Finance 0.0 / 5 ? Applied BusinessFinance GCSEAQA Created by: missagentpotterCreated on: 15-03-15 18:26 Bank Loan (S) Finance provided by the bank that will be paid back over a set period in installments with interest. (Starting up) 1 of 11 Loan from family or friends (S) Finance provided by friends or family where the interest rate and repayment period is agreed with them. 2 of 11 Overdraft (S) A flexible arrangement that allows a business to spend more money than it has in their bank account as and when it needs the finance. 3 of 11 Mortgage (S) Long-term loan for purchasing a building 4 of 11 Trade Credit (S) Suppliers who allows debts for goods and services to be paid 1-3months (Credit Period) after delivery. 5 of 11 Grant (S) Money given to be a business by a government or charity 6 of 11 Retained Profits (L) Internal finance. Profit that’s not being given to shareholders it's being kept by the business for expansion or improvements. 7 of 11 Selling unwanted assets (L) Internal finance. Turns the business' property and assets into cash only when they don’t need them. 8 of 11 Sale and leaseback (L) Selling assets when still needed and paid monthly to use. 9 of 11 New share issue (L) LTD's and PLC's can raise capital by selling further shares 10 of 11 Loan (L) Borrowing from a bank or another financial institution. 11 of 11
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