Shareholders: share owners are interested to see where money was spent, and the return on investments. They can then decide whether to hold, sell or buy more shares.
Employees: staff might want to assess the likelihood of pay increase and job security.
Managers: use financial accounts to judge the operational efficiency of their organisations. It can be useful for target setting and strategic planning.
Competitors: rivals are interested in the final accounts to make comparisons of financial performance.
Government: tax authorities examine accounts of businesses, especially large multinationals to ensure they pay the right amount of tax.
Financiers: financial lenders such as banks or business angels scrutinise the accounts before providing any funds.
Potential investors: private institutional investors use accounts and ratio analysis to assess whether investments would be financially worthwhile.
