CREDITORS

CREDITORS:
They supply goods on credit to the business. They are interested in knowing if the business is viable and to know how fast they can be rewarded for their services. They’re not necessarily concerned with how much profit the business generates but want to know how credit worthy they are and how profitable the business is in other to get their money back.
TAX OFFICIALS:
They are keen on the profitability of the business to know how much the company will be taxed. Tax officials also wish to know if the company has underreported their earnings and to detect any dubious activities for which details should be demanded.
Lenders: the Lenders of the business are particular about the profitability of the business to know how viable the company is and to know if they can keep to their repayment schedule as promised.
EMPLOYEES:
The main concern of the employees is their financial security. They were employed by the management to work for the company and carry out specific duties. Therefore, as long as the business is in existence, their job is safe and their finances secured. Financial statements will point out how profitable the business has been and to know if they can continue working for the business or look for opportunities elsewhere.
DIRECTORS/MANAGERS:
They are saddled with the responsibility of generating profits for the company and to keep it running. Their pay is also linked to the profits made in the company and they are aware that the more profit it makes, the higher the likelihood of their payment increase.
They are interested in keeping their job and to secure their finances
GOVERNMENT:
They’re interested in the profitability of the business in other to impose regulations on them. The sustainability may also be important to them in other to provide jobs for the society.
OWNERS/SHAREHOLDERS:
They are interested in knowing if the returns on their investment are satisfactory and also how healthy the business is. The financial statement is also used to judge the performance of the

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