FINANCIAL COMPONENT OF BUSINESS MANAGEMENT

Abstract

The article is dedicated to the financial component of business management peculiarities consideration. The terms «business» is identified as an entrepreneurial activity of economic subjects, as well as the system of their business relations with factors of external environment. The content of business management, its levels (strategic, tactical, operational) and the main components (management spheres) are determined. On the basis of retrospective analysis of main financial indicators of domestic enterprises activity, the role of financial component of business management is substantiated. The role of financial business management is determined by the set of the tasks solved, primarily connected to ensuring the formation of the necessary resources. It is established that the main objective of financial management of business is to maximize the satisfaction of corporate needs by ensuring the growth of owners’ welfare. It is determined that, according to the objective, financial management of business solves a set of tasks, related to the management of the main business parameters, in particular, its profitability, financial stability, risk level and value. It is clarified that the main directions of financial management of business structure activity are financial resources, financial results and financial condition management, which in aggregation provide achievement of strategic and tactical goals of business in financial sphere. The main components of the business financial management system are characterized, namely: principles, which are proposed to be supplemented with the principles of social orientation, adaptability, evolution and historical development; functions, determined on the basis of key financial management objects, and tools. It is proposed to organize financial management tools into two groups: financial analysis tools and financial management of business activity tools. The main tools of financial management of business are defined and characterized.