Automated Profit & Loss Module For Quicker Evaluation

Automated GPR & ROI statement & evaluation by P&L  Report module

Any organization either big or small needs a financial statement stating all sales, goods and expenses for the accounting purposes. This statement is commonly known as Profit and loss statement. This statement is a representation of systematic tracking, recording & analyzing which simultaneously goes on for all the operations. This system is called the profit and loss module. It’s an evaluation of the company’s profits and loss. employAstar’s Profit and Loss Report (P & L Report)Module does exactly that for you.

employAstar’s P & L Module gets this whole systematic process automated. So now you don’t have to worry about individually keeping track of the dealings and transaction and what picture they present. Our automated Profit & Loss Module will scan all the information collected from the database. The database is made up of tracking and recording the day to day activities performed by an organization.

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Hence it instantly summarizes the cost and expenses incurred in a specific period of time. It gives a clear map about how much profit you’re making; whether the company is in profit or loss. Organizations can calculate profit and loss on a monthly or yearly basis.

The profit & loss Module helps a company know exactly whether it is in profit or loss and plan their hiring strategies accordingly. employAstar helps users evaluate the financial expenditure on their recruitment process and formulate strategies based on it.

Some of the generic benefits achieved through the profit & loss module are:

  • The primary benefit of a P&L module is to quantify the measure of income an organization has made during a period. Depending from company to company it’s calculated either monthly or quarterly or yearly basis or even based on the company practices. By automating this process, such reports can be generated instantly which present a clear picture and even shows the breakage in a way that can be quantified in the right away.
  • There is a perception that cost of goods and services should not exceed 75% of the gross sale. Instant & accurate report generation through an automated system helps you to keep a check on this issue. As you get the evaluated information right at your disposal you can even correct the mistakes while going forward.
  • In the same above mentioned way it also helps to keep a track of operating and administrative expenses. It lets you have a check on it by suggesting key areas where there is a need of appropriate measures to be taken to keep it under that prescribed 20%.
  • It allows you to measure the company’s success through Gross Profit Ratio (GPR): Sales (COGS & Sales) & Return on Equity (ROE) (Net Income & Shareholder’s Equity). Higher GPR percentage shows higher income can be generated.

To summarize in wholesome way a clearly written profit or loss statement lets you have an exact picture where company stands and what needs to be done. It also allows you to compare various time periods which can suggest that is it growing or not. Another way it helps is the forecasting of the outcome of various business operations based on the previous performances. These all information is best utilized when you get them as early as possible and the way an automated process can do it and manual process can’t.

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