What is the Freedom Point?
The freedom point is the specific financial threshold at which a business owner has accumulated enough wealth to be financially independent, no […]
What is Financial Readiness?
Financial readiness is the personal financial dimension of exit preparedness, specifically, whether the proceeds from a business exit will be sufficient to […]
What is Financial Planning and Analysis (FP&A)?
FP&A is the finance function responsible for budgeting, forecasting, performance analysis, and the financial modelling that supports strategic decisions, the forward-looking counterpart […]
What is Free Cash Flow?
Free cash flow is operating cash flow after capital expenditures, the cash the business actually generates that is available for debt repayment, […]
What is a Fractional CFO?
A fractional CFO is a senior finance executive engaged on a part-time or defined-scope basis, providing CFO-level leadership on an ongoing basis […]
What is the difference between a Forecast and a Projection?
A forecast estimates future financial results based on what is most likely to happen; a projection models what would happen if specific […]
What is the difference between Fixed and Variable Costs?
Fixed costs remain constant regardless of how much a business produces or sells; variable costs rise and fall directly with activity, and […]
What is a Financial Model?
A financial model is a structured, dynamic representation of a business’s finances, built to project performance under different assumptions and support decisions […]
What is Financial Due Diligence?
Financial due diligence is the structured investigation of a business’s financial records, performance, and obligations undertaken by a buyer, investor, or lender […]
What are Financial Statements?
Financial statements are the three core reports, the income statement, balance sheet, and cash flow statement, that together give a complete picture […]
What is a Fiscal Year?
A fiscal year is the 12-month accounting period a corporation uses for financial reporting and tax purposes, and it does not have […]
What is a Family Trust?
A family trust is a discretionary trust that holds assets, often shares of a private corporation, on behalf of family members, enabling […]