When people think of financial management, they usually think of managing their own bank accounts, paying bills and budgeting, putting aside money for a rainy day, and monitoring their spending. Financial management goes beyond just that. It involves tracking and monitoring every dollar that enters and leaves a business. It also involves making strategic decisions to make the business as profitable and financially secure as it is possible.
The first thing every business needs to accomplish is to set objectives for themselves, including tangible targets for things such as profitability maximization and growth. They should my company then determine how they will achieve their goals. This means preparing financial statements as well as setting up accounting systems and determining the best method to grow their money. Even minor improvements to the management of finances in a business could have a major impact on its short-term and long-term performance.
The finance department is accountable for the money that enters and exits a company. They are the ones who establish and manage a company’s banking procedures. They oversee the issuance and management of bonds and shares as well as debts. They also make investment decisions. They must be able to balance the books and ensure that there is always enough cash available for all operating expenses, and also ensure that any new investments will produce an acceptable return.
If your company is growing rapidly, but you’re not yet ready to hire an all-time financial controller or CFO, Zeni can handle all of your bookkeeping accounting, financial reporting and accounting requirements remotely and at startup costs.