D: Select and evaluate different sources of business finance

Question 1

What are the internal sources of finance? (3)

Answer 1

• Retained profit
• Net current assets
• Sale of assets

Question 2

What are the external sources of finance? (13)

Answer 2

• Owner’s capital
• Loans
• Crowd-funding
• Mortgages
• Venture capital
• Debt factoring
• Hire purchase
• Leasing
• Trade credit
• Grants
• Donations
• Peer to peer lending
• Invoice discounting