Introduction — Workshop Segment 1

• Terminology, basic accounting model, and the information flow in finances

Balance Sheet — Workshop Segments 2-4

• The layout and sections of the Balance Sheet
• Use of assets and liabilities to increase profits
• The basic accounting equation
• Use of ratios: Debt to Equity Ratio, Current Ratio, and Quick Ratio
• Use of Balance Sheets to analyze and improve finances

Profit And Loss Statement — Workshop Segments 5-6

• The layout and sections of the Profit and Loss Statement
• Relationship of the P&L to the Balance Sheet
• Vertical analysis of the P&L.
• Horizontal analysis of P&Ls
• Use of the P&L to analyze and improve profitability

Cash Flow Statement — Workshop Segments 7-9

• The two methods of accounting—Cash and Accrual
• The layout and sections of the Cash Flow Statement
• Relationship to Balance Sheets and bank accounts
• Two methods of preparing the Cash Flow Statement—Direct and Indirect
• Relationship between the P&L Statement and the Cash Flow Statement
• Evaluating a Net Change in Cash that is negative
• Use of the Cash Flow Statement to improve cash flow

Note:
To get the most out of the workshop, you must have printouts of the following:
• Their Chart of Accounts
• Balance Sheets for the past 3 months (print out the last day of each month)
• Profit and Loss Statements (Income Statements) for the past 3 months
• Cash Flow Statements (Statement of Cash Flows) for the past 3 months
• Recommended: Common Size Balance Sheet & P&L (to show percentages)
• Something to write down notes, questions or actions you need to take, such as a notebook, paper or laptop

Alternative: If the client has access to their financial accounts during the workshop and they are proficient at pulling up reports, they may do it that way instead of using printouts.