As a general contractor using TradeTapp, if you have a set of in-house financial ratios that are not captured in the default financial formulas available, we have a tool to incorporate your custom ratios so that they are also auto-calculated into the analysis performed in TradeTapp.
Please reference, “Where can I see financial metric formulas and definitions? (General contractors)” for all the default financial ratios that can be calculated in the platform.
To add your custom financial ratios
- Please download the TradeTapp Custom Calculations worksheet at this link and follow the steps in the “Custom Financial Ratios” tab to complete it.
Requirements to Note:
- Ratios must fall into one of the following categories: Liquidity, Turnover, Debt, Profitability
- Equations can include inputs from the TradeTapp Financial Input (financial statements) and monetary questions from the TradeTapp default questionnaire (submitted by the vendor). Custom financial inputs are not supported at this time.
- There’s no limit on the number of ratios that can be added.
- Once you have filled out the worksheet, please forward your completed worksheet to your Customer Success Manager, TradeTapp Account Executive, or Implementation Manager. The respective team member will help configure your custom ratios into your TradeTapp account.
What will occur with benchmarking calculations when custom financial ratios are added:
- Results will be displayed in the ‘Financial Metrics’ section of the vendor’s profile along with the default TradeTapp financial metrics. See screenshot below showing the custom field “Backlog to Working Capital” line item under Liquidity.
- On the 1st day a new custom ratio is created, the results for the new ratio will all appear green until the nightly benchmarking calculations are run.
- When the nightly benchmarking calculations are performed, the custom ratio results will be benchmarked against all vendors and the metrics will be updated to reflect their score (red/orange/yellow/green).
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