Careers in Corporate Finance

Today in the modern business, firms and multinational companies, Corporate Finance Managers, Chartered Accountants, Cost Accountants, Book Keepers and other accounting professionals are largely responsible for managing a companies financial requirements, the source from where adequate finance can be obtained, giving proper advice and helping the Management and their subordinates in deciding how to use it so that greater returns can be generated. The Corporate Managers and their subordinates take into account even the smallest details in the Spreadsheet find out possible means for greater cash flow, increase the income of the firm and find out ways and means to curtail the expenses. The Corporate Finance Management is responsible for finding out ways and means to free up capital, increase the profitability, and curtail expenses so that the Company may have greater profitability, greater market, increase production and sales. If a wing wants to make a heavy expenditure over an item or production, it is the Finance Wing or Department of the Company who has to ensure that adequate funds are available for undertaking the Project. It is the duty of the Corporate Finance Managers to find out ways and means for greater growth rate of the Company, whether acquiring another company will be profitable, whether the Company should reinvest it resources in other fields so that it may expand its business. In other words, the corporate finance wing of a Company is the main deciding factor in all business plans of a Company.

A company's size, complexity, industry, and stage of development for example, whether it’s a startup or established business determine its corporate finance department's specific responsibilities. All companies need to balance their books. But some large technology companies, for example, also need to hire financial experts to valuate potential acquisitions. Others (e.g., insurance companies) have hundreds of millions of dollars to invest and need financial wizards to manage that money. Note that for the purposes of this career profile, "corporate finance" does not refer to those in investment banks who help their corporate clients raise funds. To learn about this and other areas in financial services, read WetFeet's industry profiles of investment banking, mutual funds and brokerage, commercial banking, insurance, and accounting. These profiles detail a variety of specialized financial functions beyond those in private industry.
What You'll Do
Corporate finance includes two key functions: accounting and finance. Accounting concerns itself with day-to-day operations. Accountants balance the books, track expenses and revenue, execute payroll, and pay the bills. They also compile all the financial data needed to issue a company's financial statements in accordance with government regulations.
Finance professionals analyze revenue and expenses to ensure effective use of capital. They also advise businesses about project costs, make capital investments, and structure deals to help companies grow.
In spite of their different roles, finance and accounting are joined at the hip: The higher levels of accounting (budgeting and analysis) blend with financial functions (analysis and projections). Thus, finance and accounting are often treated as one, with different divisions undertaking particular tasks, such as cash management or taxes.
Requirements
Finance and accounting jobs require strong analytical and quantitative skills. If you have a knack for using numbers to understand patterns that influence business, you'll be of great value to your employer. If you can't crunch and analyze numbers, this isn't going to be the right job for you. You should also enjoy and excel at solving problems and be able to think critically about the numbers you're working with. Think of it as cracking a code: You need to take all of these numbers income, expenses, profits, investments, cash flow and decipher them in order to make the best decisions for the company.
To succeed in these careers, you need a strong attention to detail. To make wise business decisions, your employer will be depending on you to get the numbers right every time. In order to do that, you’ll also need to have an understanding of and interest in business. That includes reading industry and business publications to understand market conditions, economic forecasts, and trends. Finance professionals need to look at external factors that could potentially help or hurt profitability. This may be the career for you if you can effectively evaluate business scenarios and recommend a course of action based on quantitative research. If you're in college and want to work in corporate finance, your best bet is to demonstrate your interest in finance with relevant undergraduate courses in accounting, finance, and economics. Get involved in business, accounting, or investing clubs on campus. Internships are always a great way to strengthen your resume and differentiate yourself from other candidates. An MBA will make you attractive to companies hiring for budgeting, planning, and strategy functions.
Many firms hire outstanding undergraduates and MBAs for training programs; some programs are finance- and accounting-specific, and others rotate trainees throughout the company. If you have your heart set on corporate finance and analysis, do a knockout job during that particular rotation and develop a good relationship with your manager.
If there is no formal finance or accounting program at your company, you'll have to make the most of on-the-job training, so try to find a position that will expose you to a variety of projects. Find out what the career path in corporate finance is at your company and cultivate a mentor. A mentor can explain what projects will round out your background and what courses you can take to prepare yourself for a higher-level assignment. You can also check out job listings on the Web to see what kind of experience and certification are required for the jobs you're interested.
If you want to pursue a lifelong career as a number-cruncher, you'll probably have to knuckle down and get an advanced degree or certification a CPA, MBA, or CFA, depending on the career at least to work in the more senior budgeting, planning, and strategy functions. You'll also need to keep track of the regulatory changes that affect how information is reported.
There are other ways to get your foot in the door in a corporate finance career. Experience with an investment banking firm can lead to a financial analysis position for a specific business line or to a corporate development position if you have several years of experience. At the higher levels in accounting, one of the most straightforward routes to becoming a controller (a supervisory accounting role) is to start working for one of the large accounting or auditing firms and then go into corporate finance. The largest accounting firms and investment banks hire BAs directly from school.