WHAT ROLE DOES FINANCIAL MANAGEMENT PLAY?

Financial management is one of the most nt aspects of ensuring business ation. Businesses at all phases of ment (from startups to SMEs and even ganizations) require financial planning to manage and execute their operations, ng to Matthew p Schulman. Let's go the financial management process in pth and why it's vital for organizations.

WHAT IS THE DEFINITION OF FINANCIAL MANAGEMENT?

The financial management process is the process of managing, planning, controlling, organizing, and directing an organization's money. This is accomplished by applying management ideas to the financial assets of a corporation.

According to Matthew p Schulman,

Some of the primary goals of a financial management process are as follows:

Maintaining a sufficient cash supply to sustain the fundamental activities of the firm

Ensuring that business stakeholders may obtain strong ROIs

Optimal capital utilisation

Identifying and developing secure business investment possibilities