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Types of
Kat Ivinson…read more

Slide 2

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Long term
Personal savings:
Quite simply personal savings are the
amounts of money that a business person,
partner or shareholder have at their disposal
to do what they like with. If this money is
invested in a business it comes under the
personal savings category.
This is generally small amounts of money and
is used to set up a business in the first place
rather than top it up.…read more

Slide 3

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Long term
Sale of assets:
A business usually has several fixed assets. A
fixed asset is anything that is not used up in
the production of the product or service
concerned. These include machinery or
premises. A business can sell to raise capital.
The down side being that once the asset is
sold you have lost a part of your business,
and can affect the efficiency and production
of a company.…read more

Slide 4

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Long term
Retained profit:
When a business makes profit it does not
spend it all it saves it. Accountants call it
retained profit. This profit is then
available to spend on new assets to build
up the business. Retained profits can
also be kept for a long time and released
back into the business slowly for
improving cash flow.…read more

Slide 5

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Short term
Factoring is when you get a larger
company to collect your debts for you.
These larger company's are able to
collect on the invoices that have not
been paid and they take a cut for
themselves it does mean that you as a
business are able to collect money that
you may not manage to get on your own.…read more

Slide 6

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Long term
Debentures are loans or IOU's that are usually
secured so will always be repaid.
A secured debenture is one that is specifically
tied to a financing or a particular asset such as
a building or a machine. The asset cannot be
disposed of without the debenture owners
permission. They have the right to receive
interest on this loan but it usually fixed at the
time of the deal.…read more

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