Business finance refers to the management of funds and resources in a business. It encompasses everything from budgeting and forecasting to investment decisions and risk management. At its core, business finance is about ensuring that a company can meet its financial obligations while also planning for future growth and development.
Importance of Financial Management in Business
Effective financial management is crucial for the success of any business. It helps in maintaining liquidity, managing expenses, and planning for future investments. Proper financial management ensures that a business can withstand economic downturns and capitalize on growth opportunities.