This document summarizes various sources of finance for businesses. It discusses traditional sources like internal financing through retained earnings and debentures, and external financing through shares, debentures, public deposits, and bank loans. It also differentiates between long-term financing for fixed assets and short-term working capital financing. Modern sources of finance for startups and companies include angel investment, venture capital, and private equity funding.
Sources of Finance in entrepreneurship.pptxNaishana
In business, financing plays a crucial role in enabling growth and operations. Common sources of finance include equity financing, where funds are raised by selling ownership stakes in the company to investors, and debt financing, which involves borrowing money typically from banks or financial institutions with the promise of repayment with interest. Additionally, businesses may opt for alternative sources such as venture capital, where investors provide funds in exchange for equity and often offer expertise and guidance, or crowdfunding, where funds are raised from a large number of individuals online. Each source of finance has its advantages and considerations, and businesses often utilize a combination of these options to meet their specific needs and objectives.
Introduction of Finance, classification of source of finance according to ownership, period and generation. Define long term financing, medium term financing and also short term financing along with their sources
A current asset is either cash or an asset (e.g. stock) that can be converted into cash within a year and is often used to pay off current liabilities.
Current assets typically include categories such as cash, marketable securities, short-term investments, accounts receivable , prepaid expenses, and inventory.
Approaches to Financing Current Assets.
Instruments in raising finance.
advantages and disadvantages of trade credit.
inter Corporate Deposits , etc.
Sources of Finance in entrepreneurship.pptxNaishana
In business, financing plays a crucial role in enabling growth and operations. Common sources of finance include equity financing, where funds are raised by selling ownership stakes in the company to investors, and debt financing, which involves borrowing money typically from banks or financial institutions with the promise of repayment with interest. Additionally, businesses may opt for alternative sources such as venture capital, where investors provide funds in exchange for equity and often offer expertise and guidance, or crowdfunding, where funds are raised from a large number of individuals online. Each source of finance has its advantages and considerations, and businesses often utilize a combination of these options to meet their specific needs and objectives.
Introduction of Finance, classification of source of finance according to ownership, period and generation. Define long term financing, medium term financing and also short term financing along with their sources
A current asset is either cash or an asset (e.g. stock) that can be converted into cash within a year and is often used to pay off current liabilities.
Current assets typically include categories such as cash, marketable securities, short-term investments, accounts receivable , prepaid expenses, and inventory.
Approaches to Financing Current Assets.
Instruments in raising finance.
advantages and disadvantages of trade credit.
inter Corporate Deposits , etc.
Sources of finance for business are equity, debt, debentures, retained earnings, term loans, working capital loans, letter of credit, euro issue, venture funding etc. These sources of funds are used in different situations. They are classified based on time period, ownership and control, and their source of generation. It is ideal to evaluate each source of capital before opting for it.
MyassignmentHelp.net has a specific unit dedicated to serving the finance projects needs of the students. These finance projects are finance solutions required by students as part of their final finance dissertation or finance thesis submission or may be required as part of course ware
Implicitly or explicitly all competing businesses employ a strategy to select a mix
of marketing resources. Formulating such competitive strategies fundamentally
involves recognizing relationships between elements of the marketing mix (e.g.,
price and product quality), as well as assessing competitive and market conditions
(i.e., industry structure in the language of economics).
RMD24 | Retail media: hoe zet je dit in als je geen AH of Unilever bent? Heid...BBPMedia1
Grote partijen zijn al een tijdje onderweg met retail media. Ondertussen worden in dit domein ook de kansen zichtbaar voor andere spelers in de markt. Maar met die kansen ontstaan ook vragen: Zelf retail media worden of erop adverteren? In welke fase van de funnel past het en hoe integreer je het in een mediaplan? Wat is nu precies het verschil met marketplaces en Programmatic ads? In dit half uur beslechten we de dilemma's en krijg je antwoorden op wanneer het voor jou tijd is om de volgende stap te zetten.
Sources of finance for business are equity, debt, debentures, retained earnings, term loans, working capital loans, letter of credit, euro issue, venture funding etc. These sources of funds are used in different situations. They are classified based on time period, ownership and control, and their source of generation. It is ideal to evaluate each source of capital before opting for it.
MyassignmentHelp.net has a specific unit dedicated to serving the finance projects needs of the students. These finance projects are finance solutions required by students as part of their final finance dissertation or finance thesis submission or may be required as part of course ware
Implicitly or explicitly all competing businesses employ a strategy to select a mix
of marketing resources. Formulating such competitive strategies fundamentally
involves recognizing relationships between elements of the marketing mix (e.g.,
price and product quality), as well as assessing competitive and market conditions
(i.e., industry structure in the language of economics).
RMD24 | Retail media: hoe zet je dit in als je geen AH of Unilever bent? Heid...BBPMedia1
Grote partijen zijn al een tijdje onderweg met retail media. Ondertussen worden in dit domein ook de kansen zichtbaar voor andere spelers in de markt. Maar met die kansen ontstaan ook vragen: Zelf retail media worden of erop adverteren? In welke fase van de funnel past het en hoe integreer je het in een mediaplan? Wat is nu precies het verschil met marketplaces en Programmatic ads? In dit half uur beslechten we de dilemma's en krijg je antwoorden op wanneer het voor jou tijd is om de volgende stap te zetten.
[Note: This is a partial preview. To download this presentation, visit:
https://www.oeconsulting.com.sg/training-presentations]
Sustainability has become an increasingly critical topic as the world recognizes the need to protect our planet and its resources for future generations. Sustainability means meeting our current needs without compromising the ability of future generations to meet theirs. It involves long-term planning and consideration of the consequences of our actions. The goal is to create strategies that ensure the long-term viability of People, Planet, and Profit.
Leading companies such as Nike, Toyota, and Siemens are prioritizing sustainable innovation in their business models, setting an example for others to follow. In this Sustainability training presentation, you will learn key concepts, principles, and practices of sustainability applicable across industries. This training aims to create awareness and educate employees, senior executives, consultants, and other key stakeholders, including investors, policymakers, and supply chain partners, on the importance and implementation of sustainability.
LEARNING OBJECTIVES
1. Develop a comprehensive understanding of the fundamental principles and concepts that form the foundation of sustainability within corporate environments.
2. Explore the sustainability implementation model, focusing on effective measures and reporting strategies to track and communicate sustainability efforts.
3. Identify and define best practices and critical success factors essential for achieving sustainability goals within organizations.
CONTENTS
1. Introduction and Key Concepts of Sustainability
2. Principles and Practices of Sustainability
3. Measures and Reporting in Sustainability
4. Sustainability Implementation & Best Practices
To download the complete presentation, visit: https://www.oeconsulting.com.sg/training-presentations
Unveiling the Secrets How Does Generative AI Work.pdfSam H
At its core, generative artificial intelligence relies on the concept of generative models, which serve as engines that churn out entirely new data resembling their training data. It is like a sculptor who has studied so many forms found in nature and then uses this knowledge to create sculptures from his imagination that have never been seen before anywhere else. If taken to cyberspace, gans work almost the same way.
Business Valuation Principles for EntrepreneursBen Wann
This insightful presentation is designed to equip entrepreneurs with the essential knowledge and tools needed to accurately value their businesses. Understanding business valuation is crucial for making informed decisions, whether you're seeking investment, planning to sell, or simply want to gauge your company's worth.
Putting the SPARK into Virtual Training.pptxCynthia Clay
This 60-minute webinar, sponsored by Adobe, was delivered for the Training Mag Network. It explored the five elements of SPARK: Storytelling, Purpose, Action, Relationships, and Kudos. Knowing how to tell a well-structured story is key to building long-term memory. Stating a clear purpose that doesn't take away from the discovery learning process is critical. Ensuring that people move from theory to practical application is imperative. Creating strong social learning is the key to commitment and engagement. Validating and affirming participants' comments is the way to create a positive learning environment.
Improving profitability for small businessBen Wann
In this comprehensive presentation, we will explore strategies and practical tips for enhancing profitability in small businesses. Tailored to meet the unique challenges faced by small enterprises, this session covers various aspects that directly impact the bottom line. Attendees will learn how to optimize operational efficiency, manage expenses, and increase revenue through innovative marketing and customer engagement techniques.
VAT Registration Outlined In UAE: Benefits and Requirementsuae taxgpt
Vat Registration is a legal obligation for businesses meeting the threshold requirement, helping companies avoid fines and ramifications. Contact now!
https://viralsocialtrends.com/vat-registration-outlined-in-uae/
3.0 Project 2_ Developing My Brand Identity Kit.pptxtanyjahb
A personal brand exploration presentation summarizes an individual's unique qualities and goals, covering strengths, values, passions, and target audience. It helps individuals understand what makes them stand out, their desired image, and how they aim to achieve it.
Attending a job Interview for B1 and B2 Englsih learnersErika906060
It is a sample of an interview for a business english class for pre-intermediate and intermediate english students with emphasis on the speking ability.
Digital Transformation and IT Strategy Toolkit and TemplatesAurelien Domont, MBA
This Digital Transformation and IT Strategy Toolkit was created by ex-McKinsey, Deloitte and BCG Management Consultants, after more than 5,000 hours of work. It is considered the world's best & most comprehensive Digital Transformation and IT Strategy Toolkit. It includes all the Frameworks, Best Practices & Templates required to successfully undertake the Digital Transformation of your organization and define a robust IT Strategy.
Editable Toolkit to help you reuse our content: 700 Powerpoint slides | 35 Excel sheets | 84 minutes of Video training
This PowerPoint presentation is only a small preview of our Toolkits. For more details, visit www.domontconsulting.com
Enterprise Excellence is Inclusive Excellence.pdfKaiNexus
Enterprise excellence and inclusive excellence are closely linked, and real-world challenges have shown that both are essential to the success of any organization. To achieve enterprise excellence, organizations must focus on improving their operations and processes while creating an inclusive environment that engages everyone. In this interactive session, the facilitator will highlight commonly established business practices and how they limit our ability to engage everyone every day. More importantly, though, participants will likely gain increased awareness of what we can do differently to maximize enterprise excellence through deliberate inclusion.
What is Enterprise Excellence?
Enterprise Excellence is a holistic approach that's aimed at achieving world-class performance across all aspects of the organization.
What might I learn?
A way to engage all in creating Inclusive Excellence. Lessons from the US military and their parallels to the story of Harry Potter. How belt systems and CI teams can destroy inclusive practices. How leadership language invites people to the party. There are three things leaders can do to engage everyone every day: maximizing psychological safety to create environments where folks learn, contribute, and challenge the status quo.
Who might benefit? Anyone and everyone leading folks from the shop floor to top floor.
Dr. William Harvey is a seasoned Operations Leader with extensive experience in chemical processing, manufacturing, and operations management. At Michelman, he currently oversees multiple sites, leading teams in strategic planning and coaching/practicing continuous improvement. William is set to start his eighth year of teaching at the University of Cincinnati where he teaches marketing, finance, and management. William holds various certifications in change management, quality, leadership, operational excellence, team building, and DiSC, among others.
The world of search engine optimization (SEO) is buzzing with discussions after Google confirmed that around 2,500 leaked internal documents related to its Search feature are indeed authentic. The revelation has sparked significant concerns within the SEO community. The leaked documents were initially reported by SEO experts Rand Fishkin and Mike King, igniting widespread analysis and discourse. For More Info:- https://news.arihantwebtech.com/search-disrupted-googles-leaked-documents-rock-the-seo-world/
2. Introduction
Finance is the lifeblood of business.
No business can be carried out without Finance.
There are several sources of Finance which can be categorized as Internal
or External, Long Term or Short Term and Fixed and Working Capital
Finance
2
3. Sources of Finance
Traditional Sources of
Finance
Internal
Financing
Retained
Earnings
Debentures
Long Term
Short Term
Preference
Shares
Equity Shares
Security
Financing
Loan
Financing
Depreciation
Fund
Public Deposits
3
4. Long term Financing - Meaning & Purpose
Long term financing is a form of financing that is provided for a period of more
than a year. Long term financing is also known as Fixed Capital Finance. Below
are the purpose for which long term finance is availed:
➔To finance fixed assets
➔Expansion of companies
➔Increasing facilities
➔Construction of projects on a large scale
➔Acquisition of companies
➔Merging different companies with the existing entities
4
5. Sources of Long Term Finance - Security
Financing
● Shares: These are issued to the general public. These may be of two types:
Equity shares - Such a shareholder has to share the profits and also bear the losses incurred by the
company. Equity shareholders are regarded as the real owners of the company.
Preference shares - A share which entitles the holder to a fixed dividend, whose payment takes
priority over that of ordinary share dividends.
● Debentures: A debenture is a type of debt instrument issued by a company that is not
secured by physical assets or collateral.
● Public Deposit: It implies any money received by a company through the deposits or loans
collected from the public.
5
6. Sources of Long Term Finance - Internal
Financing
Retained Earnings: The company may not distribute the whole of its profits
among its shareholders. It may retain a part of the profits and utilize it as capital
for further long term activities.
Depreciation Fund: A fund set up by a company to provide money to buy new
fixed assets. Every year, the fund invests an amount of money equal to an existing
asset's depreciation allowance, giving the company money that can be used to buy
new assets.
6
7. Sources of Long Term Finance - Loan
Financing
Term Loans from Banks: Many industrial development banks, cooperative banks
and commercial banks grant medium term loans for a period of 3-5 years for
supporting the long term capital investments by the company viz., purchase of
Fixed Assets, expansion etc
Loan from Financial Institutions: There are many specialized financial
institutions established by the Central and State governments which give long
term loans at reasonable rates of interest for the long term capital investments by
the company.
7
8. Short term Business Finance - Meaning &
Purpose
Short Term Business Finance are required to meet its day to day expenses. It
enables continuous availability of liquid cash to meet day to day expenses. It is
also known as Working Capital Finance. The purpose of short term business
finance is as below:
● Purchase of raw material
● Paying wages to workers
● Payment of water and electricity charges
8
9. Sources of Short Term Finance - Bank Finance
Commercial banks grant short-term finance to business firms which is known as bank credit.
Cash Credit - It is an arrangement whereby banks allow the borrower to withdraw money upto a
specified limit.
Bank overdraft - When a bank allows its depositors or account holders to withdraw money in
excess of the balance in his account upto a specified limit, it is known as overdraft facility.
Bills Discounting - Banks also advance money by discounting bills of exchange, promissory notes
and hundies. When these documents are presented before the bank for discounting, banks
credit the amount to customer’s account after deducting discount.
Short term Bank Loan - When a certain amount is advanced by a bank repayable after a specified
period, it is known as bank loan. The period is usually short like 1 - 3 years.
9
10. Short Term Finance - Other Sources
Trade credit - Trade credit refers to credit granted to manufacturers and traders
by the suppliers of raw material, finished goods, components, etc
Customers’ advances - Customers’ advance represents a part of the payment
towards price on the product (s) which will be delivered at a later date. Customers
generally agree to make advances when such goods are not easily available in the
market or there is an urgent need of goods.
Instalment credit - Only a small amount of money is paid at the time of delivery of
such articles. The balance is paid in a number of instalments. Interest is charged
by the supplier for extending credit.
10
11. Reshuffling the earlier chart
Traditional Sources of Finance
Internal
Financing
Retained
Earnings
Debentures Bills
discounting
Cash credit
Preference Shares
Equity Shares
Security
Financing
Short term
Bank Loan
Depreciation
Fund
Public Deposits
Short Term
Source of Finance
Long Term Source of
Finance
11
Loans from
Banks
Loans from
Financial
Institutions Bank Overdraft
Other
Sources
From Banks
Installment
credit
Customer
Advances
Trade credit
12. Modern sources of Finance
Modern days the ways have changed as to how Startups and established business
are sourcing funds for business. Below are the unconventional sources of Finance:
● Angel Investment
● Venture Capital (VC)
● Private Equity (PE)
12
13. Angel Investment
An angel investor is an experienced industry person who provides needed funds
for small startups or entrepreneurs. Apart from funds, Angels invest their time,
experience, network and energy in business they invest in.
Sanjay Mehta, an Angel Investor has invested in several startups viz., OYO Rooms,
FabAlley, OrangeScape etc.
13
14. Venture Capital (VC)
Venture capital (VC) is money provided to seed early-stage, emerging growth
companies. Venture capital funds invest in companies in exchange for equity in
the companies they invest in, which usually have a novel technology or business
model in high technology industries, such as biotechnology and IT.
Foodpanda is funded by a Venture Capital Firm, Rocket Internet.
14
15. Private Equity (PE)
Private equity consists of investors and funds that make investments directly into
private companies or conduct buyouts of public companies that result in a
delisting of public equity. Capital for private equity is raised from retail and
institutional investors, and can be used to fund new technologies
Justdial, the local search engine was funded by Private Equity Investors like
Sequoia Capital and SAP Ventures.
15