Business Growth Flashcards
Business growth
Business Growth is a stage where the business reaches the point for expansion and seeks additional options to generate more profit. Business growth is a function of the business lifecycle, industry growth trends, and the owners desire for equity value creation
Sources of business growth
External income ( loans , love money , mergers and takeovers )
Internal income ( revenue , profits )
What is a takeover
A takeover is where a business buys out or literally takes another business.
What is a merger
A merge is where two businesses come together and work together .
What is a plc
A plc is a public limited company
Disadvantages of a plc
They can be expensive to maintain
Sources of finance
Bank loans , working capital loans
What is a Working capital loan?
Working capital loans can help you pay for operational costs, such as rent, payroll and debt payments. … You’ll likely pay higher interest rates for working capital from alternative lenders than from banks. Working capital financing options include a term loan, a business line of credit or invoice factoring.
Objectives
A short term target , usually businesses will create many objectives ting to their aim
An aim
An aim for a business is something they want to achieve or overcome or do in the long run
