Credit Analysis of the Organization

               Individuals who grants credit has a major task and responsibility not only himself but to the economy and to the society. On this regard, there should be a thorough analysis and evaluation of credit risks for those who wants to avail a credit. There should be a credit rating on the person or organizations before they will be given approval on the facilities they want.

            Credit analysis is a broad idea. You never focus on one aspects but you need to consider various and important details that could affect the credit position of a person in the future. Having a financial analysis on different line of business.

            In credit analysis the first thing to do is to have credit information. There are principal sources of credit information you may obtain; first is from internal sources such as the records of the previous loans of the debtors; second, is the external sources of information. These sources could be found in different agencies that person is having a business transaction, records and others.

            Second, to have an interview with the debtor. Asking some important questions that could satisfy your requirements in granting the credit. Third, having an inspection, through this method you can identify and know the real person who are applying for a loan in your company. And fourth, is asking a copy of their financial statement. This important documents is indispensable in facilitating the loans to the debtors in order to attest its liquidity and capacity to pay the debts.

  

Credit Management

          

           The main objectives of credit is to have a profits  it is also take some area wherein the business will take their risk and somehow face the reality that there is a chances the debtor cannot pay their obligations to the creditor.

            The importance of credit management will collaborate between credit and collection. It is the vital functions of every credit manager. The percentage of having a 100% collection and 0% for uncollectible accounts should gave way to the company an effective credit management and attained a high income.

            The credit manager performs an important role in achieving the goals of the company. He or she must act an efficient and effective credit man. This manager occupies a very important position in the structure of credit economy.

            There will be varied activities to be performed by credit manager. Such as, investigating the credit position of the applicant or the debtor which will cover many areas namely; the purpose and the type of investigation to be conducted, the organizations policy, amount involved, classification of clients, and the resources availability.

Corporate Social Responsibility

        



    Every business needs progress.They develop strategies and set standards to achieve growth. Despite of competition and the calls of globalization companies tried to adopt and abreast on this change. Aside from this, every executives develop a scheme of quality control and adhere the new changes in management in order to compete and become stable in their operation.   

       Various units in the enterprise committed to achieve their predetermined objectives. As a matter of fact they boost their efficiency and productivity in order to hit the target. But some of the company lost in this important aspect of the company and that is their Corporate Social Responsibility (CSR). Multi-national company make a thorough planning on their CSR program. 

         Corporate Social Responsibility of the company does not limit only on their internal environment but it is also expanded on external environment. The customers, government agencies, and the end-users of the product and services of the company. There are some terms refers to CSR such as corporate conscience, corporate citizenship, social performance or sustainable responsible business. Whatever terms they may be using still the main agenda to be accomplished is responsibility. CSR acts a self-regulating mechanism who monitors and ensures its active compliance with the law, ethics, and global norms. 

        CSR take charge and embrace for the company's dealings and contribute a positive impact through different activities on environment, consumers, employees, communities stakeholders and others. The responsibility of the company to provide a products and services with honesty, integrity and sense of responsibility. The main goal is to satisfy the people to meet their needs and at the same time their wants. Hence, some companies take a big step in promoting and strengthening their CSR program.  

         Through this program the company could impart change to the community. Develop a sustainable environment which people and the enterprise creates a two-way relationship. 

         Indeed, the company should magnify the effect of their CSR program to the society. It is a call for development. Injecting the change and progress for the community in order to become a lifestyle of the company as a whole.

Tips How to Motivate Employees

    Every employees is an asset to the company. Their skills and talent is indispensable for the progress of the enterprise. Workers are the mediator in achieving the organizational goals and great help for daily business operation. But, there are so many questions, and problems that haven't yet answered and given a solution on the employees problems. Some of them are not satisfied, and others are not motivated to work. How we can motivate our employees? How we can tap efficient and productive workers? As a neophyte business owners how can we create an environment for our new employees who can work for the betterment of the organization.

    Motivation is a process that elicits, controls, and sustains certain behaviors. For example: An individual feel thirsty, he or she feels uneasiness and responses to his feelings. There are so many theories focuses on motivation of employees how to satisfy their needs and wants. Give the feelings that they are accepted and secured. The goal of motivating them is to retain the employees who are worthy and asset for the attainment of the organizational goals.
    Many things to be remember in motivating the employees. You need to consider different aspects and perspective in order to have a sound decision making in order to attain the progress and harmonious relationship among employees.

     1. As the owner of the every enterprise you need to have consistency in establishing a concrete and good relationship to your employees, no biases and favoritism.
     2. Established respect. Respect everyone. Believe on the sayings of Desiderata "Even the dull have their own story"
     3. Show integrity. As the owners of the company or if you are the boss let them know that you have a good image and show to them that you are a person that have integrity.
    4. Know the employees feelings. Let them feel that they are accepted and loved. Whatever their problems give them sympathy and most of all the empathy.
    5. Give praise and recommend your employees. Whatever achievement and good performance praise them and acknowledge them for a job well done.
    6.  Show love. The greatest you could give to your employees is love. Let them know that they are beloved and;
     7. Have an environment of "Peoples' Participatory". Let them participate in every undertakings of the company.
     Indeed, motivating one's employees is fragile. You need knowledge and hearts in order to accomplish it. And beyond those difficulties you can change one's life and at the same time you can build a good and efficient employees. Let's them move and be motivated.

Financial Management of SME's

      Small Medium Enterprise (SMEs) a great contributor in the development of the economy of one country. It varies from different perspectives but its main agenda is to enhance and contribute development and change to the society and  to the country as a whole. Many problems encountered by different SMEs around the globe because of lack of technical help from the government at the same time from the owners itself. But the government agency tries to develop a concrete help in attaining its stability of the enterprise. 

    Since then, they discover many changes and possibility of bankruptcy. They are somehow affected by different factors in the economy such as, resources, management skills, technical and technological resources. But the most common problem of SME's owners' are how to management their financial resources. So they need, a skills on financial management.

     Financial management is one of the main function of management in handling with the resource and monetary aspect of enterprise for funding and operating a business with adequate return. The financial management will tackle the advantages and disadvantages of various funds in term of capital. As the enterprise needs capital to start, the financial management plays an important role in locating the different sources in term of owners' wealth, shared capital and other sources of funds in order to operate the business.

      SME's hard to analyze the risk and return of their capital. Owners' should develop this kind of management skills in order to achieve their desired goals. And as agent of development to the dying economy of the country. Your not only allowing your wealth to increase but the owners also help the society by giving opportunity.

 

Basic Tips how to Manage Company's Financial Resources

   

When your propensity to spend is low, your propensity to save is high.

   Financial resources of the company is very important. It is the lifeblood of an enterprise. That is why many organizations hired brilliant and knowledgeable financial manager just to manage the financial resources of the company. 

   Companies all over the world became dependent on the resources present in the enterprise because the success of it relies on the availability of fund. Thus, financial manager tries their best to manage the resources of the company. They set standards, protocols and approved different policies how to spend the resources of the company efficient and effectively. Controlling the expenditures and increase the revenue so that the company have a stable financial position in the present condition of the economy. 

     Here are some basic tips how to manage the company's financial resource in attaining the organizational goals.

       1. Control. The most important things is to control the resources of the company. Example, the spending and control the assets at the same time monitor the flow of transactions when it is involve fund utilization.

          2. Authority. Financial manager has the authority to make some recommendations and policies how to augment the resources of the company, and make a decision how to use the assets and different resources properly and correctly.

            3. Save. The key function of a financial manager is to save. The revenue should be higher to the expenditures. As a financial manager there should be a virtue in saving and investing. The propensity to spend should be low so that the propensity to save is high. 

            4. Hedging. Minimize loss and risk. It is important also to minimize the tendency of losing and prevent the risk of being bankrupt. 

Tips How to become a successful Entrepreneur

  An entrepreneur is the manager or owner of a business enterprise who invest his wealth and take the risk of making this venture. Being an entrepreneur is a call. It needs character and good perspective in achieving the desired and set of goals. If you want to become a successful entrepreneur you need to unleash the proper mindset of being a victorious entrepreneur. Nowadays, people wants to earn his or her first one million by doing something or sometimes we try the luck. But some of them take risk. They invest just to earn big and quit from his employment. To become a successful entrepreneur you need to start from scratch. Someday  if you follow your dreams and work hard you can achieve it. Here are some tips how to become a successful entrepreneur. First, evaluate your self. Do something today. You want to make a difference and strive for excellence. Second, change your perception. Think positive and always do your best. Third, unleash and develop the skills and talents you have. Fourth, dwell on the concept of continuous learning. Fifth,  pray. Ask God for His divine intervention and ask His guidance always. What are His plans for you. Sixth, follow your dreams. Don't stop believing that you can do everything and conquer your boundaries. And lastly, you need a passion in everything you do. You can create things or invent something new which people patronize it and always remember strive for excellence. Whatever hindrances and difficulties still you will finish the race.

 

You're like a plant that will grow and bear more fruits.

   Indeed, to become an entrepreneur you need to open the gates of possibilities. Be a person of dreams. And don't be afraid. Just believe and pray hard.