What are the Challenges in Managing Financial Capital?
Managing financial capital comes with its own set of challenges:
Cash Flow Management: Ensuring there is enough liquidity to meet short-term obligations while investing in long-term growth. Risk Management: Balancing the risks and rewards associated with different funding options. Cost of Capital: Understanding the cost associated with different types of financing and how it impacts the bottom line. Regulatory Compliance: Ensuring all financial activities comply with relevant laws and regulations.