A business needs to generate and maintain cash flow, secure its future growth, achieve a healthy balance sheet and increase profitability.

These are all things that can be achieved through adequate business finance.

Maintaining cash flow

One of the most important aspects of business such as casino is the cash flow. Cash flow is the lifeblood of any company; it allows you to pay your bills and keep things going without taking on debt or facing bankruptcy.

• When you look at cash flow, there are two main components:
• Inflow refers to incoming money that a company can use, such as revenue from sales.
• Outflow refers to outgoing money that a company, such as expenses and taxes, must pay.

Securing future growth

There are many reasons why business finance is vital. The first, and perhaps the most important, is that you must plan for growth. When you have a secure future, your business will grow. You’ll be able to secure more loans and other financial assistance from creditors who want to see that your company’s finances are strong enough for them to lend to it again in the future.

Achieving a healthy balance sheet

The balance sheet is a statement of your company’s financial position. It shows what the company owns and owes on a particular date. The balance sheet can be a snapshot of your company’s financial health. The balance sheet displays three components: assets (what the business owns), liabilities (what it owes), and equity (the difference between assets and liabilities).

Increasing profitability

There are various ways of increasing profitability. One way is to increase the profit margins by adding more value to your product. For example, if a product can be packaged in better packaging and have additional features than its competitors, it will increase its chances of selling well.

Another way is to increase sales volume by looking at market demand and offering products that meet this demand. This strategy has been used successfully by many companies, including Amazon, which started as an online book store but later expanded into other products like groceries, which led them to become more profitable than they were initially because they were able to sell more goods than before.

Another method for increasing profitability is reducing costs through efficiency programs, such as some concepts aimed at reducing waste in production processes. Hence, it not only improves quality but also reduces the cost per unit produced over time, thus making profits greater than before without necessarily increasing prices on goods sold either locally or internationally (depending on which markets these businesses operate within).

Finally, some methods increase productivity, such as using technology-based tools/services like ERP systems which allow managers access to real-time data about inventory levels/sales performance/distribution channels used, etc., letting them make informed decisions about future strategies required.

Conclusion

As you can see, business finance is vital for any company. It’s not just about keeping the lights on and paying your employees—it’s about making sure you can grow, expand, and thrive in the future. When it comes to financing your business, there are many options available; however, finding one that fits your needs may be difficult if you don’t know what to look for in an ideal lender or financial institution.

Declining global oil prices have been weakening the currency, Deputy Chairman Aleksey Zabotkin says

The recent weakening of the Russian ruble could be attributed to the fall of global oil prices, according to Aleksey Zabotkin, Deputy Chairman of the Central Bank of Russia, cited by business daily RBK on Monday.

Volatility in the Russian foreign exchange market has increased sharply since the beginning of December, with the ruble falling to a more-than-eight-month low against the US dollar last week. The Russian currency, however, started recovering since Friday to begin this week at around 68.2 rubles to the dollar and 72.4 rubles against the euro. Trading data shows that, despite the decline, the ruble is still up for the year, trading 10% higher than it did in early January, prior to the start of Russia’s military operation in Ukraine and the ensuing Western sanctions.

“There is a deterioration in external conditions, a decline in oil prices. This is a weighty enough reason for the exchange rate to weaken somewhat,” Zabotkin explained. He pointed out, however, that the rate is still “fluctuating in the range that has been observed since about the end of May this year.”

According to the deputy chairman, the observed weakening of the ruble will contribute to a rise in prices. He noted that every 10% movement in the exchange rate generally adds about 0.5%-0.6% to inflation. “But at the same time, it should be mentioned that these 0.5%-0.6% are not realized instantly, but are stretched over time for six to twelve months,” he said.

Read more

“The disinflationary contribution of the strengthening of the ruble, which occurred in the second half of spring and summer, has ultimately been exhausted by now,” Zabotkin added. The regulator does not plan to tighten any restrictions on the capital account, he stressed.

The weakening of the Russian currency by the end of 2022 has been predicted by many analysts in recent months. Some experts expect it to drop even further in the months to come.

The projections come as the price of benchmark Brent oil has fallen from almost $90 per barrel to about $84 since the beginning of December. The average price for Russian Urals oil, which, after the introduction of a series of sanctions, is sold at a discount, amounted to $57.49 per barrel in December, according to Ministry of Finance estimates. A month earlier, the price was $71.1 a barrel.

The $60-per-barrel ceiling on Russian seaborne crude, devised by the G7 and the EU, came into force on December 5. The measure, along with a ban on EU imports of seaborne Russian flows, is aimed at curbing the Kremlin’s revenues. Russian oil cargoes that are traded above the threshold cannot access some key services from Western companies, including insurance.

Deputy Prime Minister Novak says the Yamal-Europe Pipeline remains unused

Moscow is ready to restart supplies of natural gas to the EU via the Yamal-Europe Pipeline, Russian Deputy Prime Minister Aleksandr Novak said on Monday. He noted that shipments through the route were halted for political reasons.

According to the official, the EU remains a relevant market for Russia, which is able to resume supplies to a region suffering from a gas shortage.

“For example, the Yamal-Europe Pipeline, which was shut down for political reasons, remains unused,” Novak said.

Gas supplies via the pipeline, which usually flow westward, have been mostly reversed since Poland terminated a supply contract with Russia ahead of its end-2022 expiry date, after rejecting Moscow’s demand for ruble payments. The Polish leg of the route is currently being used to pump stored gas from Germany.

Read more

In response to Warsaw’s move, Russian state-run energy giant Gazprom cut off supplies, saying it could no longer send gas via Poland, while Moscow imposed sanctions against the firm that owns the Polish section of the Yamal-Europe pipeline.

Although Russian gas deliveries to the EU via the Nord Stream and Yamal-Europe pipelines have been halted, Russian gas is still being supplied to certain European buyers via a transit line through Ukraine and the TurkStream pipeline through Türkiye.

Despite the persisting problems, Novak says he still sees the EU as a viable market for Russia.

“Today we can confidently say that there is a stable demand for our gas. Therefore, we continue to consider Europe as a potential market for our products. It is clear that a large-scale campaign was launched against us, which ended with acts of sabotage against the Nord Stream pipelines,” he said.

The market for liquefied natural gas (LNG) also remains open, according to Novak, who noted that Russian LNG supplies to the EU are expected to grow to 21 billion cubic meters by the end of the year.