Mastergp
Verified member
Financial management also known as cash management is the life wire of any business by buying all the equipment we need, saw materials , salaries or workers etc. When the business takes off, money is needed to pay for utilities, rate, wages etc. When a sale is made, money is received and this money is used to meet all the financial engagements of the firm and therefore any attempt to misplace priority or misappropriate that fund will result in quick business demise.
Many promising small scale and in fact, gigantic firms have failed due to poor cash management.
The important of cash in running of businesses has made it very crucial to hire a Financial expert who will ensure that the cash flow system of the organization is maintain to ensure that the cash flow system other organization is maintain to ensure that cash is made available to meet needs as at when due to avoid production stoppage .
Cash management requires that attempt be made to avoid idle cash while ensuring that adequate cash is made available to meet daily and other immediate financial needs of the organization.
Some of the items that can be classified either as cash or its equivalent are cash in hand, cash at bank, deposits in banks, bank check, bank drafts,travelers checks, money orders, bill of exchange etc.
Many promising small scale and in fact, gigantic firms have failed due to poor cash management.
The important of cash in running of businesses has made it very crucial to hire a Financial expert who will ensure that the cash flow system of the organization is maintain to ensure that the cash flow system other organization is maintain to ensure that cash is made available to meet needs as at when due to avoid production stoppage .
Cash management requires that attempt be made to avoid idle cash while ensuring that adequate cash is made available to meet daily and other immediate financial needs of the organization.
Some of the items that can be classified either as cash or its equivalent are cash in hand, cash at bank, deposits in banks, bank check, bank drafts,travelers checks, money orders, bill of exchange etc.
