Financial Resources

Term Paper Title	Financial Resources
# of Words	492
# of Pages (250 words per page double spaced)	1.97

Financial Resources

Financial resources concern the ability of the business to "finance" its chosen strategy. For example, a strategy that requires significant investment in new products, distribution channels, production capacity and working capital will place great strain on the business finances. Such a strategy needs to be very carefully managed from a finance point-of-view. An audit of financial resources would include assessment of the following factors:

Existing finance funds

- Cash balances

- Bank overdraft

- Bank and other loans

- Shareholders' capital

- Working capital (e.g. stocks, debtors) already invested in the business

- Creditors (suppliers, government)

Ability to raise new funds

- Strength and reputation of the management team and the overall business

- Strength of relationships with existing investors and lenders

- Attractiveness of the market in which the business operates (i.e. is it a market that is attracting investment generally?)

- Listing on a quoted Stock Exchange? If not, is this a realistic possibility?

Human Resources

The heart of the issue with Human Resources is the skills-base of the business. What skills does the business already possess? Are they sufficient to meet the needs of the chosen strategy? Could the skills-base be flexed / stretched to meet the new requirements? An audit of human resources would include assessment of the following factors:

Existing staffing resources

- Numbers of staff by function, location, grade, experience, qualification, remuneration

- Existing rate of staff loss ("natural wastage")

- Overall standard of training and specific training standards in key roles

- Assessment of key "intangibles" - e.g. morale, business culture

Chang...

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