Entrepreneurs
Understand your results, margins, and cash so you can manage your business more effectively.
Business finance, explained simply.
Understand
the numbers.
Inform your decisions.
Behind every balance sheet, margin, or cash movement are decisions. Learn to understand their consequences so you can manage your business.
Step-by-step explanations and practical examples, even if you are new to finance.
The Financial Anatomy of Business
Understand. Analyze. Decide.
01 Understand the numbers.02 Analyze the consequences.03 Make the right choices.
Your starting point
Who is this
book for?
An accessible learning path, even if you have no financial background.
Business leaders
Base your decisions on a clear understanding of your company’s results, budgets, and performance indicators.
Business founders
Assess your costs, funding needs, and profitability as you prepare to launch your business.
What you will learn
The financial skills to help your business grow and thrive.
Clear explanations and numerical examples that connect finance with everyday decisions.
Understand what
your accounts tell you.
Read the income statement and balance sheet. Distinguish revenue, margin, profit, and the cash actually available.
See what weakens
your business.
Analyze your costs, margins, and cash. Understand why a profitable business can still run out of money.
Turn numbers
into decisions.
Build your budget, choose your indicators, and measure the funding needed for growth.
An example from the book
$10,000 in profit.
And yet,
not enough cash.
A business can make sales, earn a profit, and still be unable to pay its bills when they fall due. This book helps you understand that gap and see what a single number cannot reveal.
Chapter 1 · Profit and cash do not measure the same thing.
Revenue recognized$120,000
Cost of sales recognized−$54,000
Other expenses recognized−$56,000
Profit for the period$10,000
The business earns a profit. But payment has not yet been collected for all its sales.
Opening cash$38,000
Cash received+$72,000
Payments to suppliers−$70,000
Operating expenses paid−$56,000
Loan principal repaid−$4,000
Closing cash before
additional financing−$20,000
additional financing−$20,000
The timing of cash receipts and payments reveals a funding need.
A journey through 15 chapters
The fundamentals of
financial management.
Progress step by step: understand the mechanisms, analyze your situation, then use the numbers to make decisions.
Open the book
The simplest way
is to start reading.
Explore the first two pages of Chapter 1. Click a page to enlarge it.
Book excerpt · Chapter 1 · Pages 1 and 2
Your next decision starts here.
Understand the numbers. Analyze the consequences. Make the right choices.
A few questions
before you begin.
Do I need to know about finance already?
The book covers the fundamentals and explains each concept step by step. It is aimed particularly at entrepreneurs, students, and beginners.
What format is the book available in?
It is a digital book in PDF format, in English. You can open it with a PDF reader on a computer, tablet, or smartphone.
Does the book include practical material?
The book includes numerical examples and tables.