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1. A characteristics feature of small
scale units is that the personal funds of
entrepreneurs from a substantial
proportion of the total assets.
The owners of small units therefore,
run a considerably higher risk than
those of corporate units.
The sources that usually provide the
working capital requirements are
commercial units
2. Definition
This is finance that comes from outside the
business, It involves the business owing
money to outside individuals or
institutions.
3. Borrowings
1 From bank
2 from term- lending institutions like IDBI, IFCI,
ICICI Development corporation etc.
3 From government and semi government agencies.
4. Trade dues and other current
liabilities
1 Sundry creditors
2 Bills payable