The
Compass Winter 1999
The Compass || Winter
2000 |
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The recently released 1999 NAGASA Financial Ratios Study reports on a range of objective data outlining the current performance of the channel. Among the highlights: analyses of data from a control group of participants that submitted data over several years indicate that sales and gross margins have both increased for the reporting period. Pretax profits have remained similar for this control group in this time frame, while the debt/net worth ratio has increased from 2.62 to 2.83. Divided into five sections, the 20-page document is reproduced using a saddle stitched 8-1/2" x 11" and encompasses five sections, plus appendices reporting on:
In the study’s introduction, author Bill Donlin of Donlin & Stephens notes that it is critical for all dealers and distributors, and particularly owner-managed companies, to use this document as part of the process to develop a financial business strategy. Donlin suggests that this type of planning is particularly important in today’s competitive channel environment, and he urges readers to use the financial ratio information contained in this document to determine whether any specific company’s financial performance is similar to, better than, or not as good as the overall performance of the channel and to explore factors that have contributed to the company’s performance in order to develop process improvements that can maintain or improve this performance. Donlin, who will speak at Forum 2000 on the 1999 Financial Ratios, is helping finalize the Year 2000 survey packets so they can be mailed in early 2000. NAGASA members are encouraged to participate. All data is confidential and will be seen only by Donlin & Stephens experts. For the 2000 effort, participants will have the choice of supplying either a completed form or a financial statement for Donlin & Stephens analysis. The 2000 report will be expanded using participant input, allowing more comprehensive analyses. Plus, all Financial Ratio Study participants receive a free copy of the final document when it is published. Copies of the 1999 Financial Ratios of Dealers and Resellers have been distributed without charge to participants. Copies are $195.00; members receive a 40% discount and can purchase them for $115.00, shipping included. Contact NAGASA at 202-328-8441 to order a copy or to get additional information about of the document. |
