profit or loss

Is Accounting Just Administration Work?

Jorge Ruiz Fernández

January 7, 2026

When I ask people what they think what accountants do, they usually respond with things such as recording or issuing invoices, making payments, or presenting taxes. The funny thing is when some say “anybody could do it. I did the accounting of my own business, but I hired an accountant to save time”. Accounting, unfortunately,…

accounting, Business Adivce, business advice, kpi

accounting, assets, business, business advice, cost control, finance, financial knowledge, financial literacy, management consultancy, profit or loss
Pay Right and in Time, but Don’t Pay Twice

Jorge Ruiz Fernández

September 24, 2025

Imagine that you run a department like Accounts Payable. You hire more or less the right number of people. They focus on processing invoices. You pay suppliers more or less in time. From time to time minor issues occur, but your suppliers are happy in general. Time later, the company, like any other business, goes…

accounting, bad debt, budget, business, Business Adivce, business goals, business proceses, cash flow, cost control, customer service, expenses, financial literacy, freelancer, goals, key performance indicators, pricing strategy, Profit and Loss

accounting, assets, budget, budgeting, business, business advice, business processes, classification, cost control, debt, expenditure, finance, financial knowledge, financial literacy, financial-management, habits, management consultancy, profit or loss, quality, targets, taxes
Never Look at One Single Ratio

Jorge Ruiz Fernández

September 10, 2025

“This year we have grown 20% of sales compared to the previous year and we hit the 2 billion euro in revenue!”. I’m sure you have heard of this several times in one way to another. Companies that celebrate they made more sales, kept expenses under control or expanded to new markets. This sounds as…

accounting, Business Adivce, cost control, customer service, expenses, goals, investments, key performance indicators

business, business advice, cost control, cost reduction, finance, financial literacy, knowledge, management, operations, profit or loss
This time of the Year

Jorge Ruiz Fernández

December 18, 2024

Reaching the end of 2024. Many organisations take the time, if they haven’t already, to look at what went and not so well, appraising the performance of the company according to the goals they set to meet during the year, and review if changes need to be done, like removing objectives that no are no…

accounting, budget, business, Business Adivce, investments, kpi, risk management, SMART, value

accounting, budget, business, business advice, expenditure, expenses, finance, financial knowledge, financial literacy, knowledge, management, management consultancy, operations, profit or loss, value
What is Wealth?

Jorge Ruiz Fernández

November 8, 2023

The answer to this questions might seem a little abstract. Usually, when we think about wealth, things like money, properties and other sort of assets come to our minds. However, the definition of wealth is much broader than that. Some books refer to it as the time that you would be able to live in…

accounting, asset, business, Business Adivce, cash flow, cost control, expenses, financial literacy, investments

accounting, assets, business, classification, financial knowledge, investment, margin of safety, profit or loss
Margin of Safety

Jorge Ruiz Fernández

September 21, 2023

One of the difficulties when starting a business is predicting the volume of sales and costs in the future. You don’t need to be a genius to guess that it’s impossible to know exactly what is going to happen, either if your product will be a complete success or that a competitor will launch another…

accounting, budget, business, cost control, financial literacy, margin of safety

accounting, business, business advice, cost control, expenditure, finance, financial knowledge, investment, management consultancy, margin of safety, profit or loss
Revenues and Costs, Some Aspects

Jorge Ruiz Fernández

September 6, 2023

I’ve been living abroad for a while, as many people are doing these days. A common topic of discussion among expats is the salary you can earn in a certain country. It is funny to see people who move to countries like the United Kingdom, the Netherlands or Germany to find not only opportunities but…

accounting, budget, business, cash flow, cost control, expenses, financial literacy, investments, kpi, risk and return

accounting, business, business advice, cost control, cost reduction, debt, expenditure, expenses, finance, gearing, investment, knowledge, profit or loss
What is ROI?

Jorge Ruiz Fernández

June 14, 2023

You have a pool of available funds that don’t require an immediate use in the company. Then you decide to invest it and you look at different options in the market: stocks, deposits, bonds, a new machine, a computer, a building… It doesn’t matter, the most important is that it meets the definition of an…

Business Adivce, cost control, financial literacy, investments, Profit and Loss, return on investment, risk and return, roi

accounting, assets, dividends, financial literacy, interests, investment, knowledge, profit or loss, return, return on investment, roi, stock
Understanding bad expenses and bad debt

Jorge Ruiz Fernández

May 3, 2023

Thanks to the earnings of our company, we may have the desire to buy something that makes us feel good. Maybe a new car or a house, because our family is growing, or that fancy mobile phone that takes high quality pictures and go on holidays to the most remote location on Earth. Sometimes, when…

bad debt, budget, Business Adivce, cost control, expenses

accounting, budget, business, business advice, classification, compound interest, cost control, debt, expenditure, expenses, finance, gearing, investment, knowledge, loan, profit or loss