Recent Articles

Shareholder

An individual that has the highest risk of an investment in an incorporated business. The indiviudal exchanges financial investment for some form of stock. The end goal is a greater than normal return on the financial investment.

Mission Statement

04/22/2015

A mission statement is a written document identifying the businesses’ primary reason for existence.  It should convey the core values and the principals of the company.  It should be reviewed with staff frequently to remind everyone of the chief [...]

Shareholder Dynamics in Small Business

04/20/2015

The majority of small businesses are owned by a single individual.  An additional pool is family owned or controlled.  The balance usually involves friends or relatives that are passive in ownership.  These forms of ownership create some [...]

Price to Earnings Ratio – Introduction and Interpretation

01/11/2015

Price to Earnings Ratio (P/E) is an analysis tool used to evaluate publicly traded stock.  It is a simple mathematical formula relating the stock price in the market against the prior 12 months of earnings.  The following is the formula:  Price [...]

Long Term Debt – Explanation and General Understanding

01/06/2015

In the arsenal of capitalizing a business operation, long term debt serves as one of the primary sources of capital.  As an owner of a small business, you need to understand the relationship this source has to the overall financial status of the [...]

Piercing the Corporate Veil

06/01/2013

When shareholders invest into a corporation, there is an expectation of limited losses amounting to the financial investment made.  However, if the company is not properly run, officers, directors and shareholders are exposed to the blade of the [...]