Business Epaper
It is not easy running a construction business. Discounted cash flow analysis is a valuation method that isolates the company’s projected cash flow that is available to service debt and provide a return to equity; the net present value of this free cash flow to capital is computed over a projected period based on the perceived risk of achieving such cash flow.
When you work day after day, week after week and you never take a break, it’s going to show in your attitude and the way you do business. Instead, focus on cold, hard cash: cash receipts, payments for inventory or services, cash interest payments, cash rent, mandatory debt principal repayments, etc.
The ‘Essential Financial Management Templates’ workbook that I referred to previously that’s found on our website contains a fantastic cash flow analysis report that will save you and your team a lot of time. With regards to …