Sources of Finance

    0
    19

    Sources of finance

    These are how businesses get money to finance growth, to overcome working capital / cash flow problems etc.

    Choosing the right source of finance – Businesses need to consider several factors when deciding what sources of finance to use:

    • External sources of finance are more expensive as you need to pay interest
    • To use retained profits you need to get agreement from shareholders
    • The source of finance chosen also depends on the time period and what you need the finance for

    LEAVE A REPLY

    Please enter your comment!
    Please enter your name here