The book provides valuable information on key business metrics for assessing the financial health of small and medium businesses. These ratios are not widely used by SMEs at present and literature on these is scanty. However, understanding these ratios and making judicious use of these in the day-to-day operations will help SME businesses avert the risk of early failure which they may be experiencing now due to lack of basic financial literacy on the part of owners/ managers. SMEs that use these ratios will survive in the longer term and prosper too, contributing more and more to the growth of the economies of the countries wherein they operate.
Financial ratios discussed in the book range from simple basic ratios such as profitability to more sophisticated ratios like Earnings per share. As such, te book will prove to be of benefit not only to SMEs but also to investors, creditors, andfinancisl and business analysta.
