sources of finance 0.0 / 5 ? Business StudiesFinancial PlanningASAQA Created by: S0099087Created on: 05-05-21 14:30 what is owners capital? further investment of the sole traders or partners own capital(savings) 1 of 11 what is a bank loan a business or individual borrows a fixed amount for a fixed period of time for a specific purpose its an external source 2 of 11 sale of assets a business sells off its non-current assets to which it is no longer using 3 of 11 overdraft a bank allows a business to overspend on its current account up to an agreed limit its an external source 4 of 11 venture capital money invested in a business by a professional investor its an external source 5 of 11 debt factoring a business sells its debts which have not been collected to another company its an external source 6 of 11 trade credit a business to business agreement in which a customer can purchase goods on an account without paying up front its an external source 7 of 11 leasing assets a business pays monthly for the use of an asset it will never own its an external source 8 of 11 hire purchase similar to leasing however, the asset belongs to the business that hires it its an external source 9 of 11 reinvested profits profit that is reinvested from previous years' success 10 of 11 share issue or new partners money given to a company by private individuals in exchange for a share certificate which gives them part ownership its an external source 11 of 11
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