If you aspire to work in the corporate finance department of an organization, you are part of a team that is involved with collating data that form the solid basis for making capital investment decisions of a company. Some of its primary tasks include supplying figures that will support or oppose investment proposals. A corporate finance job entails management of company assets and liabilities, financial forecasting, inventory control, budgeting, and auditing.
The two key functions of corporate finance include:
- Accounting – this involves recording of the day-to-day transactions of the company. Its tasks include payroll, tracking of company expenses, computation of revenue and balancing of the company’s accounting books.
- Finance – this is concerned with the management of the company’s assets, liabilities, and investments. It is also responsible for the monitoring of the company’s financial performance and analyzing its revenue and expenses in order to ensure that the company’s capital is used in the most effective way possible.
Finance and accounting may assume different roles in an establishment, but they are geared towards a common goal which is to maximize the company’s potentials for financial advancement.
Primary Requirements of Finance and Accounting Jobs:
Knack for Numbers
Finance and accounting professionals breathe and eat numbers everyday in their professional lives. You should be good in mathematics in order to become an effective member of the finance department.
Strong Analytical Skills
Jobs in finance involve forecasting, analysis, and problem solving. They require you to understand patterns of the company’s expenses, debts, receivables, cash flow and profits. These are all represented by numbers. You need to put them together to produce a sound basis of the company’s business decisions.
Attention to Details
This is highly necessary because it can help to optimize the company’s performance in the management of its finances. The company relies on the numbers you provide as its basis for formulating business plans and decisions.
You should be able to spot errors, unusual costs, and unnecessary expenses. These are important things you can bring to the attention of top management for appropriate action.
A degree in finance or accounting is the basic requirement for a career in corporate finance. If you want to stand out in the profession, you may proceed to advanced studies.
A masters’ degree in business administration or a certification in CPA or CFA will help to give you the best in a rewarding career. These will make you more attractive to companies and increase your chances for employment or promotion.
These are some of the essentials for getting a career in corporate finance. Have them and you will discover a world of business and corporate opportunities.