2. Financial plan
A financial plan can be a budget, a plan for
spending and saving future income. This plan
allocates future income to various types of
expenses, such as rent or utilities, and also
reserves some income for short term and long
term saving.
financial planning is the process of formulating
policies and strategies relating to the
investment and administration of funds for the
smooth functioning of an enterprise.
3. Types of Financial Plans
short term financial plan
Medium term financial plan
Long term financial plan
4. Features of small business finance
Creditworthiness.
More need for liquid assets.
More dependence on borrowings.
Personal management and control.
5. Financial needs of an organization
Start up expenses.
Land and building
Machinery, equipments and tools
Furniture and office equipments
Raw material and inventory
Advertising and promotion
Requirements like legal certificates
Partnership agreements
Operational expenses
Personnel expenses
