Business Finance
Business Finance Business Finance or Corporate Finance, as it is also known, is the methodology of allocating financial resources with a financial value in an optimal manner, to maximize the wealth of a business enterprise.
Business Finance There are 3 major decisions to be made : Capital budgeting : It is budget for major capital, investment or expenditure. It is the planning to determine whether a firm’s long term investments are worth pursuing. Financing : It is the decision regarding which resources or funds are to be brought into the business, from external investors and creditors, to be invested in profitable projects. Dividend policy : Decisions regarding funds to be distributed or returned to equity investors.
In terms of ‘acquiring resources’, Business Finance is concerned with issues such as: How will physical assets be acquired/financed? Should borrowed funds, rather than internal funds be used? How long does it take to re-collect money from customers? Business Finance
In terms of allocating resources, Business Finance deals with issues such as: What return must a new operation produce, to make it worthwhile ? How much must be sold, to break-even and how long will it take to reach that point ? What is the profitability of each product? Business Finance
Apart from being concerned with acquiring and allocating resources, Business Finance also serves as an information system. Financial statements, budgets and forecasts form a part of Business Finance. These give managers the information they need to make better business decisions. Business Finance
Key Learning Areas Financial-Statement analysis Management of working-capital Budgeting and budgetary-control Management information and reporting systems
Careers This program is designed for executives working in non-finance areas like: –Marketing –Operations –HRD –IT –Engineering, etc. It has been developed in the context of the increasing strategic focus placed on finance and the need for non- finance executives to get a ‘good feel’ of this vital area.
Careers 1.Corporate Manager 2.Finance Manager 3.Audit Manager 4.Manager - General Accounting 5.Tax Analyst 6.Finance Controller 7.Forensics Department/Consultancy 8.Treasury/Risk Department