To become a financial planner, you first must know what their job profile is. Financial planners help in determining the financial resources required to meet the companys operating program. They also help in forecasting the extent to which these requirements will be met by the internal generation of funds, and the extent to which they will be met from external sources. Its the job of financial planners to develop the best plans to obtain the required external funds. They also help in establishing and maintaining a system of financial control governing the allocation and use of funds. Financial planners formulate programs to provide the most effective cost-volume-profit relationship. Its the job of financial planners to analyze the financial results of operations, report the facts to the top management and make recommendations on future operations of the firm.
To do all these functions efficiently, financial planners first need to establish the financial objectives of the enterprise. Both long-term and short-term objectives should be established for the effective utilization of the financial resources. Then comes the next step of formulating policies. Policies are broad guidelines. Financial policies relate to procurement, administration and distribution of business funds. The next step financial planners have to do is to formulate procedures. Procedures are the specific order of doing things. They are formed for ensuring consistency of actions. In financial procedures, the financial executives decide about the control system, develop standards of performance and evaluate the performance. Lastly, they have to forecast the future. In order to take proper action to achieve the objectives established, it is necessary to know the future positions. This is facilitated by forecasting the future.
While doing these activities, financial planners must take into perspective the cost of finance and nature of business. In any assessment of the financial needs of the firm, the cost of finance is the basic criterion. This is so because only projects with net positive cash flow can be selected.
Certified Financial Planners provides detailed information on Financial Planners, Certified Financial Planners, Fee Only Financial Planners, Become A Financial Planner and more. Certified Financial Planners is affiliated with
Financial Service Companies.
See
All articles From Author
Tags:
Word
Count Appx. :
361 |
Article Views 396
Published 19-05-2006
Related articles
Cracks in the U.S. Economy Slowly Starting to Show
By: Michael Lombardi, MBA | 01-02-2012
The cracks in the U.S. economy are starting to slowly show. We can’t have a government/Fed-induced recovery, as it will not be long-term, but only temporary in nature.
(read entire article)
Juniper Bank
By: Kitz Shukla | 10-11-2009
Juniper Bank, acquired by Barclays Bank in 2004 provides a wide array of cards of other companies.
(read entire article)
MCX Market and The Bullion Metals
By: Deep Kandpal | 31-12-2009
Multi Commodity Exchange of India (MCX) facilitates online trading, clearing and settlement operations for commodity futures markets across the country. In MCX bullion trading is veru much populer among traders.
(read entire article)
Budgeting Over Christmas
By: Joseph Kenny | 28-11-2011
Christmas is one of everybodys favourite times of year, but it can also be one of the most expensive. Most people want it to be a special and happy time, and are willing to pay for the little luxuries that make Christmas what it is, but th
(read entire article)
Waytung Global - Gold Blasts To $1645.00.
By: Neil Murphy | 09-08-2011
Waytung Global Gold surges to new record as talk of QE3 gains traction and euro zone jitters persist.
(read entire article)
Debt Settlement Programs and Chapter 7 - Part 1
By: cindy hance | 08-07-2009
When debtors find it difficult to redeem their outstanding dues, they generally try to find various ways and means to repay their debt. However, in many cases, this does not work out properly owing to various reasons, and debtors start thinking in term
(read entire article)
Low Cost, High Returns
By: Peeyush Bajpai | 17-03-2009
The recent offer of 5,010 flats by the DDA (Delhi Development Authority) had attracted over 7.5 lakh buyers, of which 5.67 lakh applied with deposits (1 flat per 100 subscribers). Affordable cost and easy credit led people to apply in hordes.
(read entire article)
Tough Economic Climate - Save Money Through Coupons
By: Johnson Author | 09-12-2008
The irresolute economy ensuing in improved jobs cuts has seriously damaged the life style of people across the world. This speculative economic climate has been arguably the worst, which have resulted in credit crunch.
(read entire article)
Money Management for Kids
By: Saurabh Kanwar | 08-10-2009
If we are saying “It’s never too early” instead of “It’s never too late”, we are talking about kids. Teaching core values, cultivating mannerisms and good habits are those activities that can be taught to kids from s (read entire article)
