COMPONENTS OF

FINANCIAL
STRATEGY
FINANCIAL STRATEGY
• Outlines an organization’s “financial” short and long term
goals.
• It is integral to an organization’s “strategic’’ plan.
• It set’s out how the organization plans to finance its overall
operations to meet its objectives now and in the future.
• It summarizes targets and the action to be taken over a three to
five years period to achieve the target.
• Provide specific details about when and how much money
needed.
THREE MAIN COMPONENTS OF FS;

• FINANCING
• INVESTMENT
• DIVIDENDS
FINANCIAL PLANNING PROCESS

1. Establish Financial Objectives

2. Prepare a personal Budget
3. Estimate Revenue & Expenses
4. Prepare a cash flow projection
5. Calculate startup cost & operating expenses
6. Prepare a personal balance sheet
7. Prepare income forecasts & projected balance sheet
THANK YOU!