The majority of people think of financial planning when they think of their personal bank account: paying their bills, budgeting, putting money aside for rainy days and keeping track of their spending. But the financial management of businesses is more extensive than that. It involves controlling and tracking all the money that comes out of and into an organization. It also includes making strategic decisions to make the company as secure and profitable as possible.
Every business should set themselves goals, with measurable goals such as maximization of profits and expansion of the business. They should then determine how they can achieve their goals. That means setting up accounting systems, creating financial reports and determining ways they can increase their profits. It’s crucial to remember that even small changes to the financial management of a business could have big impacts on the long-term and short-term success of the business.
Finance teams are responsible for all of the money that comes in and out of a company. They are the ones who establish and implement all of a company’s banking procedures. They oversee the issuance as well as management of shares and bonds, manage debts, and make investment decisions. They must be competent to balance the books and ensure that there is always enough cash on hand to cover all operating expenses and also ensure that any new investments will earn an appropriate return.
If your company is growing rapidly and you’re not yet ready to hire an all-time financial controller or CFO, Zeni can handle all of your bookkeeping, accounting and financial reporting needs remotely and at startup-friendly prices.