Financial management is the key to run the business smoothly and hang on for the long period on the market. The company stability of your finance and its success foundation will be the determined by the wise use of money. To control the company cash flow we need to establish 4 financial controls. This will not let your company run out the money.

The first is financial guidelines that are made according to the value of the business. The purpose is to avoid us making financial decision based on impulse. This is proper for the business that is just beginning when the financial advisor recommends the best use of money in our business. This is what we call with financial plan which includes: taking care of financial need (the necessary), renegotiate with vendors and debt rates, regular financial evaluation (+/- 90 days), cutting the expenses, and negotiating a discount and utilizing coupons or rewards.

The second is a Financial Budget that has been determined before the spending action takes place during a period of time. We must take careful action when deciding a budget as it is subject to change.

Spending schedule is the next financial control that will help us to decide the place to allocate our money when we make it. We need then set up financial accounts such as: cash reserves, maintenance and repair, research, development and growth, employee salary; miscellaneous expenses, charity and many more.

The last one is debt strategy. This is useful to anticipate the company to be dependant on debt, overburdened by debt and creating potential liability for the company. The best strategy is to avoid any debts. If we really need the debt urgently then the company must make sure that the company has the money already in the bank (strategic financing). Another strategy is to renegotiate the loan and credit terms and rates on a certain period of time (quarterly, half-yearly or yearly basis).