OfftoaScore

The OfftoaScore provides a quick snapshot of the financial health of your company on a scale from 0 (likely to fail) to 100 (very likely to succeed). It is a composite of thirteen key financial indicators over as many consecutive years as you have chosen to examine. Specifically, it is computed as follows:

Revenues:

3 points for each green in each of the last three years.

Maximum possible points: 9

Revenue Growth:

4 points for each green, 3 points for each yellow, and 1 point for each green bang, in each of the last three years.

Maximum possible points: 12

EBITDA:

3 points for a yellow or green in each of the last three years. Plus 1 point bonus for a red in year 1.

Maximum possible points: 10

Retained Earnings:

3 points for a green in each of the last three years.

Maximum possible points: 9

Gross Margins:

3 points for each green, 2 points for each yellow or green bang, in each of the last three years.

Maximum possible points: 9

Current Ratio:

4 points for each green in each of the last three years.

Maximum possible points: 12

Net Working Capital:

3 points for each green, 1 point for each greeen bang, in each of the last three years.

Maximum possible points: 9

Inventory Turnover:

Zero points. Just a learning opportunity.

Net Cash from Operations:

1 point for each green in each of the last three years.

Maximum possible points: 3

Net Cash at End of Year:

15/(number of years) for every green; 10/(number of years) for every yellow, for every year

Maximum possible points: 15

Internal Rate of Return Satisfactory:

4 points for a green, 3 points for a yellow, in the year you indicated you expect to have a liquidity event.

Maximum possible points: 4

Internal Rates of Return Consistent:

8 points for a green (the rest are always gray)

Maximum possible points: 8