why finance is important

Finance is important to business as without it businesses would not be able to start up or survive. In order to start a business sources of finance are needed such as grants or loans used to buy essential items such as a vehicles, premesis and other equipment. Finance is needed for a businesss to coninue running as money is needed to face running costs such as electicity and rent. Finance is also needed in expanding a business. If you plan the financial side of a business accurately you will be able to track the progress of your business in terms of profit and cash surpluses. Accurate financial documents will allow you to keep track of your cash flow and monitor how much of your loans you have paid off. You can measure your success through accurate fiancial planning. Financial documents will allow you to see when you have enough retained profits to expand and improve your business.