This guide explains what horizontal analysis is, why it is used, and it further highlights the benefits of horizontal analysis. Horizontal analysis is important for entrepreneurs and finance professionals trying to understand a company’s performance over a period of time.
This guide explains what vertical analysis is, why it’s important, and it goes into detail about the percentages and ratios that result from doing vertical analysis.
This guide explains what preferred stock is and is designed to give you a better understanding of this type of equity investment. This guide also looks at the different classifications of preferred stock.
This guide explains what common stock is and is designed to give you a better understanding of this type of equity investment. This guide also looks at the different classifications of common stock.
This guide explains what equity financing is, how it works, and it goes into detail about the different types of equity financing available. To understand more about raising money with debt vs equity, we recommend: Capital Stack Quick Guide, as a companion to this guide.
This guide explains what interest coverage is and why it’s important. We also cover how interest coverage is calculated and how lenders use ratios to gain insight into a business’ ability to repay debt.
This guide explains how term loans are structured and explains how amortization works. That guide explains what term loans are and how they work, this guide goes into depth about how these loans are actually structured and amortized as well as what these terms mean.
