This knowledge allows you to carry out optimized management and avoid problems in the future
Financial education is nothing but the foundation for your management success. With it at hand, it will be much easier for you to manage your capital, analyze costs and expenses and, of course, understand where to make your investments.
So, with all these up-to-date precautions, you’ll be ready to optimize your resources, avoid waste, keep your business running, and organize yourself to achieve sustainable growth.
“Studying is always important,” says Eduardo Brach, SME director at Serasa Experian. “After all, investing in your own development always generates a return for the company,” he adds.
Financial education step by step
We know that in practice it may not be as simple as it seems, especially for those who are still at the beginning of the entrepreneurial process. Therefore, the Corporate super guidewith the advice of the specialized team of Serasa Experianhas separated valuable tips to help you take control of your business.
It is essential to first dive into the area you intend to pursue and try to expand your vocabulary on the topic. Discover the concepts and tools available to help you make the best decisions. Today we will present three of them:
- Balance Sheet: shows you the financial profile of your company at a given moment, with active expenses, liabilities and net worth;
- Income statement for the year: known as DRE, it is nothing more than a report that lists revenues, expenses and net profit for a closed period;
- Financial statement: Here you will see in detail the incoming and outgoing cash flows of your company, as well as a statement of all this.
CPF x CNPJ
No less important, Brach emphasizes that it is essential to consider how to organize your company’s finances. “Some things don’t require a course,” Brach points out. “How, for example, to understand that it is not possible to mix personal finances with business ones, as this can cause problems on both fronts: both for the natural person and for the legal entity,” adds the expert.
To avoid this type of trap, it is important to define a fixed monthly amount to be withdrawn as a salary, i.e. it must be consistent with your costs.
Tools to help with this planning
All of this can be organized, initially, in a relatively simple Excel spreadsheet, where you can monitor your expenses and monitor your cash flows. Brach points out that many first-time entrepreneurs fail with the basics. “Sometimes they don’t know how to measure or evaluate the financial health of the company because they don’t know what the expenses are, what the revenues are, and they often have trouble even pricing their product correctly,” he points out.
If you can rent a software, it’s better, but if you can’t, you need to keep track of it at least in Excel plans, to control your expenses, your income, especially your cash flow.
Which is nothing more than…
… The register of all company information, i.e. inputs and outputs.
Releases: expenses with inputs, salaries, payments to suppliers and other costs necessary for the operation of the company.
Voices: These are the amounts that come into the account, such as product/service sales, asset sales, and debt collections.
Working capital can save you
Working capital is anything you have in cash that allows you to make the daily transactions necessary for your business to continue operating. With it you guarantee yourself greater security in case of occasional financial difficulties or a decrease in income. In other words, it is a true ally to overcome crises along the way.
“The financial management of the company is one of the few things that cannot be outsourced. Operational control and financial control are the main functions of the entrepreneur to ensure that the company grows healthily,” concludes Brach.
Source: Terra
Ben Stock is a lifestyle journalist and author at Gossipify. He writes about topics such as health, wellness, travel, food and home decor. He provides practical advice and inspiration to improve well-being, keeps readers up to date with latest lifestyle news and trends, known for his engaging writing style, in-depth analysis and unique perspectives.
