Benefits of Finance
We can describe finance as a field that deals with various investments and it includes the assets and the liabilities of a company or business and this normally varies under different conditions due to various uncertainties and risks that are involved. In this chapter, we are going to discuss the various ways in which finance is quite advantageous and beneficial to both individuals and businesses and organizations. Finance is very important to individuals and businesses and this is because it results in them being in a position to pay their utility bills and it also leads to the smooth running of businesses and organizations. The lack of finances normally leads to a lot of things being put on hold and this normally affects a number of operations of the business such as advertising and for this reason it is important for businesses and organizations to ensure that they have proper finances to enable them to be able to market their products and services so as to be able to increase their revenues and also sales.
Having good financial records is normally important to both individuals and also businesses and this is because they are able to know their financial position and therefore this will enable them to know whether they will require additional credit from other sources in order to be able to survive or continue with operations. Budgeting is a very important tool when it comes to finance and this is because it provides both individual and the business with an opportunity to know the exact financial position so they will be able to know how much they need to spend and how much is within their disposal so that they avoid spending money on things that are not of importance to either the business or the individual.
Finances are the underlying factor when it comes to expansion and growth of any business and therefore it is normally important that you know how your finances are so that you may be able to know your level of expansion and also how much you are growing in the business. Finance does not only has benefits to the individual and the business but it also contributes to a lot when it comes to the economy of a country and this is because it leads to businesses being developed and also expanded and this means that the amount of tax that is received by the government is also increased as a result of this the government is able to have money to be able to develop the country in various aspects. In this talk, we have been able to discuss the various ways on how both individuals and organizations are able to benefit from finance and also how it is able to be beneficial to the entire economy.