Company Financial Literacy Index
Answer 30 quick questions about how your company handles money — from reading statements to making decisions — and get a 0–100 score with your strongest and weakest areas. No signup needed; nothing is stored unless you ask us to email your results.
1Understanding the numbers
1. Do our managers know the difference between profit and cash flow?
2. Can our non-finance managers read a P&L (income statement) and understand what it says about their area?
3. Do we know what our gross margin and net margin are, and how they've moved over the last year?
4. When finance shares monthly results, do people outside finance actually understand them?
5. Do our managers know what EBITDA means and why investors or lenders care about it?
2Budgeting & planning
6. Does every department have a budget that its manager helped build and actually tracks?
7. Do we compare actual results against budget every month and discuss the differences?
8. When there's a budget overrun, do we find out why — not just who?
9. Do we build a financial forecast for at least the next 12 months and update it when things change?
10. Do our managers understand the difference between fixed and variable costs in their own area?
3Financial decision-making
11. Do all our managers use cost-benefit analysis before committing significant money?
12. Before a big purchase or project, do we estimate the return (ROI or payback period)?
13. Do we know what it costs us to acquire a customer, and what a customer is worth over time?
14. When choosing between projects, do we compare them with numbers rather than gut feel alone?
15. Do we consider the time value of money (e.g. NPV or discounting) for multi-year decisions?
4Cash & working capital
16. Do we know how many months of expenses our current cash would cover?
17. Do we track how quickly customers pay us, and follow up on late invoices systematically?
18. Do we know our monthly cash burn or cash generation, not just our profit?
19. Do we plan cash needs ahead (e.g. a rolling cash flow forecast) rather than reacting to shortfalls?
20. Do our managers understand how inventory, receivables, and payables tie up or free up cash?
5Risk & controls
21. Have we identified our biggest financial risks (customer concentration, currency, interest rates, key suppliers)?
22. Do we run 'what if' scenarios — e.g. what happens to us if sales drop 20%?
23. Do at least two people review large payments before they go out?
24. Do we know our debt obligations and the conditions attached to them (covenants, rates, maturities)?
25. Would we spot a significant financial error or fraud within a month of it happening?
6Financial culture & training
26. Do we give managers financial training, not just finance staff?
27. Are financial goals (margins, cash, ROI) part of how we set targets and evaluate performance?
28. Can most managers explain how their decisions affect company profit and cash?
29. When we hire or promote managers, do we consider their financial literacy?
30. Do leaders share key financial results with the wider team so people understand how the company is doing?