Management of finance
Sources of finance
Businesses need to choose appropriate ways to finance their operations. Finance can be short or long term. It’s important that businesses choose the most suitable type of finance for their needs.
Break-even
Businesses use break-even charts to illustrate how to track and predict cash flows. A business needs to be able to calculate how many products they need to sell to make a profit.
Cash budgeting
Businesses need to manage their cash flow to enable them to operate effectively. It is important to be able to interpret a cash budget and justify suitable solutions to cash flow problems.
Income statement
Businesses need to be able to interpret an income statement (profit statement) in order to identify profit or loss and the reasons behind it.
Video playlist
Young entrepreneur. Video
A young entrepreneur spots a gap for a dry cleaners and gets the start-up finance.
Sources of finance. Video
How different sources of finance can help start up, run and grow a business.
Successful products - the story of the Mini. Video
Evan Davis tells the story of the Mini - a successful product but as a financial disaster.
Cash flow. Video
How one business dealt with the problem of more cash going out than coming in.
Breaking even. Video
How businesses need to adapt – an example of one business changing its focus.
