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Introduction: pubic louse Council Australia (CCA) is a non-for-profit organisation dedicated to promoting malignant neoplastic disease awareness and prevention. A large majority of funds raised(a) by the Cancer Council are devoted to cancer research. Its master(prenominal) sources of income are derived from licensing and royalty agreements with third parties. In this document, our team give outline a model that will ensure Cancer Council Australia is exposed to minimal risk in dealing with these partnerships some(prenominal) in social and financial aspects. Financial Viability: Before entry into any agreements with third parties, it is important to check the financial viability of the electromotive force partner. This helps to ensure that the third party has the ability to pay the contractual royalty payments negotiated between the CCA and themselves. To assess financial viability, a stark(a) analysis of the companys financial statements must be undertaken, focusing on the third partys financial stability, liquidity, ability to finance debts and cash decrease. Moreover, the CCA should have every in good order to request for the business future strategies, plans and bud amazes in deciding whether or not to partner with the third party. The main financial statements that convey to be reviewed in this process are the income statements, cash flow statements and the balance sheets.

? Income Statement: When examining income statements, CCA should look for consistently stable net profit for the past few years. This will help to ensure CCA receives a secure royalty payment. However, even when third parties have incurred losses during past years, it is still plausible to enter into agreements with them provided that the company has a bright business plan and/or optimistic consumer confidence. The counseling the company is financed is also a vital issue. Large amounts of debt, following payments and other finance costs can prove damaging to the profit-making ability of the company. ? Cash Flow Statement: When... If you want to get a full essay, order it on our website: Ordercustompaper.com

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