When people think of financial management, they think about managing their own accounts in the bank: paying bills and budgeting, saving for a rainy day, and monitoring their spending. Financial management goes beyond just that. It involves monitoring and controlling all the money that comes out and enters an organization. It also involves making strategic choices to make the business as secure and profitable as possible.
All businesses should first set their own goals, which include measurable goals such as maximizing profits and growth of the business. They must then decide how they can achieve their goals. This involves setting up accounting systems, preparing financial reports, and determining how they can grow their cash flow. It’s important to consider that even small changes to the financial management of a company could make a huge difference to both long-term and short-term results.
Finance teams are accountable for all of the cash that is deposited and taken out of a business. They are responsible for establishing and implementing all banking procedures in the company. They also oversee the issuance of shares and bonds, manage debts and loans and make all investment decisions. They must be competent to balance the books and ensure there is always enough cash available for all operating costs, and also ensure that any new investments will earn an appropriate return.
If your company is growing quickly and you’re still not ready to bring on an all-time financial controller or CFO, Zeni can handle all of your bookkeeping, accounting and financial reporting requirements remotely and at startup-friendly cost.