Sources of Finance

• Long-term


  Finances the whole business over many years eg. mortgages
• Medium-term


  Finances major projects or assets with a long-life eg. Gov grants
• Short-term


  Finances day-to-day trading of the business eg. Bank overdraft
• Founder finance


  various personal sources of the entrepreneur
• Debentures


  A form of bond or long-term loan which is issued by the company, usually with a fixed rate of interest
• Venture Capitalists


  Specialist investors in private companies. They manage investment funds designed to achieve high rates of returns