but it's cash that pays the bills. As a small business owner, do you track the liquidity ratios of your business? You should be calculating these ratios on at least a weekly ...

Financial ratios are calculations that compare two (or more) pieces of financial data that are normally found in a company's financial statements. Ratios can be invaluable to investors making ...

Evaluating stocks to buy and sell can be a tricky business, even with all of the data available at your fingertips. There are dozens of ratios and metrics that give clues to the financial health of a ...

Thomas J. Brock is a CFA and CPA with more than 20 years of experience in various areas including investing, insurance portfolio management, finance and accounting, personal investment and financial ...

The defensive interval ratio (DIR) is a financial metric that can help investors assess a company's ability to meet its short-term operating expenses using its liquid assets. Also known as the basic ...

Opinions expressed by Entrepreneur contributors are their own. Everything in business is relative. The numbers for your profits, sales, and net worth need to be compared with other components of your ...

A hedge ratio is a financial metric investors use to measure the level of risk exposure covered by a hedge. This ratio plays a role in managing potential losses by indicating the proportion of a ...

If you’re a business owner looking for a loan, your lender will be looking for your solvency ratio. Of course, if you have a startup and are new to running a business, you may not know what a solvency ...

Jason Fernando is a professional investor and writer who enjoys tackling and communicating complex business and financial problems. David Kindness is a Certified Public Accountant (CPA) and an expert ...

The current ratio is calculated by dividing a company’s current assets by its current liabilities. Ratios of 1 or higher indicate short-term solvency. Because the current ratio compares short-term ...

Opinions expressed by Entrepreneur contributors are their own. Being an entrepreneur for more than 30 years has taught me how important it is to track data about my business. But, I didn’t always take ...