We can describe finance as a field that deals with various investments and it includes the assets and the liabilities of a company or business and this normally varies under different conditions due to various uncertainties and risks that are involved. In this chapter, we are going to discuss the various ways in which finance is quite advantageous and beneficial to both individuals and businesses and organizations. One of the most important things about finance is the fact that individuals are able to pay their bills which include utility bills and businesses are able to ensure that there is smooth running of the business as a result of finance. The lack of finances normally leads to a lot of things being put on hold and this normally affects a number of operations of the business such as advertising and for this reason it is important for businesses and organizations to ensure that they have proper finances to enable them to be able to market their products and services so as to be able to increase their revenues and also sales.
Having good financial records is normally important to both individuals and also businesses and this is because they are able to know their financial position and therefore this will enable them to know whether they will require additional credit from other sources in order to be able to survive or continue with operations. Budgeting is one of the tools that normally go hand-in-hand with finances and it is quite crucial because it normally provides an individual and the business with ability to know how much is within their spending capacity so that they do not exceed their limit and end up spending money on things that are not required by the business or that the individual.
The finances of a business or organization will determine the amount of growth of expansion that the business or organization needs and it is important to ensure that your finances are in order so that you may be able to have a positive growth. In addition to individuals and businesses, finance is also quite beneficial when it comes to the whole nation and this is because as a result of the expansion of the businesses and also the development of new businesses the government is able to receive more income tax and therefore it is able to sustain the various projects of development that it has for citizens. In this chapter, we have had the opportunity to look at the various ways in which finance is quite beneficial to individuals and also businesses not forgetting the government of the country.