When to Be Credit Wary

BY STANLEY ZAROWIN

When a company asks for credit, be cautious if it

Has stopped obtaining audited financial statements and now prepares only reviews or unaudited or compiled statements.

Presents financial statements that show profits, but doesnt present a cash-flow statement.

Shows large amounts of due to or due from its owners in its business records. Thats a sign the owners are using the business as a personal bank or the business is borrowing from the owners because it cant get credit anywhere else.

Stanley Zarowin

SPONSORED REPORT

CPEOs provide peace of mind around payroll services

The creation of these new IRS-certified service providers for small businesses clarifies some issues around traditional professional employer organizations.

QUIZ

8 sentences to help you master subject-verb agreement

When professionals prepare written material for readers inside their organization or outside, they should make sure that no errors distract from the message they need to convey. Take this short quiz for practice in subject-verb agreement.