Do you think financial risk is the highest risk in a business?

[Justin]

What other risk do you have in a business except financial risk? Business is entirely run with the money. It may seems like individuals are running business bu you need money to set up a team

 

[Kelly5]

Yes financial risk is the highest risk faced in the establishment of any new or exiting business. Because if that business fails, your health and other risks factors sets in to take control of you

 

[Ziki]

Health and life is the highest risk. That is why some companies pay their staff a lot of money. Working in a gas company is a very risky business and at such their salary are very high.

 

[Abigael]

Yes, financial risk is the highest risk in business. This is because you need money in order to run so many things in the business. If you loose the money, you will not be able to increase stock and that will make the business to fail.

 

[Setfragil]

There are many risks in business apart from financial risks. Everything you do in business is a risk ranging from the chosen product, the location of the business, the capabilities of the business employees, every day to day business activities is a risk because you can incurred loses at anytime.

 

[Chibson]

Of course, financial risk is the biggest risk in business. A business will only grow if there is profit and that profit is finance. that is the reason why it is very important to make a lot of research before venturing into any business because your money is on the line.

Post automatically merged: May 26, 2021

I think I have made a contribution to this topic before, but let me empathize on this; financial risk is the highest risk in business, in the sense thatif you want to keep the business running you have to fund it very well and if there are financial losses there is no way the business will be well funded.

 

[Alexandoy]

There are many risks in business apart from financial risks. Everything you do in business is a risk ranging from the chosen product, the location of the business, the capabilities of the business employees, every day to day business activities is a risk because you can incurred loses at anytime.

You may be right that there are many risks in business but I think all those risks would boil down to financial risk in the end. Business is about earning profit or losing profit which is directly connected to finances. When the finances is down then that is a big problem in the business. In short, financial risk is the highest risk in the business.

 

[Yaqoob Habib]

Every business owner or a business starter always needs funds to lunch a business and to support a business growth. This fund is either gotten in the form of loans from investors, their own savings, or funds from family. But aside this, there are other risks, like failure to plan accurately which could mean that the business owner risks bankruptcy, and investors get nothing. Is there any risk in a business that is greater than financial risk?

you are absolutely right Wait if you start your own business then you need funds for this Because the amount of money you invest in business is less The more money you invest, the more profit you will get in business.Whatever business you do, if you don't take risks you can never be successful.

 

[Razor1911]

We do businesses just to make money, the ultimate goal is making profits. So if the business doesn't go as planned, then surely the financial risk will be the major risk factor. We must try to contain the risk factor by having proper plan.

 

[Alisco]

They are many risks in business but financial risk but I think financial risk is the highest risk because it regulate all other aspects of the business,so financial risk is seeing as the highest risk.

 

[Richard92]

They are many risks in business but financial risk but I think financial risk is the highest risk because it regulate all other aspects of the business,so financial risk is seeing as the highest risk.

yes I believe that financial lives is the highest risk in a business because every branch and administration of a particular business or organisation depend on the financial potential of a business to survive without the financial ability of every business the business cannot grow smoothly or operate smoothly.

 

[Setfragil]

You may be right that there are many risks in business but I think all those risks would boil down to financial risk in the end. Business is about earning profit or losing profit which is directly connected to finances. When the finances is down then that is a big problem in the business. In short, financial risk is the highest risk in the business.

You're are totally correct with your submission and I couldn't agree more. In every business any risk that occurs will definitely affect the finances of the business which is the soul that drives the business. Once the finance is affected, the business is in a serious problem.

 

[joy101]

I think it is so one need to be very careful in a business to avoid those risk in the business, because every business need money to expand the business.

 

[cowantussie]

Financial risk refers to your business' ability to manage your debt and fulfil your financial obligations. This type of risk typically arises due to instabilities, losses in the financial market or movements in stock prices, currencies, interest rates, etc.
For me financial risk is as important as business risk in a business

 

[Robust]

Sure it's because the main purpose or goal for doing a business is to gain profit (financial). And it's the highest form of risk because first you use money to get more money and if you did get... you feel like a loser.

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[Alexandoy]

Sure it's because the main purpose or goal for doing a business is to gain profit (financial). And it's the highest form of risk because first you use money to get more money and if you did get... you feel like a loser.

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You hit it right on the nail. A person engages in a business for the purpose of earning a profit. Although I know that there are other reasons but we cannot discount the element of profit. Would you invest in a business because you want to be popular? Maybe in the family you have something to prove so you started a business of your own.

 

[eLdavis]

Business on its own its a risk, i dont think financial risks are the only highest. A change of location is also an high form of risk. A company could decide to change its location to a place they feel might be better off but ends up loosing customers

 

[Trexxxy]

Business terms, yes. I think every business is a risk especially if you are investing quite a lot of money into it. There are other risks associated as well.

 

[Nomad]

What other risk do you see in business other than financial risk? Your business will be functional as long as you have money, once you start losing money, your business starts deeding towards collapse.

 

[Good-Person]

Also Economic Risk is the risk you will face in your business. Our economy is constantly changing as the markets also change. Some positive changes are good for the economy, which lead to booming purchase environments, while negative events can reduce sales. It is important to watch changes and trends to potentially identify and plan for an economic downturn.

I believe that economic risks is directly related to financial risk and both of them are related to each other. Whenever there is a change in the demand and supply of your product in the market, it can have an effect on your finances and you might suffer from loss.