DiceTV: Finding the Devil in an Employer’s Financial Details

 

Want to make sure you don’t hire on with the next WorldCom? Hints on a company’s real health may be hidden in the financial filings public firms must submit to the government. But don’t worry: You don’t have to be a numbers whiz to spot the red flags. Watch our video, or click here for more.

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8 Responses to “DiceTV: Finding the Devil in an Employer’s Financial Details”

January 28, 2010 at 10:29 am, Bill said:

The best, and most profitable, job I ever had was with a company on shaky ground. The worst job I ever had was with a company that looked good on the books. Don’t get me wrong. 10-K’s are fun to look at. Check them out, so you know what you’re getting into. It even helps a little for an interview. Just don’t try to be a company analyst. If it were that easy, the stock market wouldn’t have tumbled.

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February 04, 2010 at 2:33 am, MattyMat said:

If I was out of work and needed a job?? The company financials wouldn’t make any difference.

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February 04, 2010 at 3:01 am, ph said:

Too simplistic to be useful.

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February 04, 2010 at 7:45 am, Jason said:

Depending on the company, that might not hold. The expenses associated with those revenues is another big thing to look at. Consider an ubiquitous product like Pepsi – their revenue might go up without them having done anything new, just because they spent more on the advertising. It’s if the operating expenses are going down while revenues are going up that you might want to ask what’s up – though, speaking from experience with the government, that might very well be legitimate improvements in efficiency too.

We’re putting in a new system here at work that’s improving a lot of our processes – expenses have been dropping, and if it weren’t for the economy tanking and taking our revenue source with it, we’d probably be setting off the red flags that are being talked about. No new employees – heck, we’ve lost several – with flat or increasing revenues, and decreasing operating expenses. It can be honest improvements, rather than cooking the books – just a reminder to ask for an explanation, rather than assuming there’s something up because the financials look fishy to you.

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February 04, 2010 at 8:18 am, Joe said:

I must agree – financial statements are a indicator of “something” but not necessarly something bad. In my start-up company, a small change will have a large impact on bottom line reports (such as getting a single client). I would suggest that, if you have time to be looking at such a report, you take whatever it says with a grain of salt unless you are an expert in the field. Bottom line – its always a good idea to get to know your prospective company but not at the expense of getting a job.

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February 04, 2010 at 10:08 am, messup said:

Worldcom, Enron, Baptist Church, Pearlman, etc. all cooked books, all scumbags.

Interviews only exacerbate the problem by having individuals whose aim is to hoodwink prospects whether interviewees or new clients. They’ll lie through their teeth, smile and feel nothing about what they’re doing to their company, employees or stockholders. Then company officers wonder why employees aren’t more “faithfull” to the company.

Power, greed are bedfellows in this environment and all prospective employees do well to fall back on…”buyer beware” motto.

The company isn’t your friend, they’re the opponent. Use them like you would a chessboard. “checkmate” is where employees want to be, not the “pawn” sacrificed in a game plan they designed to “always win.” Get a good lawyer. They have slews of them. Read, re-read and then refer it to a good lawyer…before you sign. After, you’re history.

It’s a war out there and the chips are stacked against the prospective client, employee and public.

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February 04, 2010 at 11:07 am, marcus said:

Interesting headline. I thought it might contain useful information but it turned out to be totally trivial.

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February 05, 2010 at 3:57 am, Tom S said:

I think the best is look them up on BBB. I was just tried to be recruited by a company that had over 2000 complaints against them . BBB rated them an “F” ..

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