Letter of intent with terms: which clauses really matter and which are just noise
A term sheet is the document that structures the negotiation of an investment before entering into full legal drafting. It is not usually the final contract, but it sets the ground: price, percentages, rights, and conditions. In the seed phase, its value lies in avoiding misunderstandings and saving time. Its danger also lies there: if […]
Customer credit policy, limits, internal scoring, and temporary alerts
A customer credit policy is the set of rules that decides who you sell to on credit terms, how much you finance them, and what signals trigger control measures before payment default appears. In an SME, trade credit is often the largest involuntary “investment”: the more you sell on credit, the more cash is tied […]
Sensitivity analysis and scenarios, prepare your plan B
Sensitivity analysis and scenarios turn the budget into a decision-making tool, not a static document. Its objective is to anticipate how your result behaves if key variables change and, from there, define realistic contingency plans that protect margin and treasury. In an SME, with limited resources, the priority is to identify a few levers that […]
How to Finance Your Startup: The Great Opportunities in Galicia
You started your startup and had the good fortune of being in Galicia, where you have one of the greatest structural advantages of the Spanish ecosystem. In Galicia, you don’t have to chase isolated subsidies; the essential starting point is first to get to know IGAPE’s offerings. It is mandatory for every startup to have […]
Practical taxation for self-employed and limited companies, VAT, personal income tax and corporate tax without surprises
In an SME or a professional self-employed individual, the difference between operating with peace of mind or suffering cash flow tensions usually lies in three prior decisions. Defining a fiscal calendar integrated into the budget, establishing operational rules for invoicing and expenses, and assigning clear responsibilities with periodic reviews. With this framework, VAT, personal income […]
Leasing or renting to invest without draining cash flow
The decision between leasing and renting is not a comparison of isolated financial products; it is a financial architecture decision. It affects the SME’s risk profile, its investment governance model, and the discipline with which it connects capex with cash generation. Good design starts with three guiding questions: What asset do I need to execute […]
Strategic pricing in SMEs, models that improve the margin
Price is the most sensitive variable of the margin in an SME. A small adjustment, well-founded, can increase profitability without increasing costs or additional sales. A disproportionate adjustment can create a scenario where sales cannot be sufficient to maintain the production apparatus. To treat pricing with rigor, it is advisable to start from clear concepts, […]
The environmental factor in Galician ventures
The analysis of your company should not be limited to checking profitability, growth projections, and financial stability through its ratios. In recent years, it has become essential to incorporate environmental sustainability as a fourth evaluation axis, because it impacts regulatory risk, access to financing, relationships with clients, and competitiveness. Measuring margins, liquidity, and leverage, alongside […]
Financial architecture of Galician SMEs, leverage rules and control dashboard
The financial architecture is a working methodology that seeks to create an order to support the company’s growth without losing control of the existing risk in the environment where it operates. The important thing is to define a capital structure consistent with the cash cycle, control leverage with simple rules, and govern day-to-day operations with […]
Financial health in your SME: the 4 key indicators you must master
Your accounting documents are in order, you already know that keeping your accounts up to date gives you a solid foundation to understand your SME. Thanks to this, you can delegate part of your responsibilities and feel that, little by little, you can recover a balance between your personal life and work. But then, after […]
