Own Savings

• Are own savings short or long term?

  Long-term
• • an entrepreneur will often invest personal savings, redundancy or inheritance
  • can also be in the form of providing assets for the business (such as using their own car)
• What are the benefits?

  • provides strong signal to potential investors+bank of entrepreneurs
  • commitment to business
  • interest free
  • no application form
  • readily available
  • maximises control of business
• What are the drawbacks?

  • amount may be limited (entrepreneur may have to use other sources of finance to fund business)