What is it?Typology Who is in charge? Importance of Management Correct Management Benefits

What is the MANAGEMENT of the EQUITY

Wealth management is a strategy that is designed based on the objectives and needs of a company. With the correct management of wealth, it is possible to know whether the rise or fall.

Equity is everything the company accumulates over the years, it is the amount of property or assets of a company or person. It is those goods, rights and obligations that belong to you and that have an economic value.

Through the wealth management of a company, the following can be determined:

  • Amount of assets.
  • Asset value.
  • Goods.
  • Passives.
  • Debts, among others.

Note: In order to determine the aforementioned, an inventory of the company must first be carried out. After inventory, assets must be classified. These are divided into current and non-current assets.

Types of heritage

heritage manager in andorra
It is important to know the two most important types of heritage that exist. Tangible and intangible heritage. By knowing these two terms, it is easier to understand the concept of wealth management in general.

  • Tangible heritage: They are the physical assets that a company owns. An example of tangible heritage is: office, desks, furniture, among others. They are all those goods that can not only be touched, but also moved.
  • Intangible heritage: It is those properties that are not physical. It is not an object. For example, the customer services provided by the company. These assets have a symbolic value and cannot be quantified.

Who performs the wealth management of a company?

In order to properly manage the wealth of a company, the person responsible must be the wealth manager or wealth manager. A highly trained person to advise and manage the assets of companies.

To choose a good wealth manager it is important to consider the following:

  • His experience.
  • Let him explain everything clearly.
  • Make him a trustworthy person.
  • What kind of services does it offer.

heritage management in andorraWhat is the importance of Wealth Management?

Wealth management is very important for companies. By doing so, the company can have the correct and up-to-date financial control.

  • Useful for companies to make good and correct decisions.
  • To develop a correct budget organization.
  • To reduce expenses.
  • Know the depreciation of some company assets, among others.



How is proper wealth management carried out in an Andorran company?

For proper asset management to be carried out, it must be carried out by a professional. That is, the manager mentioned above. However, it is important that the business owner knows how the process works.

The first step in doing good wealth management is planning. This planning consists of:

  • Balance: The balance is to know what is the assets of the company. It has to be the current balance. That is, what the company has at that time. In that first phase of planning you can easily make a projection to recognize future income and expenses.
  • Goals: This second phase consists of dividing the objectives into short, medium and long term. The objectives is what you want to have.
  • Strategy: Organize strategies so that objectives can be achieved. That is called, wealth management plan.

 Wealth management benefits

  • It helps to improve the control of the investments made by the company. Avoid unnecessary movements that could harm rather than contribute to the finances of the company.
  • It improves the legal obligations of the company. Good wealth management allows the financial organization and tax planning of the company.
  • Helps protect company assets.


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