business 1 Flashcards
1
Q
why are personal sources important to a start up
A
cheap- compared with a bank loan
-Entrepreneur keeps more control over the business
- the more the founder puts in, the more others will invest
- little red tape, delay
-focusses the mind
2
Q
what are the internal sources for a new business
A
founder finance - various personal sources of the entrepreneur
Retained profits
Friends and family
3
Q
Why are the external sources for a new business
A
Bank loan
bank overdraft
business angels
Loans and grants
4
Q
A
