Sources of Finance

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RETAINED PROFITS
Profits which are ploughed back into the business
1 of 10
BANK LOAN
money borrowed from the bank at an agreed rate of interest over a set period of time
2 of 10
SALE OF FIXED ASSETS
Selling off a piece of equipment that is no longer needed within the business
3 of 10
LEASING
The business rents an asset rather than buys it
4 of 10
WORKING CAPITAL
Finance used to pay for the day-to-day running expenses of the business
5 of 10
SHORT-TERM FINANCE
Finance which is used to meet the costs or expenses of the business in the near future
6 of 10
START-UP CAPITAL
Finance which is needed to get the business started
7 of 10
INTERNAL SOURCES OF FINANCE
Finance raised from within the organisation
8 of 10
BANK OVERDRAFT
Where the business is allowed to be overdrawn on its account, up to an agreed limit
9 of 10
HIRE PURCHASE
Where the business pays for an asset n instalments and owns the asset one the last payment has been made
10 of 10

Other cards in this set

Card 2

Front

money borrowed from the bank at an agreed rate of interest over a set period of time

Back

BANK LOAN

Card 3

Front

Selling off a piece of equipment that is no longer needed within the business

Back

Preview of the back of card 3

Card 4

Front

The business rents an asset rather than buys it

Back

Preview of the back of card 4

Card 5

Front

Finance used to pay for the day-to-day running expenses of the business

Back

Preview of the back of card 5
View more cards

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