Meaning
The primary purpose of all business is to earn a profit by producing and distributing goods or services. To achieve this goal, it requires a continuous supply of capital to operate the business. Financing of business is concerned with the flow of capital funds within the firm
Sources of Finance
The sources of finance for business include the following
*personal Savings
Personal savings of the owner of the business as well as financial aid from friends and relatives who might be interested in the business constitute what is referred to as personal savings
It is that part of fund invested in the business by the owner(s) which the business is under no obligation other to refund or pay interest on. It is often regarded as risk capital because
Popular
Tags
Videos
