In the current economy in which we find ourselves, the figure of financial director is gaining more and more prominence in the company. His fundamental work as an intermediary between the company's operations and the capital markets is key to dealing with the current changing environment and the complicated financial situation in which we live today.
The financial director is the person in charge of the company financial management, That is, the person responsible for administering and managing the company's available resources. Its main objective is to achieve adequate business profitability, guaranteeing the sustainability of the company and its good positioning.
The functions of a financial director
- Company liquidity management. You must coordinate accounting, administrative and financial tasks, being able to make an adequate forecast of payments and collections so that there is sufficient liquidity in the company.
- Allocation and control of resources. Through criteria of efficiency, control and responsibility, you must decide in which elements or assets the resources should be invested to achieve greater efficiency in the company.
- Search and evaluation of financing. Most companies seek and request financing from banks or credit institutions. You must request financing and justify that the company is capable of carrying out this financial process, covering the short, medium and long-term needs of the company and adjusting to the corresponding interests and payments.
- Contribute to the development of the company. You must advise and transmit to the general director or management all the financial information, to evaluate the different alternatives found when making important decisions.
- Promote alternative market projects. You must know the most representative movements in your commercial environment and know when to go to a new market niche, such as carrying out an internationalization process at the right time and place.
What qualities should a Financial Director possess?
Despite a fairly broad profile, there is a series of factors What you should keep in mind:
- Training. Possessing specific knowledge of business and financial management is essential to acquire the qualities and capabilities necessary to carry out the functions. In our Master of Financial Management We are committed to practical training adapted to current financial times through which we train the new generation of financial directors.
- Management and leadership. You must have leadership skills to be influential in other departments and the ability to manage different tasks and facilitate decision making.
- Ability to negotiate. Essential requirement to attract new clients, partners, consolidate favorable alliances, in short, optimize the organization's resources.
- Ability to handle new technologies. Know and apply the best technologies to be able to do optimal work and use these tools as a competitive advantage over other companies.
- Knowledge of languages. It is essential to have knowledge of languages to be able to carry out business relationships in international markets.
In our previous blog article on How to become a financial director of a company We talked about what are the pillars that underpin this managerial position.
