How to evaluate a company from finances and stability view point as a prospective employer

Question

Hi,In this ongoing economic turmoil, how should one evaluate a company in terms of how good their finances are, how stable it looks  for atleast the next 2 years of time horizon. I also look at work-life balance but that can be obtained from contacts/glassdoor etc. Experts, please share your wisdom!

Genimichalw · Accepted Answer

Crunchbase has some solid data on companies fundraising activity. That’s generally a good sign when companies raised capital within the last 12-24 months. Just make sure you have confidence in the funds giving them the money. All money is not smart money.

Pskaii8164 · Answer

These are some metrics to look at if you manage to find them online-Sales Revenue (Month-over-Month and/or Year-over-Year Comparison)Gross Profit Margin (GPM)Net Cash Flow (Revenue + Increase in Liquid Assets – Expenditures + Increase in Liabilities)Debt-to-Equity Ratio (Total Liabilities / Shareholders’ Equity)Employee Turnover Rate (No. of Workers Who Left / Total No. of Employees)

MfokOiqjj · Answer

Will be hard for smaller, private companies but publicly traded companies report their financials quarterly so just look it up. Metrics to consider include: turnover, profits, expenditures, assets, liabilities, and capital.

How to evaluate a company from finances and stability view point as a prospective employer

About

Tech

Members