Financial Management for Small Businesses: Financial Statements & Present Value Models

Opinión de Anh Nguyen, Instructor, University of Texas at Arlington on 6/9/21

Exhaustividad clasificación: 4 ver menos

The book is fairly comprehensive regarding financial statements and present value models

Precisión de contenido clasificación: 5

The book is accurate in terms of the financial models

Relevancia / Longevidad clasificación: 1

I would say it does not completely target the small business owner

Claridad clasificación: 2

The initial chapters are very well written. However, starting from chapter 7, the content is not as well written.

Consistencia clasificación: 4

The terminology and models are consistent.

Modularidad clasificación: 4

The text is easily and readily divisible into smaller reading sections.

Organización / Estructura / Flujo clasificación: 5

The topics in the text are presented in a logical, clear fashion.

Interfaz clasificación: 5

The text is free of significant interface issues, for example navigation problems

Errores gramaticales clasificación: 5

The text contains no grammatical errors.

Relevancia cultural clasificación: 5

The text is not culturally insensitive or offensive in any way.

I would highly recommend the first 2 parts (up to chapter 6) for small business owners. The content in Chapters 1 through 6 is excellent and very readable.
Starting with the advantages and disadvantages of different forms of business organization, the author explains very well. Then, he provides helpful up-to-date information about the tax system and basis and advances financial analysis (financial statements and financial ratios).
However, materials from chapter 7 toward those later chapters focus more on technically advanced models which are not relevant to small business owners.
I would simply recommend the author to avoid using the "small businesses" term in the book title.

Opinión de Shreesh Deshpande, Professor of Finance, University of San Diego on 5/17/21

Exhaustividad clasificación: 3 ver menos

The book is not comprehensive given the subject of the book -- Financial Management for Small Businesses

Precisión de contenido clasificación: 5

The book is accurate in terms of the mathematical financial models

Relevancia / Longevidad clasificación: 1

The book is not relevant to a small business owner or a would be entrepreneur.

Claridad clasificación: 2

The initial chapters are very well written. Subsequent chapters have content that is not as well written.

Consistencia clasificación: 5

The book is consistent.

Modularidad clasificación: 5

The book is modular.

Organización / Estructura / Flujo clasificación: 2

The organization is puzzling -- the initial chapters are relevant to financial management of small businesses. After that the book chapters cover content that is not relevant to small businesses.

Interfaz clasificación: 5

The interface is good.

Errores gramaticales clasificación: 5

The writing is very good -- I did not find any grammatical errors.

Relevancia cultural clasificación: 5

There are no negative cultural issues in the book. I noticed that the book has too many examples related to businesses in the agricultural/farming sector. It would be a good idea to broaden the types of firms used as examples in the chapter discussions.

In reviewing the book, my expectation was that with “Financial Management for Small Businesses” in the title, the book content would help educate small business owners and aspiring entrepreneurs on the necessary financial knowledge in business decision making.

The content in Chapters 1 through 5 is excellent and very readable, especially for a would-be small business owner. The authors explain the benefits and drawbacks of various business organizations, the tax issues that are relevant to a particular ownership structure and basic financial statements analysis. The discussion of the concept of Present Value in a part of a later chapter is good. All of this is very relevant knowledge for small business ownership and managers. The authors use examples to discuss financial concepts by relating content to family farms and the agricultural sector.

Unfortunately, starting from Chapters 6 through the end, the content of the book veers off into to granular intricacies of financial valuation models which would be of no practical interest to professionals who manage small businesses (or to individuals who aspire to own small businesses).

Most financial managers of a small businesses are unlikely to ever want to use the financial models presented, for example, see equations 8.14, 8.15, 9.12, 10.6. Some models are simply too esoteric to have any practical use for businesses – small or large.

Overall, the book was a disappointment.