Small Business Financial Wellness Scorecard

What is Business Financial Wellness?

Business financial wellness goes beyond simply having cash in the bank. It involves having a clear understanding of your business's financial performance, managing your money effectively, and planning for the future. A financially healthy business is better positioned to handle challenges, invest in growth, and achieve long-term sustainability.

Key Areas of Financial Health:

This scorecard assesses your business's financial practices and health in several key areas:

Revenue & Profitability: Understanding your income sources and how efficiently you turn revenue into profit.
Cash Flow Management: Tracking money coming in and going out to ensure you have enough liquidity to meet obligations.
Debt & Financing: Managing any business debt responsibly and understanding your financing options.
Financial Record-Keeping: Maintaining accurate and organized records of all financial transactions.
Planning & Budgeting: Setting financial goals, creating budgets, and monitoring performance against those plans.

Your assessment in each of these areas contributes to an overall picture of your business's financial wellness.

This tool provides a self-assessment based on your responses. It is not a professional financial analysis or substitute for expert advice.

Honestly assess your business's practices in each area by selecting the option that best reflects your situation. Your responses will be used to generate your financial wellness scorecard.

Revenue & Profitability:

We have a clear understanding of our main revenue sources.
Yes No
We regularly calculate and understand our gross profit margin.
Yes No
We know our business's break-even point.
Yes No

Cash Flow Management:

We regularly monitor our current cash balance.
Yes No
We create and review cash flow forecasts.
Yes No
We have a system or process for managing money owed to us (accounts receivable).
Yes No
We manage our accounts payable (money we owe) to optimize cash outflow.
Yes No

Debt & Financing:

We have business debt (loans, lines of credit, etc.).
Yes No

Selecting "Yes" doesn't automatically mean poor health, but requires good management.
If we have debt, we clearly understand the terms (interest rates, payment schedule).
Yes No N/A (No debt)
If we have debt, we have a strategy for repayment or managing it.
Yes No N/A (No debt)

Financial Record-Keeping:

We keep detailed and up-to-date records of all income and expenses.
Yes No
We use accounting software or a structured system (more than just basic spreadsheets or paper) for record-keeping.
Yes No
We regularly reconcile our business bank statements with our financial records.
Yes No
We have a system for organizing and storing financial documents (receipts, invoices, statements).
Yes No

Planning & Budgeting:

We have a formal budget for our business (annual or more frequent).
Yes No
We regularly compare our actual financial results to our budget.
Yes No N/A (No budget)
We have clear financial goals for our business's future (e.g., revenue targets, profit goals).
Yes No

Complete all questions to get your full scorecard summary.

Disclaimer: Self-Assessment Only.

This tool provides a self-assessment of your business's financial wellness based on the information you provide. It is not a substitute for professional financial analysis, accounting, or consulting services. A professional can review your specific financial data and provide tailored advice.

The assessments and tips provided are general guidance. Your actual financial health and the most effective strategies for improvement depend on your unique business circumstances.

Regularly reviewing your financial performance and seeking professional guidance are key steps towards strong financial health.

This tool is an educational aid for self-assessment of financial wellness practices. Consult with a qualified financial professional for a comprehensive analysis.