As we know finance is the lifeblood of every business, its management requires special attention. Financial management is that activity of management which is concerned with the planning, procuring and controlling of the firm's financial resources. Finance is one of the basic foundations of all kinds of economic activities. Finance is defined as “provision of money at the time when it is required”. Every enterprise, whether big, medium, or small, needs finance to carry on its operations and to achieve its targets. Without adequate finance, no enterprise can possibly accomplish its objectives. So finance is regarded as the lifeblood of any business enterprise. Funds are needed right from the time of commencing the business for purchasing fixed assets such as plant and machinery, furniture and fixtures etc., as well as for the day to day expenses.