In this assignment I will be talking about different sources of finance available
For different types of organisation.
Also I will talk about assess the implication of the different sources and we evaluate
Appropriate sources of finance for business projects.
All business needs a money to finance and to set up a business activities like setup cost,
Day to day cost, and other expenses which can help to keep the business running.
Financial sources definition;
Financial sources definition could be anything has a value or is the money available for the
Business to spending in different ways such as a cash, liquid, securities, insurances, and
Any business before going to the market needs to have a secure finance sources in
Order to be able to operate well, promote, and success .business dictionary.com.
There are different ways of founding financially the business. The way or the type of finance
Is depend on the nature of the business.
Saving is a basic way to invest money into the business. Small business founded by the owner or borrow from some money from the banks, families, or friends.
Big companies can raise finance sources by different ways of finance resources It could be by issuing shares or have a thousands of different shareholders.
(The times 100). Sources of finance;
These are most popular elements for the finance is;
1. Own finance;
You can choose to start your own business using your own financial sources that may Be from your saving accounts or other investment that you have.
Basically it is not advised that people starting up a business for using personal overdraft or without a secure financial resources.
It is renting a vehicles or equipment or building ……etc. for a long term under certain agreement. In long term renting the assets are more expensive than buying the assets and legally You are not the owner of the assets.