Vetting Company for Financial Health

Have an opportunity to join another company and I am actually quite interested. The company is relatively new so I want to be able to check them out financially without appearing to be an ass or know it all about it.

What are some questions I can ask or documents that I can request that might give me an indication as to whether this company is in it for the long haul?
 

James L

Senior Member
Location
Kansas Cty, Mo, USA
Occupation
Electrician
In what capacity would you be joining?

If it's just a job, there's not much you're going to be able to ask for.

If it's a partnership, ask for everything and leave no stone unturned.
 
In what capacity would you be joining?

If it's just a job, there's not much you're going to be able to ask for.

If it's a partnership, ask for everything and leave no stone unturned.
It would be Senior Management, I would have skin in the game in that I would be the Qualifier.
 

Hv&Lv

Senior Member
Location
-
Occupation
Engineer/Technician
Realistically as an employee (qualifier or not, your just an employee) you can’t ask for much.
just your compensation information.
now, as mentioned above, if your offered a stake in the company and have real “skin in the game” ask for everything.

There are no guarantees in life or business. Any business out there today could close the doors tomorrow.

One thing though, if you join early enough and help the company grow the benefits and bonuses could be great as you grow with the company
 

petersonra

Senior Member
Location
Northern illinois
Occupation
engineer
It would be Senior Management, I would have skin in the game in that I would be the Qualifier.
I don't know what you mean by senior management but if you were working for someone else you're not really all that important to them and they aren't going to tell you anything they don't want you to know.
 

myspark

Senior Member
Location
SCV Ca, USA
Occupation
Retired EE
It would be Senior Management, I would have skin in the game in that I would be the Qualifier.
To echo those other responses—your description of the job doesn’t quite describe the responsibilities of [what you call] Senior Management.
There are three [usually] positions in terms of hierarchy in the corporate setting and each requires specific qualification.

A brief description and pay scale will give you an idea.

Administrator—usually requires MBA , Master’s in Business Administration. Pay scale around $50,000 to start. Doing the job that encroaches other people’s responsibility known as micro management doesn’t make the cut.

Manager – doesn’t need an MBA degree . A well verse knowledge of how the business works. Anyone can do it with the proper experience. . . of course it needs the fundamental knowledge of Arithmetic and grammar. Pay scale around $60,000 for fast food outlet.

Director—requires an MBA Degree and oversees the direction of how the company operates and ways to increase revenue.
Pay scale starts around $95,000.
Being a Qualifier doesn’t cut it.

If not too obtrusive. . . have you ever worked in a subordinate capacity in any of the above position-- in a corporate environment?
I’m not talking about a business with operating expense on a shoe-string budget.
A company with less than 10 million-dollar revenue only needs a team leader- - - not a manager in the strict sense of the word.
 

Hv&Lv

Senior Member
Location
-
Occupation
Engineer/Technician
Administrator could be a Bachelor's Degree holder.
not always

I know one CEO of an 80+ million company with an AAS degree in business.
One guy owns a huge company, over 10 million in business a year consistently. Never finished High School.
 

romex jockey

Senior Member
Location
Vermont
There are no guarantees in life or business. Any business out there today could close the doors tomorrow.
lived it, done that, lost the T shirt............

the major reason i've been on my own so long is, stability is all ME, i don't like being a dependent

~RJ~
 

myspark

Senior Member
Location
SCV Ca, USA
Occupation
Retired EE
not always

I know one CEO of an 80+ million company with an AAS degree in business.
One guy owns a huge company, over 10 million in business a year consistently. Never finished High School.
If you own the company you can be anyone you want to be--especially in a CLOSE CORPORATION.
 

Buck Parrish

Senior Member
Location
NC & IN
Pete are you in Florida ? Just curious I know there are really big electrical contractors in Fl.
Would you be the only qualifier or an additional one? Your question has been asked here before in one form or another. One reply has been , Why can't they qualify?
 
Pete are you in Florida ? Just curious I know there are really big electrical contractors in Fl.
Would you be the only qualifier or an additional one? Your question has been asked here before in one form or another. One reply has been , Why can't they qualify?
Yes one of the places I have Masters License is in Florida, however I have 14 other states as well. The company is a conveyor company that needs qualifying in multiple states. I would be the only qualifier.
 

Buck Parrish

Senior Member
Location
NC & IN
Those are interesting details that are relevant to your decision. As at first we thought it was an electrical contracting company.
Those conveyors are really getting popular. Indeed your license is worth a lot.
So basically the guys installing the conveyors likely use to sub out the electrical at each location to a local electrician.

I might be more inclined to try to get that part of the bussiness as a sub instead of joining the company. But that's just my two cents.
 
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