For a normal person, financial management is just the literal managing of your financial things but for people who deal with their business problems, people who wish to make their credit standing better, financial management has a much deeper meaning. How deep is it?
Planning for your Future
First, financial management is one way of planning for your future. You should know how your business will profit. Learn how to think ways that will help on letting the cash flow into your business. It's really hard to do that because even if cash gets in to your business, members of the business or you yourself inevitably withdraw money. Planning can also be hard if you're not used to thinking of what must be done for the future or simply predicting what will happen next. Financial planning and financial oversight are the main branches of financial management in businesses. In order to make your business a successful one, you should learn to master those two. Or else, your business will end up liquidated.
Responsibly Buy Things you Can not Live Without
Let's say you do not have any business. You should still know what exactly you need to do in order for you to be free of debts. I know it's hard to stop borrowing money from lenders because there are usually hard times when you really need to do so.
After that, I'll give you a simple tip for you to be free from debts. What's that? It's simply like this: responsibly buying things you can not live without.
What do I mean? Well, I know it's hard not to buy things that you do not really need because of our current society where trendy material things seem to shout "You gotta have me!". You can also buy things that you just want and not need but you should learn to control yourself. Do not borrow money when you know you have no capacity to pay for it on its due time, especially when the reason for your borrowing is just a thing that you really do not need. You can buy it any time you want! No one will hinder you to buy that thing if and only if you have your own money for it.
As we can see, the main key to financial management is managing your self. Controlling your self might be one of the hardest things to do here on earth but doing such deed will certainly decrease (if not totally remove) your financial woes.