Financial Objectives

• Financial Sustainability:

  • Long-term viability of the company with effective resource managament and forward planning

  • Example: Cash reserves (Liquiditätsreserve) to meet unforeseen (unvorhergesehen) events and ensure the continued operation of the company.

• Decision making: Strategic and operational decisions by providing a clear framework for evaluating options and selecting the best actions. What do we invest in?

• Attracting Investors: Improve the ability to attract capital and financing. Financial transparency. Attractive value propositions through solid business plans.

• Performance evaluation: Measure success and make necessary adjustments, ensuring that the company stays on the right path to achieve its goals.

Definition:

• Specific goals who are focused on the economic performance and financial sustainability of the company.

• Essential for evaluating the financial health of the company, as well as for making strategic decisions and ensuring its long-term growth.

They should be:

Measurable and quantifiable.

Short, medium and long term: They include goals at different time horizons.

Realistic and achievable: Based on financial analysis and company capabilities.

Specific: Clearly defined and focused on key financial areas.

• Financial planning: Development of budgets and financial projections. Regular monitoring and adjustment of financial performance.

• Cost management: Implement cost control practices and expense reduction. Process optimization to improve efficiency.

• Revenue diversification: Identify and develop new sources of income. Expansion into new markets and segments.

• Strategic investments: Evaluate and select profitable investment projects. Efficient allocation of financial resources.

• Debt management: Refinance debt to obtain better terms. Maintain sustainable debt levels. Financial ratios.