Finance
![What is portfolio diversification?](https://images.ctfassets.net/40w0m41bmydz/33loAp4caSj6BlCYZFJnGK/9621771dae28976cb9c7dfb246ad6d6b/CDT-878_Organic_content_thumbnail_financial_mgmt_03.png?w=680&h=385&q=50&fm=png)
Explore the effects of diversification on portfolio risk with our simple guide
![What Is Venture Debt?](https://images.ctfassets.net/40w0m41bmydz/2FJ7EXJNWTEbdSvX7G00Ti/253ad9cf94977b6971a01b23164dc548/CDT-878_Organic_content_thumbnail_financial_mgmt_02.png?w=680&h=385&q=50&fm=png)
Venture debt is a form of debt financing aimed at early-stage companies
![What is return on equity (ROE)?](https://images.ctfassets.net/40w0m41bmydz/1kQ3ksHVz5b8ki7AyL84ai/f85d8f9954379f9c51620b32af19b6f9/CDT-878_Organic_content_thumbnail_financial_mgmt_01.png?w=680&h=385&q=50&fm=png)
Return on equity reveals your net income in comparison to shareholder equity
![What are negative interest rates?](https://images.ctfassets.net/40w0m41bmydz/2FJ7EXJNWTEbdSvX7G00Ti/253ad9cf94977b6971a01b23164dc548/CDT-878_Organic_content_thumbnail_financial_mgmt_02.png?w=680&h=385&q=50&fm=png)
Negative interest rates are interest rates that fall below 0%
![What is the Relative Strength Index (RSI)?](https://images.ctfassets.net/40w0m41bmydz/1kQ3ksHVz5b8ki7AyL84ai/f85d8f9954379f9c51620b32af19b6f9/CDT-878_Organic_content_thumbnail_financial_mgmt_01.png?w=680&h=385&q=50&fm=png)
The Relative Strength Index (RSI) is used to measure price changes
![What is equivalent annual cost (EAC)?](https://images.ctfassets.net/40w0m41bmydz/3eElXT4dImlsLYjGKImZNx/de6a19da14248695818209a2bac9cc6e/CDT-878_Organic_content_thumbnail_accounting_04.png?w=680&h=384&q=50&fm=png)
EAC is the annual cost of owning and operating an asset over its lifespan.
![What is terminal value?](https://images.ctfassets.net/40w0m41bmydz/3lv39jEAGZJMI63ml7KHgk/cc36ee1ff7b63344da8645adeb2e4372/CDT-878_Organic_content_thumbnail_cashflow_04.png?w=680&h=384&q=50&fm=png)
Find out how to do a terminal value calculation, right here
![What is VaR (value at risk)?](https://images.ctfassets.net/40w0m41bmydz/33loAp4caSj6BlCYZFJnGK/9621771dae28976cb9c7dfb246ad6d6b/CDT-878_Organic_content_thumbnail_financial_mgmt_03.png?w=680&h=385&q=50&fm=png)
Value at risk is a financial metric used to estimate the risk of an investment
![What Is an Aged Debtors Report?](https://images.ctfassets.net/40w0m41bmydz/2FJ7EXJNWTEbdSvX7G00Ti/253ad9cf94977b6971a01b23164dc548/CDT-878_Organic_content_thumbnail_financial_mgmt_02.png?w=680&h=385&q=50&fm=png)
Aged debtors reports are totalled lists of all your business’s unpaid invoices
![What is the liquidity coverage ratio?](https://images.ctfassets.net/40w0m41bmydz/4rghWcmzE0rjGnUBRzxabT/7af330ebe1010da27970030e511a7e3e/CDT-878_Organic_content_thumbnail_accounting_01.png?w=680&h=384&q=50&fm=png)
Get the lowdown on LCR with our liquidity coverage ratio summary.
![What is CAGR (compound annual growth rate)?](https://images.ctfassets.net/40w0m41bmydz/5tPd8B199ctdFNRAzHZoOk/ad5a3f15b882035bdd70213c06841761/CDT-878_Organic_content_thumbnail_financial_mgmt_04.png?w=680&h=385&q=50&fm=png)
Learn how to use the compound annual growth rate formula right here.
![What is penetration pricing?](https://images.ctfassets.net/40w0m41bmydz/6xWIJ7Xp1Op74Tc6YycJuT/6cd9c2df38275ea0d3acd91b268eaf7e/CDT-878_Organic_content_thumbnail_retention_04.png?w=680&h=384&q=50&fm=png)
Find out everything you need to know about penetration pricing strategies.
![What Is Revenue Run Rate?](https://images.ctfassets.net/40w0m41bmydz/2FJ7EXJNWTEbdSvX7G00Ti/253ad9cf94977b6971a01b23164dc548/CDT-878_Organic_content_thumbnail_financial_mgmt_02.png?w=680&h=385&q=50&fm=png)
Revenue run rate is a great way to predict future financial performance.
![What Is the Cost of Sales?](https://images.ctfassets.net/40w0m41bmydz/5tPd8B199ctdFNRAzHZoOk/ad5a3f15b882035bdd70213c06841761/CDT-878_Organic_content_thumbnail_financial_mgmt_04.png?w=680&h=385&q=50&fm=png)
The cost of sales refers to the direct costs incurred when manufacturing goods.
![Profit and Loss Statement Template](https://images.ctfassets.net/40w0m41bmydz/5tPd8B199ctdFNRAzHZoOk/ad5a3f15b882035bdd70213c06841761/CDT-878_Organic_content_thumbnail_financial_mgmt_04.png?w=680&h=385&q=50&fm=png)
Learn how to make a P&L statement with our profit and loss template for the UK.
![Guide to real-time gross settlement (RTGS)](https://images.ctfassets.net/40w0m41bmydz/5tPd8B199ctdFNRAzHZoOk/ad5a3f15b882035bdd70213c06841761/CDT-878_Organic_content_thumbnail_financial_mgmt_04.png?w=680&h=385&q=50&fm=png)
RTGS is a funds transfer system enabling instant money/securities transfers.
![How to Write a Late Payment Email](https://images.ctfassets.net/40w0m41bmydz/4drj4oJAoxaODOTr5qySbh/f04f57e3738e0ccb80efe19b16cb5aba/CDT-878_Organic_content_thumbnail_payments_02.png?w=680&h=384&q=50&fm=png)
Late payment reminder emails are a valuable tool for chasing up unpaid invoices.
![How small businesses need to be using fintech in 2020](https://images.ctfassets.net/40w0m41bmydz/5mtorxH9QigCEnQ0BCPsxH/f13782693db41c06b12aa45a74e0e1f1/CDT-1189-SB-Commissioner-webinar-blog.jpg?w=680&h=385&fl=progressive&q=50&fm=jpg)
Experts across the industry shared their fintech advice for small businesses.
![Invoice vs. receipt: what’s the difference?](https://images.ctfassets.net/40w0m41bmydz/2FJ7EXJNWTEbdSvX7G00Ti/253ad9cf94977b6971a01b23164dc548/CDT-878_Organic_content_thumbnail_financial_mgmt_02.png?w=680&h=385&q=50&fm=png)
Explore the difference between invoices and receipts, right here.
![What is a billing cycle?](https://images.ctfassets.net/40w0m41bmydz/2FJ7EXJNWTEbdSvX7G00Ti/253ad9cf94977b6971a01b23164dc548/CDT-878_Organic_content_thumbnail_financial_mgmt_02.png?w=680&h=385&q=50&fm=png)
Get the inside track on billing cycles with our short and definitive guide.
![What is annual contract value (ACV)?](https://images.ctfassets.net/40w0m41bmydz/5xFvgvKKPk8PUdxig1s530/6fe1cb17784eb9af46855b5186ee93ff/CDT-878_Organic_content_thumbnail_retention_03.png?w=680&h=384&q=50&fm=png)
Understand the importance of annual contract value to SaaS companies.
![How to Calculate Total Asset Turnover Ratio](https://images.ctfassets.net/40w0m41bmydz/1kQ3ksHVz5b8ki7AyL84ai/f85d8f9954379f9c51620b32af19b6f9/CDT-878_Organic_content_thumbnail_financial_mgmt_01.png?w=680&h=385&q=50&fm=png)
Find out everything you need to know about asset turnover ratio.
![Accounts payable: everything you need to know](https://images.ctfassets.net/40w0m41bmydz/5k4G6L6FU0Su0hb323lJ1M/97fdddc6dcb29082ef205e494cfed58f/CDT-878_Organic_content_thumbnail_cashflow_02.png?w=680&h=384&q=50&fm=png)
Read about accounts payable in a little more depth with GoCardless.
![How to Calculate Principal Payment](https://images.ctfassets.net/40w0m41bmydz/4drj4oJAoxaODOTr5qySbh/f04f57e3738e0ccb80efe19b16cb5aba/CDT-878_Organic_content_thumbnail_payments_02.png?w=680&h=384&q=50&fm=png)
Principal payments are payments towards the original sum of a loan.