Changes to Alberta's Employment Standards Code
Take a Bite out of Hunger
by James Nakashima, CPA, CA, CBV
The medical profession runs near and dear to me: my two sisters are both medical doctors, and my sister-in-law is a registered nurse. After hearing many stories about how healthcare works, I can see a lot of parallels between healthcare and how we advise our clients.
When you go to the doctor for a physical, what do they do? They take your weight, your height, blood pressure, heart rate, listen to your heart and lungs, and maybe order some blood work or other tests depending on your age, gender, or other characteristics. Your doctor then takes all of this information to assess your overall health, and may make recommendations or even prescribe something to improve your health.
Why wouldn’t we do the same for our business?
When you meet with your accountant, they might talk about a few key indicators – profitability, working capital, debt to equity, and maybe a couple others depending on the type of business. But have you ever had a discussion about the overall health of your business? Have you seen how all of these different indicators come together to create value for you, the business owner?
A business valuation is a great way to do an overall health check. As Chartered Business Valuators, we examine the profitability, growth, and asset backing of a business to determine what it is worth. We will look at past financial information, have discussions with you about the operation and about future expectations, and do some research on the industry. We use this data to calculate what your business is worth, and tell you why it is worth what it is. This process is a great way to pull all of these indicators together to see how healthy your business is.
But much like a blood pressure reading, a single data point is of limited usefulness. You need to watch the trend, and better still, watch how changes in behavior influence the trend. At Avail CPA, we can work with you to prescribe and implement key changes to improve your business’ health, and give you regular check-ups to monitor your progress. And we promise our check-ups don’t involve needles or rubber gloves.
Now doesn’t that sound like a check-up you’d actually look forward to?
Click here for a downloadable PDF of Business Health Check.