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.