Many people think of financial planning when they think of their personal bank account paying their bills, budgeting, setting money aside for rainy days, and keeping track of their spending. But the management of finances for businesses is more extensive than that. It involves tracking and regulating all the money that flows out of and into an organization. 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 goals such as maximizing profits and expansion of the business. They must then decide the best way to achieve their goals. This means establishing accounting systems, making financial reports, and determining how they will increase their earnings. It is important to keep in mind that even small improvements in the financial management of a company can have big impacts on both long-term and short-term results.
The finance department is accountable for the money that enters and leaves a business. They are responsible for establishing and the implementation of all banking procedures within a company. They oversee the issuance as well as management of bonds and shares as well as manage debts and make investment decisions. They must be able to balance the books, and make sure that there is always money available for all operating costs.
If your company is growing rapidly and you’re not ready to hire a full-time controller of finances or CFO, Zeni can handle all of your bookkeeping as well as financial and accounting reporting needs remotely and at startup-friendly prices.