Financial Management In Business

Every business venture has its aim and objectives, one of which is to maximize profit. To maximize profit, you have to be in control of your revenue (sales) and your expenditure. Revenue (sales) is a very key function of growth expansion and continuity of any business, so it is important to target, win and keep your customers. Profitable business is a product of good financial planning, budgeting and performance evaluation.

An organization that wants to continue in business in the long run should pay attention to the accounting functions of his business, making sure that expenditure does not exceed revenue. There should be proper segregation of duties; internal controls should be strictly followed and bank accounts maintained for lodgments. The invoicing department should be different from the receipting expenses should not be made from cash sales directly, cash float should be maintained and proper records kept for all transactions and signed by those authorized to do so.

In conclusion, good business management equals good business.