Financial management
Money is one of the three main elements of business resources.
Ask yourself - do you know:
- how your radical decision affects the overall financial result?
- what processes form the final profit, what processes reduce it?
- whether the employees are assigned specific goals in nominal terms or not?
- what the company's financial result will be in a month?
- how much you earned today and in what way?
- how much you spent today and what for?
If you answered 'no' to at least one question - this is a reason to contact the experts of Residence MC.
We will help
to build a corporate finance management system based on four main elements:
- 01
Managerial accounting;
- 02
Budgeting;
- 03
Consolidation of holding company's finance management;
- 04
Financial analytics.
01
What is the mission of managerial accounting, as wanted by the management?
- To provide information as quickly as possible, reflecting the business situation in the "here and now" mode, and not "posthumously", when the information is already outdated.
- In order to make timely decisions, it is important to realize where I am now and not where I was a month ago.
- To have a set of convenient tools for analysis. Any report should provide an answer not only to the question "what has happened", but also "why has it happened?" and "in what direction should we proceed?"
- It is not enough to know the revenues gained from contracts; it is important to understand what factors influenced this figure - and ideally - to evaluate the period-to-period dynamics.
MANAGERIAL ACCOUNTING OF RESIDENCE MC:
- Flexibility and data account consolidation (for operational and accounting data);
- Illustrative reporting and complete information: any figure can be detailed to the level of individual invoices and payments;
- Any financial information here and now;
- Multilevel and multifactorial analytics;
- Convenient customization to meet the specifics of your business;
- Experienced experts who are able not only to develop, but also to introduce efficient managerial accounting;
- Project support, design engineering supervision, 24/7 support.
02
What is the mission of budgeting, as wanted by the management?
- To analyze financial indicators and manage resources with their help.
- To predict reliably the company's financial situation tomorrow, in a month and in a year.
- To enhance the validity of taken decisions and to contribute to efficiency of the business as a whole.
BUDGETING OF RESIDENCE MC:
- DEVELOPMENT:
- Collection and analysis of budgets (Income and expenses budget, Cash flow budget and Balance sheet budget) of enterprises forming a group of companies;
- Obtaining actual data for the budgets;
- Forecasting financial condition, resources, income and outlay. Making scenario analysis, i.e. assessment of various options for the company's financial position in the future;
- Formation of reporting necessary for analysis and managerial decisions.
- REALIZATION:
- Forming the budgets;
- Adjustment and updating of the budgets;
- Allocation of the budgets;
- Setting limits;
- Integration of units into a single information model;
- Ensuring due quality of budgeting control;
- REPORTING:
- Income and expenses budget;
- Cash flow budget;
- Balance sheet budget.
03
What is the mission of financial management consolidation, as wanted by the management?
- The consolidation of holding management processes handles the issue of unified control of the assets and the operations of each company, which makes it possible to influence substantially the financial and economic activities of the holding company as a whole.
- Integrated analytics: unprofitable entities will no longer hide their losses in the profits of efficient units.
CONSOLIDATION OF FINANCIAL ACCOUNTING BY RESIDENCE MC:
- All standard and optional reports are drawn up for individual organizations and for the consolidation perimeter;
- The consolidation procedure report shows the progress of the procedure and provides access to more detailed data;
- It makes it possible to verify the intragroup transactions of the Group companies and to track any variance in the presentation of the companies' intragroup transactions.
04
What is the mission of financial analytics, as wanted by the management?
- To handle the emerging financial problems promptly and correctly;
- To explore and assess the current situation in a consistent manner and make a due decision on improvement of the company's financial condition;
- To assess possible and feasible pace of the company's development from the position of financial input reached through such development;
- To identify available sources of incoming funds and to evaluate the possibility and feasibility of their mobilization.
The financial analysis by the experts of Residence MC will settle the following issues:
- How to bring financial statements to the analytical form?
- How to make a comprehensive analysis of the company's financial activities?
- What are the key financial ratios to be evaluated?
- What managerial solutions should be recommended on the basis of analysis of financial performance?
- How to calculate correctly and evaluate the EBITDA, EBIT, OIBDA, NOPAT, EBIAT, EBITA, EBTDAR, EBIDAF management indicators?
- How to prognosticate financial performance on the basis of factual situation (retrospective and perspective analysis)?
- How to evaluate investment attractiveness of the company through the eyes of potential investors?
- How to evaluate the company's creditworthiness through the eyes of creditors and rating agencies?
- How to organize and structure the systemic analytical work in the company?
