Sources of Finance

Question 1

What is Source of Finance?

Answer 1

This refers to where an organisation can obtain money/funding from.

Question 2

What are the 10 Private Sectors Sources of Finance?

Answer 2

Owner’s Equity
Bank Loan
Grant
Re-Invested Profits
Mortgage
Leasing
Hire Purchase
Bank Overdraft
Trade Credit
Issuing Share

Question 3

What are the 2 Public Sectors Sources of Finance?

Answer 3

Taxation (Corporation Tax, Income Tax, VAT)
Trading Activities (eg admission fee to leisure centre)

Question 4

What are the 4 Third Sector Sources of Finance?

Answer 4

Donations
Grants
Membership Fees/Subscriptions (Clubs and Associations)
Trading Activities (eg Charity Shop Sales)