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Importance of financing companies

Updated: 8/16/2019
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9y ago

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Finance is said to be the life blood of an organisation. Fianace helps in the smooth running of an organisation for example a business needs Finance to commence operation . below are some reasons why finace is of great importance : # as said before finace is important to start operation # business needs to aquire machines and equipment thus there is a great need for finance # since the market is becoming more and more competitive huge budget should be allocated for effective marketing # all businesses have to pay for elecricity bills , bank charges, petrol, warter supply etc these are called day to day expenses thus finance is important for the smooth running of the organisation # finance is also needed for expansion , to invest in new technology . Finance is said to be the life blood of an organisation. Fianace helps in the smooth running of an organisation for example a business needs Finance to commence operation . below are some reasons why finace is of great importance : # as said before finace is important to start operation # business needs to aquire machines and equipment thus there is a great need for finance # since the market is becoming more and more competitive huge budget should be allocated for effective marketing # all businesses have to pay for elecricity bills , bank charges, petrol, warter supply etc these are called day to day expenses thus finance is important for the smooth running of the organisation # finance is also needed for expansion , to invest in new technology .

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15y ago
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9y ago

Financing companies help businesses expand. They also help individuals get the money they need to enhance their lives each day.

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