When you are trying to raise capital or secure a loan to grow your business, the financial information you provide to lenders or investors will be the difference between hearing a YES - or being rejected.
Here’s a picture of how potential (or current) investors react to the financial statements and information you provide.
Getting a YES from lenders and investors happens when you provide financial information they can trust.
Financial information that is accurate and timely (fast) helps them quickly and easily see where you stand financially.
Building confidence, credibility and trust
It also conveys to them that you have the accounting and financial side of your business under control. It makes it clear to them that you have the tools and people in place to manage the company effectively.
And that creates confidence and credibility in their minds (which is very important). That is a valuable asset when you are asking people to give you money.
In the next couple of blog posts I will update the picture so you see what happens when your financial statements are less than accurate and something short of fast.
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