Finance management stands for distribution of dividend, capital raising, and looking towards foreign currency . Financial managers are the people who will do research on where to invest , how to invest and decide what type of investment for company’s assets as well as maximizing the profit for the company and to increase the value of the firm for all the shareholders.
Here are the functions of the financial management ;
Estimation of capital needs :
A finance manager has to make the estimate for capital requirements of the company and for there benifits.
Determination of capital work :
Once the estimation have been made, the capital structure have to be decided which is called determination.
Choice of sources :
Loans should be taken from different banks and other financial companies.
Investment of funds:
The main thing is where to invest the funds from where the company get more safety and possible returns.
Types of finance
- Interest rates
- Balance sheet, cash flow statement)
- Cash flow
- Cost of goods
- ROI ( RATES OF RETURN )
- Risk and return
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