Finance is a function in business, responsible for acquiring funds, managing them within the firm, and planning expenditures for various assets. It is a broad and diverse field, touching nearly every area of human endeavour. The recent financial crisis has raised a provocative question about the role of finance in society. While finance is most commonly associated with institutions, it is also used to describe individuals. It is also used to describe how businesses use capital to expand and grow.
Whether it is a new venture, or an established company, every business needs some form of finance to get going. Without this finance, a business cannot invest in raw materials, acquire assets, or conduct business. Using the finance function will help business owners identify the sources of funding, and then find appropriate finance to meet their needs.