The core principles & concepts of business finance.
Essential financial knowledge every business owner, business leader, and business banker should possess.
Financial Foundations & Reporting
The language and structure of business finance — where numbers take shape.
“Paperwork that talks”
The essential building blocks of financial reporting. How balance sheets, income statements, and cash flow statements capture a business’s financial position.
“Revenue is the game,
profit is the score”
Top line vs. bottom line. The difference between total income earned and what’s left after expenses.
“Assets flex, Liabilities check
…Equity’s what’s left”
The value remaining for owners after liabilities are subtracted from assets — the true stake in the business.
“Fuel for the daily grind”
The measure of short-term financial health, showing whether a business can meet its
day-to-day obligations.
“D & A: The silent MVP of your bottom line”
The process of spreading the cost of assets over time to reflect their gradual use or decline in value.
“EBITDA: Show Me the Real Money”
(sort of)
Earnings Before Interest, Taxes, Depreciation, and Amortization — a key measure of operating performance and cash-generating ability.
“Cash counts the Wallet.
Accrual counts the moves”
Two different timing methods for recognizing revenue and expenses — one when earned, the other when cash changes hands.
“GAAP: Because lenders don’t buy back-of-the-napkin math.”
The standardized rules and principles that guide how businesses record, report, and compare financial information.
“CapEx is bricks, OpEx is fuel.”
The distinction between long-term investments in assets (capital expenditures) and the ongoing costs of running a business (operating expenses).
Performance & Profitability Metrics
Strength, Profitability, and Efficiency — turning numbers into insight.
“Cash Talks. Fast.”
Indicators of a company’s ability to meet short-term obligations and sustain long-term stability.
“Revenue Talks. Profit Walks.”
How effectively a business turns sales into profit and measures overall financial success.
“From Red Flags to Green Lights”
Tools that translate financial data into insight, revealing relationships between revenue, assets, debt, and performance.
“Mind Your Money Moves”
The process of monitoring and optimizing inflows and outflows to keep operations running smoothly.
“Cash That Hustles Beats Cash That Rustles”
The time it takes to convert inventory and receivables into cash — a key measure of efficiency.
“Your Data’s Got Eyes”
Tracking performance over time or against benchmarks to spot progress, risks, and opportunities.
Capital, Cost & Growth
The cost and flow of capital.
“Where Money Gets Its Marching Orders”
Market reference points, such as the Prime or SOFR rate, that determine borrowing costs and influence financial decisions.
“Every Dollar’s Got a Price”
The required return a business must earn to justify the use of borrowed funds or investor equity — the true price of money.
“Debt talks loud, Equity talks long”
The mix of debt and equity a company uses to finance operations and growth, shaping both risk and return.
“Fuel the Engine or Fund the Payout?”
How profits are either reinvested to fuel growth or distributed to owners as returns on their investment.
“Every Dollar’s Gotta Hustle”
A measure of how effectively capital is used — comparing the gain from an investment to its total cost.
Legal & Structural Frameworks
The rules, authorizations, and frameworks that underpin financial authority and security.
“Titled to You, Tagged by Them”
Legal rights that allow a lender to claim specific assets if a borrower defaults on a loan.
“UCC: Keeping It Legit Coast to Coast”
The Uniform Commercial Code — the legal framework that standardizes business and financial transactions across states.
“Article 9: The OG of Collateral Hustle”
The section of the UCC that governs secured transactions, outlining how lenders claim and perfect interests in collateral.
“Who may sign on the line which is dotted?”
The legal power granted to individuals or officers to enter into contracts or obligations on behalf of a business.
“When You Gotta Flex That Title.”
A formal document confirming who is authorized to act or sign for a company in financial or legal matters.