BSBSMB406A - Manage small business finances

Unit code: BSBSMB406A | Study level: TAFE

Credit points

N/A

Location

Sunshine

Prerequisites

N/A

Overview

This unit describes the performance outcomes, skills and knowledge required to implement, monitor and review strategies for the ongoing management of a small business's finances. It also includes day to day financial management of the small business. Specific legal requirements apply to the management of a small business.

Assessment

For Melbourne campuses

Assessment tasks will be designed to reinforce and extend knowledge and skill competence within set and controlled parameters in accordance with each competency unit’s learning outcomes and performance criteria requirements, including the setting of project and work based practical application tasks designed to provide evidence of competence outcomes, within periodic and scheduled timelines.

Students will be expected to demonstrate the following required skills:

analytical skills to interpret financial data;
communication skills to negotiate capital and to report on performance;
literacy skills to interpret legal requirements and financial reports, and;
numeracy skills to calculate costs, prices, profit and other financial information.

Students will also be expected to demonstrate the following knowledge:

benchmarking;
financial decision making relevant to the business;
financial indicators;
purpose of financial reports;
preparation and interpretation of budget/actual reports;
principles for preparation of balance sheets and their interpretation;
principles for preparation of profit and loss statements and their interpretation, and;
stock records/stock control relevant to the business.

Required reading

The qualified trainer and assessor will provide teaching and learning materials as required in the form of workbooks produced by the Polytechnic and/or via the Polytechnic e-learning system.