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Bringing new shareholders into a small business can add futher expertise. This usually applies
when the additional share apital is being provided by a business angel or venture capitalist
Increasing ordinary share capital can make it easier to borrow more funds from a bank, as the
share capital can help…

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early. It may be possible to repay the loan earlier but often a fee must be paid
for doing this.
Loans are more expensive than alternatives such as personal finance. This is
particularly true for start ups which are charged higher rates of interest because
they are unable to provide…

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o Risky lose savings is business fails
o Not enough savings

Sources of finance

Some sources of finance are short term and must be paid back within a year. Other sources of finance are
long term and can be paid back over many years.

Internal sources of finance are…

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* Grants from charities or the government to help businesses get started, especially in areas of high

Creditors and debtors
A creditor is an individual or business that has lent funds to a business and is owed money. A debtor is
an individual or business who has borrowed funds…


Sam morgan


The amount of grammatical errors is insane! Check your work before publishing it!! 

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