External Finances

Question 1

Give three advantages to owners capital

Answer 1

Doesnt need to repay loans
Quick and no hassle
Gives owner more control

Question 2

Give three disadvantages to owners capital

Answer 2

Limited availability of money(Owner does not have enough)
Owner has personal needs for their money

Question 3

Give three advantages to loans

Answer 3

Quick way to attain funds
Better interest than a credit card

Question 4

Give three disadvantages to loans

Answer 4

Could lead to further debt
Fluctuating interest rates
High chance of a loan fee

Question 5

Give three advantages to crowd funding

Question 6

Give three disadvantages to crowd funding

Question 7

Give three advantages to mortgages

Question 8

Give three disadvantages to mortgages

Question 9

Give three advantages to venture capital

Question 10

Give three disadvantages of venture caoital

Question 11

Give three advantages of Debt factoring

Question 12

Give three disadvantages of debt factoring

Question 13

Give three advantages of Hire purchase

Question 14

Give three disadvantages of Hire purchase

Question 15

Give three advantages of leasing

Question 16

Give three disadvantages of leasing

Question 17

Give three advantages of Trade credit

Question 18

Give three disadvantages of trade credit

Question 19

Give three advantages of grants

Question 20

Give three disadvantages of grants

Question 21

Give three advantages of donations

Question 22

Give three disadvantages of donations

Question 23

Give three advantages of peer to peer lending

Question 24

Give three disadvantages of peer to peer lending

Question 25

Give three advantages of invoice discounting

Question 26

Give three disadvantages of invoice discounting