When people think of financial management, they usually think of managing their own accounts in the bank: paying bills or budgeting, saving for rainy days and monitoring their spending. Financial management is more than just that. It involves tracking and controlling every dollar that enters and leaves a company. It also involves making strategic decisions in order to make the business as secure and profitable as is feasible.
All businesses should first set themselves goals, with measurable targets such as profit maximization and expansion of the business. They need to then decide on what they’ll do to reach their goals. This means preparing financial statements in addition to setting up accounting systems, and determining the best method to grow their money. Even the smallest improvements to the management of finances in a business can have a big impact on its short-term and long-term performance.
Finance teams are accountable for all of the cash that is deposited and taken out of a business. They are the ones who create and manage a company’s banking procedures. They also oversee the bond and share issuance and manage loans and debentures and make all investment decisions. They must be able to balance the books and ensure that there is always enough cash on hand to cover operating expenses while ensuring that new investments will earn an appropriate return.
Zeni can help you with your bookkeeping and accounting requirements and even provide financial reporting should your business be growing quickly and you are not ready to hire a full-time chief financial officer or financial controller. Zeni offers startup-friendly pricing and can manage your financial reporting, accounting, and bookkeeping remotely.
