3.1 Sources of Finance
By the end of this chapter, you should be able to:
➔ explain the role of finance for business in terms of capital expenditure and revenue expenditure- ➔ comment on the following internal sources of finance: personal funds, retained profit and sale of assets
- ➔ comment on the following external sources of finance: share capital, loan capital, overdrafts, trade credit, grants, subsidies, debt factoring, leasing, venture capital and business angels
- ➔ define short, medium and long-term finance
- ➔ discuss the appropriateness, advantages, and disadvantages of sources of finance for a given situation