ZWA Financial Health Scorecard

 

Evaluate your business's financial health by rating the statements below from 1 to 5:

   
   

Scoring Scale

   
         
  • 1: Strongly Disagree – This statement does not apply to your business at all.
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  • 2: Disagree – This statement applies to your business to a very limited extent.
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  • 3: Neutral – This statement somewhat applies to your business, but there’s room for improvement.
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  • 4: Agree – This statement mostly applies to your business, but there are minor improvements to be made.
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  • 5: Strongly Agree – This statement fully applies to your business, with no improvements needed.
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Questions

           
       

1. Our business consistently has positive cash flow and rarely experiences cash shortages.

       
                                                         
     
     
       

2. We have a clear understanding of our profit margins across all products and services.

       
                                                         
     
         
       

3. We produce cash flow reports that clearly show inflows and outflows for effective cash management.

       
                                                         
     
     
       

4. We invoice customers on time and have efficient systems to follow up on overdue payments.

       
                                                         
     
     
       

5. We pay vendors and suppliers on time without jeopardizing our cash flow.

       
                                                         
     
     
       

6. We regularly review expenses to identify cost-saving opportunities without impacting quality.

       
                                                         
     
   
       

7. We have sufficient cash reserves or a line of credit to manage unexpected expenses or downturns.

       
                                                         
     
     
       

8. We have insurance or other risk-mitigation strategies in place to protect our financial stability.

       
                                                         
     
   
       

9. We regularly review key financial KPIs (e.g., revenue growth, net profit, cash flow) to track business performance.

       
                                                         
     
     
       

10. Our business stays compliant with all tax filing requirements and deadlines.

       
                                                         
     
   
       

11. We regularly review tax strategies to maximize savings and efficiency.

       
                                                         
     
     
       

12. Our business has access to a knowledgeable financial leader or advisor who drives strategic decisions.

       
                                                         
     
   
         
         
   

Scoring Interpretation

   
         
  • 50-60: Strong Financial Health – Your business is operating efficiently with well-established financial systems. You’re in a great position to focus on scaling and strategic growth.
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  • 40-49: Good Financial Health – Your business is performing well, but there are opportunities to improve specific areas. Optimizing these areas can strengthen your financial stability.
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  • 30-39: Moderate Financial Health – Your financial processes need attention. Addressing key gaps will help stabilize your operations and set the stage for growth.
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  • Below 30: At Risk – Your financial health is at risk, and immediate action is required. Working with a financial expert can help identify critical areas and provide the support you need to regain stability.
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