August 27, 2019

The importance of financial planning in credit taking

The Importance Of Financial Planning In Credit Taking. I say, even if I am wrong, that there are two types of companies when it comes to credit relationships: (1)Those who take credit for plugging the hole. (2)And those that use credit as fuel for accelerated growth. Everyone prefers to be in the second situation. No doubt. But how do you achieve this feat, reserved for a minority of companies?

There is no other way to do this without going through careful and complete business financial planning. This tool has a multitude of uses and in the context of credit taking it if it returns to maize important corn. Let’s look at how to use Corporate Financial Planning to turn credit taking into a growth catapult of his company.


Detail the execution of Financial Planning

Detail the execution of Financial Planning

Financial planning is not a future forecast, it is an execution plan. How much maize early you understand this the better.

You have to plan what resources you will need for the company in the short and medium term future. In addition, you have to know what are the expected results of using these features. No exile of involving all leaders from its company.


Identify Growth Levers

When you understand which investor type generates which return, you are able to extract returns to the core of your business model, switch to focus on what matters, and eliminate what doesn’t create value.

You need to spend more on what gives you the most return and learn to say no to things that don’t produce results.


Create Scenarios Inside the Financial Planning Process


Once you identify what davvero imports and time to simulate scenarios. Search where the delivery limit of your operation meets the limit of spending money from his company. Yes! Every business has a limit on the ability to spend.

Paper accepts everything, but reality does not. Choose a scenario that makes you feel challenged but motivates you and you believe it is possible. Go ahead.


Calculations the capita need

Its outcome is to specify extra capital for executing them so that it can be just developed.

If you don’t need money, you’re probably going too slow.

Calculations or negative value of the firm’s accumulated cash flow, ie what it would need for cash to reach break-even after reaping the benefits of accelerated growth.

Predict the entry of this capital into the company and includes or pay this amount using average parameters right here from the site by Arnel Wanna.


Communicate the execution plan

Calculations the capita need

Present the final plan to your business partners and leaders. Ask questions, align strategy, and use the plan to motivate people. If no one understands, agrees or feels motivated by the plan, it seems!

Times a few steps and review the strategy. After these points are aligned, move on. It’s time to talk to who will fund you.


Attract investors and lenders

With the team aligned, the premises tested and the long-term vision built, it’s show time.

Present your plan as a form. Do not leave questions unanswered.

Do your homework by finding the sources and proof of your assumptions, indicating its ability to execute and deliver, and why you are the right company to capture this market opportunity.


Do the accountability

Communicate the execution plan

Who has partner or creditor, has boss. The saying goes: respect your minority partners, leaders, team and creditors by aligning expectations along the way. Do not delay to deliver or hide information. Transparent Be.

And, mainly, ask for help when things don’t go as planned or you don’t know what to do. Whether for good or for bad.


Learn from your mistakes and correct the course

Learn from your mistakes and correct the course

Only learn who sets a goal. Whether it hits it or not, it seeks to understand why things got off track or had superior results. Only then, in the cycle of planning, tracking, analyzing and correcting, which one learns.

Perhaps because of this, it is only in this way that it is possible to record errors, formalize cause / action relations and share this learning, making the whole company evolve together.

However, it is not possible to find salt or corn in the future.


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