Finance is a field of accounting that focuses on the study, development, management, and measurement of monetary resources. Business finance analyzes financial data to understand and forecast future cash requirements. It is used to make decisions about investment strategies and also to determine the costs of conducting a business. For instance, business managers may use it to examine the optimal size and mix of assets and liabilities in order to maximize the returns from an investment.
The primary objective of business finance is the efficient management of financial operations. A financial manager makes financial decisions by considering a variety of factors including the nature of the firm, its competitors, its own internal resources, and its customers. As part of the organization, the manager may also have a role in the preparation and approval of budgets and financial statements. He may also have input into negotiations with suppliers on pricing and other terms.
Business finance requires skill. A degree in business finance administration is generally required, although some related disciplines such as mathematics may help prepare one for this challenging profession. Graduates can expect to find work in business finance, as executives, fund managers, or loan officers responsible for the financial aspects of companies. Graduates may also seek employment as bankers, financial analysts, economists, or entrepreneurs. Some business finance positions may require additional post-secondary education, usually at an advanced business college or university.