What are the Key Components of Financial Management?
The key components include:
Budgeting: Creating a detailed financial plan that estimates revenue and expenses over a specific period. Cash Flow Management: Ensuring that the business has enough liquidity to meet its short-term obligations. Financial Reporting: Regularly generating financial statements such as the income statement, balance sheet, and cash flow statement. Risk Management: Identifying and mitigating financial risks that could affect the business. Funding: Securing the necessary capital through venture capital, angel investors, loans, or other financing options.