Accounting is often known as the “language of business” and accounting literacy is the key for developing business acumen. It is imperative for all managers and business owners to understand key financial principles and apply them in the real-world context.

Understanding accounting is an essential building block for a solid understanding of business. Therefore, it is a precursor to mastering the numbers game in business. This skill will enable all managerial level employees of each department to make better and more informed business decisions.

The ability to use numbers to the best advantage for business begins with the ability to read Financial Statements and to tell a business story from the numbers reflected in the Financial Statements. These skills are essentially required by non-finance professionals to manage their respective areas to become effective, all-rounded, and professional managers.   

This 2-day finance for the non-finance program will demonstrate that learning accounting is a lot easier by using real-life case studies and it is designed using layman terms and language to facilitate a better understanding of the key principles and concepts. Participants will learn how to interpret and communicate financial situations and events from the Financial Statements and make better business decisions. Take away this core competency for developing the necessary business acumen within you.  

On successful completion of this Finance for non Finance workshop, the participants are expected to be able to:

• Define what is accounting and understand financial language
• Determine the financial impacts of typical business transactions
• Review and interpret any financial statements
• Tell a business story from the Financial Statements
• Use the “numbers” to their best advantage to come up with more informed decisions
• Apply financial information to better manage the business and make effective financial decisio

MODULE 1: INTRODUCTION TO BUSINESS ACUMEN
Top 3 reasons why you need to understand Financial Statements: P&L, Balance Sheet & Cash Flow Statement
How to make sound business decisions with your understanding of Financial Statements
Understand the key accounting elements: Asset / Liability / Equity/ Expenses & Revenue
Exercise: Understanding Finance – Managing Cost, Saving Cost, How to Invest, Budgeting

MODULE 2: WHAT STORY DOES A BALANCE SHEET TELL?
What is Statement of Financial Position?
The Big Picture of the Financial Health of a Company
What you need to know about Assets = Liability + Equity?
Simple Way to understand the Duality Concept of Accounting
Activity: Storytelling Time

MODULE 3: HOW TO READ A PROFIT AND LOSS STATEMENT
What is Income Statement?
Profit Vs Profitability: Is your business generating profit or it is profitable?
Sales / Revenue – Increase Profit
Expenses – Reduce Profit
Accrual Concept of Accounting and what it means to your business?
Profit does not equal to Cash (Profit is not the Cash in your bank!)
Discussion: Understanding the value cycle that impact you to expand / downsize your business

MODULE 4: PRACTICAL ACTIVITY – HOW ACCOUNTING WORKS IN YOUR BUSINESS
Template to record business transactions
How to reveal the Income Statement and Balance Sheet story

MODULE 5: UNDERSTANDING CASH FLOW STATEMENT
What story does the Cash Flow Statement tell?
Generating Cash Flow from Operating, Investing & Financing Activity
How Cash Flow Management can save your business from bankruptcy?
Secrets & Strategies to Effective Cash Management to ensure your business won’t go bust
Case studies: Poor Cashflow Mega Company vs Strong Cashflow Enterprise

MODULE 6: RATIO ANALYSIS THAT DETERMINE THE FINANCIAL HEALTH OF THE BUSINESS
Top 5 Must Know Financial Ratios:
Activity - Sales Growth, Cost of Sales
Profitability – Profit Margins, Return on Investment (ROI)
Efficiency – How Efficient the Company make use their Assets to generate revenue/profit
Liquidity – Do you have enough cash to manage your business?
Solvency – Ability to pay debts

MODULE 7: BUDGETING AS A POWERFUL PLANNING TOOL
4 Types of Budgets
Incremental, Activity-Based, Value-Proposition, Zero-Based Budgeting

Understanding the budgeting as a planning tool to maximise profit & control expenses
Understanding financial forecasting to tell whether the company is headed in the right direction
Case Studies: Good Budget vs Poor Budget

MODULE 8: INFORMED DECISION ON INVESTMENT
Key investment appraisal indicators:
Payback analysis
Return On Investment (ROI)
Net Present Value (NPV)
Trend line & Industry benchmark –comparing your business with competitors
Bonus: Flaws of Financial Statements – traps & tricks to avoid

Interactive Presentation, Accelerated Learning, Business Driven Action Learning, Case Studies and Discussions

“I wasn’t too confident in reading financial information. I attended this online Interpreting Financial Statement course by iTrainingExpert and learned about the financial terms and important checks that I need to analyse on the forthcoming applications for loans. After completing the 2 days interactive webinar, I feel that I am more confident to comment on the financial statements of the applicants and am more precise in my work. I still need to practice along the way to continuously sharpen my skills.” Muhammad Azry, Business Building Manager, Malaysia Debt Ventures Berhad.

“I was very much looking forward to coming for the Interpreting Financial Statement course. I picked up the basics of financial statements, Balance Sheets, Profit &Loss, and Cashflow Statements as well as the various important ratios. I also learned to analyse the financial statements. I am now clearer and understand financial statements better. The trainer’s presentation was clear.” Audi Amalina Sinaga, Business Building Manager, Malaysia Debt Ventures Berhad.

“Before attending the course, I was not sure what financial indicators to focus on. During the course, I have a much clearer understanding of financial statements. After the course, I felt more confident to read Financial Reports. The trainer is very competent!.” Ong Kui Ann, Business Development Manager of Genesis Nutraceuticals Sdn Bhd

“Before attending the course, I was confused when reading the financial statements. This course helped me how to review and understand financial statements well. I have learned a lot during this training. The trainer is friendly and interesting.” PHOEBE FONG, Assistant Manager of Hitachi High-Tech IPC (Malaysia) Sdn Bhd