To want to understand finances

[Wetbankhols]

If you don't, who do you ask?

It isn't just my finances - otherwise the bank might be able to help - it's related to a business I am considering buying.

Any ideas?

If you are thinking of buying a business you should employ an accountant to do due diligence for you before you part with any money

Yes, accountant was my first thought too, but the one I spoke to was very 'ooh, don't know if that is the sort of thing we do'.

I'm an accountant but there are lots of different types of accountants- so yes you need to consult an accountant but just find the right kind.

Have a ring about and you'll find one that's used to advising on business aquisitions.

What is exactly that you want to know/ understand?

Thanks, 44 :)

It's the profit and loss breakdown from the business, ready

(Another accountant here):
What line of business is it?
Do you understand how it 'makes money'

ie does it buy and sell products, or perhaps time.

What would you expect to be the main costs in providing that activity.

Most businesses have similar categories of costs.

A lot of business accounting is to do with the fact that things are bought and sold on credit - given from one business to another by sending in invoices and waiting to be paid.

Thus, a firm can have money in the bank but no profits, as it has just held off paying all it's suppliers.

Remember a business that is up for sale will have done all it can to try and make things look good - known as putting lipstick on the pig - so keep your wits about you.