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Sources of finance

Description

BAM Mind Map on Sources of finance, created by jakob.hofling on 10/03/2014.

Mind Map by jakob.hofling, updated more than 1 year ago

	Created by jakob.hofling almost 12 years ago

Resource summary

Sources of finance

Sources of finance
1. Internal Sources
  1. Profits retained in the business from old operations
  2. Sale of assets
    1. Often in crisis
  3. More effcient with working capital, Ex reducing stock to use tied up cash
2. External Sources
  1. Short-term
    1. Bank overdraft
    2. Trade credit
    3. Debt factoring
  2. Medium-term
    1. Hire purchase and leasing
    2. Medium term bank loan
  3. Long-term
    1. Long term loans from banks
    2. Equity finance

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