This course explains with practical examples how to develop and calculate all the indicators mentioned, provides Excel templates and describes how to use them. It also show how to interpret each indicator and the possible decisions to be made in different scenarios.
Financial Indicators & Small Businesses
Course Description
Strong financial skills are a key factor in the success of small businesses, helping owners and managers make informed decisions that drive growth and sustainability. By improving your financial literacy, you can gain a clearer understanding of your business’s health, make smarter decisions, and increase your chances of long-term success.
In this hands-on workshop, you will learn how to develop, calculate, and interpret key financial indicators essential for assessing the health and performance of small businesses. Designed for small business owners, managers, or anyone interested in financial analysis, this course provides practical examples, Excel templates, and step-by-step guidance on using these tools.
You’ll learn about profitability, leverage, liquidity, efficiency, and value creation indicators, and how to apply them to make informed decisions for budgeting, risk management, and growth.
Throughout the session, we’ll dive into real-world scenarios to interpret financial metrics and discuss actionable strategies. By the end, you’ll be equipped to measure financial performance, communicate effectively with stakeholders, and ensure the sustainability of a small business.
There will be ample opportunities for questions.
Course Structure
During the course, we will work through the following topics:
- Introduction to financial analysis and its role in small business success
- Understanding financial indicators such as profitability, liquidity, solvency, and value creation
- Calculating and interpreting profitability indicators including gross margin and ROE
- Exploring leverage indicators including debt-to-equity ratio and interest coverage
- Assessing liquidity and efficiency ratios including current ratio and inventory turnover)
- Measuring value creation using WACC and EVA)
- Using Excel templates to calculate and analyse financial indicators
- Practical examples and scenario-based decision-making
- Tips for communicating financial health to stakeholders
Course Learning Outcomes
By the end of this course, students will be able to:
- Understand the importance of financial indicators for small business decision-making and sustainability
- Calculate and interpret key profitability indicators such as gross margin, ROA, and ROE
- Assess leverage and risk using indicators like debt-to-equity and interest coverage ratios
- Evaluate liquidity and efficiency with ratios such as current ratio and accounts receivable days
- Measure value creation using tools like WACC and EVA
- Use provided Excel templates to perform financial calculations
- Analyse financial data to identify risks and opportunities
- Make informed decisions on budgeting, investments, and resource allocation
- Effectively communicate financial performance to stakeholders, investors, or lenders
Course Requirements
For an optimal learning experience, it is recommended that students bring a laptop with Microsoft Excel installed.
Preferably, students should have a basic understanding of financial statements including balance sheets and profit and loss statements.
The tutor will provide Excel templates and assist with their use during the session.
Your Tutor is Ivan Ocampo
Ivan Ocampo has been teaching at WEA since June 2023.
Ivan is a dedicated financial management professional with a robust background in financial activities encompassing financial analysis, corporate finance, company valuation, mergers and acquisitions, and project management.
He is proficient in financial and managerial accounting with knowledge of taxes, and his expertise extends to strategic management, covering areas such as strategic planning, marketing and sales, customer service, team management, KPIs, quality systems, negotiation, and risk management.
Ivan is currently studying a Master's in Accounting.
This course is available as a WEA Flexi course.
When you enrol in a WEA Flexi course, you have the option of attending each session in person or online via Zoom. You do not need to nominate a preference when you enrol, you can simply attend each session in person or online as it suits you.
Zoom is a popular video conferencing software solution which can be used as a virtual classroom. For an optimal online learning experience, when attending classes via Zoom we recommend you install Zoom Workplace on a desktop or laptop computer with built-in webcam and use a headset with microphone. Alternatively, there is a Zoom Workplace app available so you can participate using a tablet or smartphone, however you may not be able to experience all aspects of the online learning environment when participating this way.
When you enrol in a WEA Flexi course, you will receive an email with a Zoom meeting link at least two days before the course starts. If you don’t see the email in your inbox, please check your spam folder or junk mail. If you have not received the email with the Zoom meeting details, please contact us and we will provide the details you need to join the session online.
To join the course session via Zoom, simply click on the Join the Meeting link in the email or click on Join Meeting in the Zoom app and insert the Meeting ID, your name and Passcode in the boxes provided.
Please note: WEA can only provide limited technical support (such as re-sending the meeting details), as students should know how to use Zoom on their computer or device if choosing to attend this way.
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