Index of financial terms

What do you mean by an angel investor?

An angel investor can be a wealthy individual or another entrepreneur that wants to invest in your idea and gain a stake in the ownership of your company. The stake can be decided based on the company’s worth or the value added by the angel investor to it. For example, if the valuation of a company is INR 1 Crore and he is investing 50 Lakhs, then the startup will be worth INR 1.5 Cr, and based on this amount, the angel investor can ask his stake.

What is financial performance?

It is a measure of how well a company can use its resources since the beginning and generate revenue. It also helps in determining the financial health of a company over a period. 

It can be calculated by dividing the net profits/net assets* 100