Rating Module

This Rating Module enables you to evaluate the rating of your business in a method similar to the methods that are used by banks and financial institues to rate businesses. By using the Rating Module you will have the possibility to get the idea how they are going to evaluate your business and how you can improve your rating.

The Rating process includes three steps:

Step 1. Qualitative Analysis

This section will present you with a series of questions where you are asked to grade different aspects of the business situation and management performance. Each aspect can be graded by using the drop down list to the right of the questions and selecting the answer that most closely describes your performance.

The grades are between 1 (Very Good) and 6 (Insifficient).

On the left side of the screen you can see the Rating steps. Move from step to step by clicking the 'Next' button or by clicking the next item on the list.

Step 2. Quantitative Analysis - Ratio Analysis

The Ratio Analysis presents financial ratios that are commonly used for Rating. For each ratio the value for each year of the plan is calculated, based on the data that is presented in the Anlysis screens - the Profit and Loss, the Balance and the Cash Flow.

Then, each ratio value is graded between 1 (Very Good) and 6 (Insifficient) according to pre-defined grade levels that can be changed in the Setup screen as explained below.

Step 3. The Rating

The Rating result is displayed in the last screen. It shows the results of the Qualitative Analsysis and the Quantitative Analysis both combined to give a final Rating result for each of the plan years. The weight of the two analyses in the final result is by default 50% for each, but it can be changed in the Setup screen as explained below.

The Setup Screen

The Setup screen can be loaded by clicking the 'Setup' button which is visible in the Ratio Analysis screen.

In the Setup screen you can change the pre-defined grade levels in for each ratio. You should define the Sign, greater (>) or smaller (<), of the ratio when it is measured against the levels because for some ratios higher value is better and for others higher value is worst.

The Setup screen also enables you to enter the weight given to Qualitative Analysis vs. Quantitative Analysis. These Weight are used to calculate the final results of the Rating.