INTRODUCTION


Access to capital is often cited by our SMEs as a key factor inhibiting their growth. This course aims to give SMEs some tips to facilitate their journey in the search for financing. It is not to be another book on financial management, given the vast resources in the market place on this subject. Using a case-study approach, with references at the ‘ground level’ that SMEs can identify with, we crystallized more than 10 years of our experience in helping SMEs to grow via financial management. Today, Cambodia is home to many dynamic and vibrant small and medium enterprises (SMEs). SMEs account for a sizable jobs in Cambodia.

With the economy on the upturn, many of our SMEs are riding on the wave of economic expansion and growing their business operations. Access to capital will allow them to further exploit strategic opportunities. To enhance their chances of success in raising the necessary capital, SMEs need to strive to upgrade their financial management capabilities and improve their creditworthiness in the eyes of potential lenders and financiers. Sound financial management will not only make an SME more attractive to lenders and investors, it will also free up cash resources within the business and reduce the reliance on external financing. This course will serve as a useful guide for SMEs to strengthen their financial capabilities and boost their competitiveness in today’s global business environment.


AIMS


The aim of this qualification are to enable candidates to develop:

    • skills in raising finance sources for supporting SMEs
    • skills in managing working capital
    • skills in managing capital expenditure


TARGET AUDIENCE AND CANDIDATE PROGRESSION


The examination is intended for SMEs owners, Finance Managers who work, or aspire to work in financial management. The complex business world of today makes Financial Management for SMEs.

Candidates attempting this examination must be totally with the basic of financial accounting.


LEVEL OF ENGLISH REQUIRED


Candidates should have a standard of English equivalent to intermediate or upper intermediate for Business.


STRUCTURE OF THE QUALIFICATION


The Financial Management for SMEs is a single unit qualification that consists of the range of topics detailed below:


SYLLABUS TOPICS


  1. Types of Financing


    • Introduction
    • Your Financing Options
    • Government Financing Schemes

  2. Understanding the Language of Financial Institutions

    • Different Viewpoints of the Entrepreneur and Financial Institution
    • Case Study: Two Different Companies and Two Different Outcomes
    • Lessons for Entrepreneurs

 3. Managing Working Capital

    • Cash-the Lifeline of Any Business
    • Key Elements of Working Capital Management’
    • How to Calculate Your Business and Trade Cycles
    • Working Out Your Working Capital Lines for Your Business


  4. Managing Capital Expenditure

    • Case Study: A Precision Engineering Service Company which invested in a Large Factory
    • Lessons for Entrepreneurs


GUIDED LEARNING HOURS


FIC recommends that 140-160 Guided Learning Hours (GLHs) provide suitable course duration for an ‘average’ candidate at this level. This figure includes direct contact hours as well as other time when candidates ‘work is being supervised by teachers. Ultimately, however, it is the responsibility of training centers to determine the appropriate course duration based on their candidates ‘ability and level of existing knowledge. FIC experience indicates that the number of GLHs can vary significantly from one course to another.


EXAMINATION FORMAT


The time allowed for the examination is 3 hours, with the examination paper consisting of 5 questions. Candidates are required to answer all 5 questions, all questions carry equal marks. The emphasis of the paper will be quantitative; however, descriptive elements are incorporated into questions.


COVERAGE OF SYLLABUS TOPICS IN EXAMINATIONS


At least 1 question from each of the following syllabus topics will be set in each examination:

    • Managing Working Capital
    • Managing Capital Expenditure
    • SMEs Financing


MARK ALLOCATION


A positive marking approach is used; although candidates will be penalized for initial calculation errors, they will gain marks for consequential ‘own figures’ as long as the correct use of principles has been demonstrated.


CERTIFICATION


Successful candidates will be awarded the certificate in Cost Accounting (Level 2) based on the achievement of the percentages and grades below:

    • Pass 50%
    • Merit 60%
    • Distinction 75%