Business finance is the study of how a company obtains its capital and funds. It’s essential to a company’s growth and success.
A grasp of business finance grants a person the foundational knowledge and confidence to oversee the books and make financial decisions.
Business finance guides professionals through the often confusing world of accounting, trading and economics to attain profitability and make decisions that serve the bottom line both in the short and long term.
The Personal MBA
Many people enjoy learning about Value Creation, Marketing and Sales – but when it comes to Finance their eyes glaze over. Finance is actually quite simple if you understand a few key critical concepts.
Josh Kaufman is an internationally acclaimed business, learning and skill acquisition expert. He has written this book to help save you time and money, by allowing you to learn the essentials of business without spending two years in business school.
The book focuses on five fundamental concepts. The first is the Iron Law of the Market: a business is only as good as the size and quality of its market. The second is Value Creation: how a company creates and delivers value to its customers. The third is the Four Methods of Increasing Revenue: how a business can bring in more money.
The final concept is Systems: how businesses operate and how they can be improved. The book will teach you these five core concepts, so that you can apply them to any business.
How to Read a Financial Report
Financial reports and statements are vital for anyone involved with business, but they often read like a foreign language. This book is designed to demystify the financial reporting process and enable readers, particularly those without a strong accounting background, to understand and interpret financial statement accounting.
This book covers the standard parts of a financial report, including cash flow statements, income statements, and balance sheets, then explains how these different parts come together to make a comprehensive picture of a company’s current and historical health. It also explains how to spot anomalies and inconsistencies in the numbers.
This book is one of the most practical in the list, offering a clear and easy-to-understand guide to financial statements and how to interpret them. Suitable for investors, lenders, and business leaders, this book provides an invaluable overview of the essentials of financial statement analysis. It teaches readers how to use their knowledge of the numbers to grow their businesses, increase profits, and operate more successfully long-term.
Warren Buffett and the Interpretation of Financial Statements
One of the richest men in the world uses simple calculations and interpretations of line items on financial statements to find the best long-term investments. Authors Mary Buffett (his daughter-in-law) and David Clark walk readers through the income statement and balance sheet, pointing out what ratios to watch for and why Buffett stays away from companies with high research and development costs no matter how cheap their stock price.
Understanding how to read financial reports is key for business finance beginners. This book breaks down complex topics into easy-to-understand summaries and snippets, making it perfect for the beginner who wants to gain an in-depth knowledge of how businesses work. It also covers essential topics like calculating ROI, finding cash flow and budgeting.
The Alchemy of Finance
Books on business finance help readers understand accounting and economics to find funding, operate within budgets, achieve profitability, and make decisions that serve the company’s bottom line in both the short and long term. The best ones employ easy, solid language and instances to simplify tough ideologies.
For example, the book “Accounting for the Numberphobic” makes the subject digestible by using easy-to-read explanations and pleasurable tales of real companies. This allows non-financial managers to gain the fundamental know-how and self-assurance they need for successful operations. In addition, it also teaches complementary subjects like valuation, sales, and improving systems. Moreover, the book “Warren Buffett and the Interpretation of Financial Statements” relays the investment wisdom of legendary investor Warren Buffett. It offers a step-by-step breakdown of how to read investment statements and decide if a company is worth buying. This is the ideal guide for beginners in the field of finance.