FINANCIAL PLANNING IN BUSINESS FINANCE..

FINANCE STEPS

1. FINANCIAL PLANNING BUSINESS FINANCE GRADE 12 ABM

2. All individuals, professionals, businessmen will have their goals to be in profession or business. However, about objectives at business finance, we have to plan them. You should know how you can save a lot, you must know your goals. Here is the step by step financial planning process which includes six steps in financial planning process which will assist you. You should be aware of the life cycle approach of financial planning process to structure your goals . The long-term goals that you plan to achieve in the future, play an important role in everyday life as you already have in mind a set of plans for the next five years. If you are not yet sure what you want in five years from now will probably still have an idea of what kind of life you want. You are still in the process of planning . Planning is an important aspect of the firm’s operations because it provides road maps for guiding, coordinating, and controlling the firm’s actions to achieve its objectives. Management planning is about setting the goals of the organization and identifying ways on how to achieve them.

3. Long-term financial plans or the strategic plans are a set of goals that lay out the overall direction of the company. A long-term financial plan is an integrated strategy that takes into account various departments such as sales, production, marketing, and operations for the purpose of guiding these departments towards strategic goals. Those long-term plans consider proposed outlays for fixed assets, research and development activities, marketing and product development actions, capital structure, and major sources of financing. It also include would be termination of existing projects, product lines, or lines of business; repayment or retirement of outstanding debts; and any planned acquisitions.

4. Short-term financial plans or the tactical plans specify short-term financial actions and the anticipated impact of those actions. Part of short term financial plans include setting the sales forecast and other forms of operating and financial data. This would then translate into operating budgets, the cash budget, and pro forma financial statements.

5. FINANCIAL PLANNING PROCESS Step 1: Determine Your Current Financial Situation Step 2: Develop Financial Goals Step 3: Identify Alternative Courses of Action Step 4: Evaluate Alternatives You need Step 5: Create and Implement a Financial Action Plan Step 6: Re-evaluate and Revise Your Plan

6. Step 1: Determine Your Current Financial Situation

7. Step 2: Develop Financial Goals

8. Step 3: Identify Alternative Courses of Action

9. Step 4: Evaluate Alternatives You need

10. Step 5: Create and Implement a Financial Action Plan

11. Step 6: Re-evaluate and Revise Your Plan