REDUCING FINANCIAL RISKS Reducing the financial risk inherent in business activity is best achieved by applying the principles and techniques appropriate to the situation. Ensure you are Operating with the Correct Structure. Cross your t's and dot your i's. It seems like a cliché, but it is essential to have the proper business structure-Limited Liability versus C Corporation-to protect yourself and your business. Regularly Review Your Financials Review and interpret accurate, reliable financial statements and key performance indicator figures as often as possible. This helps guide decision-making for immediate corrective actions should financial risks exist, as well as strategic sales, marketing and financial planning to minimize potential financial risks. Build a team of advisors Follow the ABCs: attorneys, bankers and CPAS. Attorneys and CPAS are common, but bankers have been lost in recent years. Most business owners think their banker is the guy down the road at their local branch, but that is not the case. Hire a CFO. Hiring a CFO is a must. It is the best hire I have made in 14 years as a financial entrepreneur. Your CFO will help you move from bottom-line, monthly- income-versus-expense thinking to forecasting revenues well into the future.
REDUCING FINANCIAL RISKS Reducing the financial risk inherent in business activity is best achieved by applying the principles and techniques appropriate to the situation. Ensure you are Operating with the Correct Structure. Cross your t's and dot your i's. It seems like a cliché, but it is essential to have the proper business structure-Limited Liability versus C Corporation-to protect yourself and your business. Regularly Review Your Financials Review and interpret accurate, reliable financial statements and key performance indicator figures as often as possible. This helps guide decision-making for immediate corrective actions should financial risks exist, as well as strategic sales, marketing and financial planning to minimize potential financial risks. Build a team of advisors Follow the ABCs: attorneys, bankers and CPAS. Attorneys and CPAS are common, but bankers have been lost in recent years. Most business owners think their banker is the guy down the road at their local branch, but that is not the case. Hire a CFO. Hiring a CFO is a must. It is the best hire I have made in 14 years as a financial entrepreneur. Your CFO will help you move from bottom-line, monthly- income-versus-expense thinking to forecasting revenues well into the future.
Oh no! Our experts couldn't answer your question.
Don't worry! We won't leave you hanging. Plus, we're giving you back one question for the inconvenience.
Submit your question and receive a step-by-step explanation from our experts in as fast as 30 minutes.
You have no more questions left.
Message from our expert:
Writing assignments don't fall within the 30+ subjects covered in Ask an Expert. For writing help, please visit bartleby write. We've credited a question to your account.
Your Question:
Topic: STRATEGIC FINANCIAL AND RISK MANAGEMENT STRATEGIC KNOWLEDGE AND INFORMATION MANAGEMENT
Required: Please explain the photo attached
Recommended textbooks for you
Essentials Of Investments
Finance
ISBN:
9781260013924
Author:
Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:
Mcgraw-hill Education,
Essentials Of Investments
Finance
ISBN:
9781260013924
Author:
Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:
Mcgraw-hill Education,
Foundations Of Finance
Finance
ISBN:
9780134897264
Author:
KEOWN, Arthur J., Martin, John D., PETTY, J. William
Publisher:
Pearson,
Fundamentals of Financial Management (MindTap Cou…
Finance
ISBN:
9781337395250
Author:
Eugene F. Brigham, Joel F. Houston
Publisher:
Cengage Learning
Corporate Finance (The Mcgraw-hill/Irwin Series i…
Finance
ISBN:
9780077861759
Author:
Stephen A. Ross Franco Modigliani Professor of Financial Economics Professor, Randolph W Westerfield Robert R. Dockson Deans Chair in Bus. Admin., Jeffrey Jaffe, Bradford D Jordan Professor
Publisher:
McGraw-Hill Education