Brainscape's Knowledge GenomeTM


Top Flashcards (Certified)
All Flashcards

Business > financing the enterprise (SOF) > Flashcards

financing the enterprise (SOF) Flashcards

(73 cards)

Start Studying
1
Q

is crowd funding a short/medium/long term source of financing for enterprises.

A

Long term.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

is the owner’s capital personal savings a short/medium/long term source of financing for enterprises.

A

short term.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

is a retained profit a short/medium/long term source of financing for enterprises.

A

long term.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

are sales of assets a short/medium/long term source of financing for enterprises.

A

long term.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

are sales and leaseback a short/medium/long term source of financing for enterprises.

A

medium term.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

are bank loans a short/medium/long term source of financing for enterprises.

A

medium term.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

are investments from fam, friends and other businesses a short/medium/long term source of financing for enterprises.

A

long term.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

are business angels a short/medium/long term source of financing for enterprises.

A

long term.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

are ventrue capitals a short/medium/long term source of financing for enterprises.

A

long term.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

are gov. grants a short/medium/long term source of financing for enterprises.

A

long term.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

are trade credits a short/medium/long term source of financing for enterprises.

A

short term.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

is debt factoring a short/medium/long term source of financing for enterprises.

A

short term.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

is hire purchasing a short/medium/long term source of financing for enterprises.

A

short term.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

are share issues a short/medium/long term source of financing for enterprises.

A

long term.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q

describe the SOF - share issue

A

when a company makes new shares available for sale for private and public limited companies only.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
16
Q

describe the SOF - Hire Purchasing

A

paying a monthly rental fee to use the item.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
17
Q

describe the SOF - debt factoring

A

when a biz sells the invoices (money owned to another biz).

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
18
Q

describe the SOF - trade credit

A

when items are brought from suppliers on a ‘buy now pay later’ basis.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
19
Q

describe the SOF - gov. grants -

A

fixed amount of capital provided to biz’s by the gov. or other orgs to fund specific projects.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
20
Q

describe the SOF - venture capital

A

when an established biz invests in another biz, in return for a percentage equity in the biz.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
21
Q

describe the SOF - biz angels

A

when wealthy individuals make investements into start-up biz’s in return for a share of the businesses.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
22
Q

describe the SOF - fam, friends and other biz

A

investment from people known to the entrepeneur.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
23
Q

describe the SOF - crowd funding ( peer to per lending)

A

when individuals or biz’s raise funds without going to institutions like banks.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
24
Q

describe the SOF - owners capital - personal savings.

A

when an entrepreneur invests their own money into a biz.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
25
describe the SOF - retained profit
profit kept within a biz to help finance future activites.
26
describe the SOF - sales of assets -
assets are items of value owned by a biz, which can be sold in order to get lots of capital - thus financing their biz.
27
describe the SOF - sales and leaseback
selling an item to someone and then renting it back from them.
28
describe the SOF - bank loans
a set of money provided for a specific pupose to be repaid with interest over a set period of time.
29
State the positives of the SOF - bank loans - how easy to secure - cash flow - benefits of fixed interest rates.
- quick and easy to secure. - improve cash flow - fixed interest rates allows firms to budget
30
State the positives of the SOF - sales and leasebacks
has a quick inflow of cash whilst still being able to use the item.
31
State the positives of the SOF - sales of assets
- no interest charges or repayments needed. - turns an obsolete asset into finance.
32
State the positives of the SOF - retained profit
- avoids interest repayements - does not dilute the biz's ownership.
33
State the positives of the SOF - owner's capital
- no interest needed - no lengthy application processes
34
State the positives of the SOF - crowd funding
allows start-ups and entrepreneurs to raise money without needin bank loans.
35
State the positives of the SOF - debt factoring
- imrpves cash flow - you can get what you want sooner.
36
State the positives of the SOF - trade credit
- doesn't incure interest - gives the biz more cash to use in the immediate future.
37
State the positives of the SOF - gov. grants
- provide employement - reduce negative environmental impacts
38
State the positives of the SOF - venture capital
- easy to attract other Sources of finance. - provides the required capital for exapnsion.
39
State the positives of the SOF - biz angels
- may offer support + expertise - form groups to share research and make joint investments.
40
State the positives of the SOF - fam, friends and other biz's
- repayment forms and conditions may be flexible.
41
State the positives of the SOF - hire purchasing
- less dependent on credit score - flexible repayment terms.
42
State the positives of the SOF - share issues
- finance raised doesn't need to be paid back.
43
State the negatives of the SOF - share issues -
shareholders become part owners of the biz.
44
State the negatives of the SOF - hire purchasing
- they dont own the item until the final product is made.
45
State the negatives of the SOF - debt factoring
- have to pay interest - signals that a business is in trouble, so customer and suppliers will lose confidence.
46
State the negatives of the SOF - trade credit
can only be sued to trade certain goods..
47
who is a loser
vicky vicky and vicky again WELL DONE!!!!!!!!!!!!!!!!!!!!!
48
State the negatives of the SOF - gov.grants
only offer a % of the cost of your project.
49
State the negatives of the SOF - venture capital
long and complex - partial loss of ownership.
50
State the negatives of the SOF - biz angels
- high risk, as the biz isn't established but angels will assess the potential for reward.
51
State the negatives of the SOF - fam, friends and other biz's
amount may be limited, and can place pressure on relationship.
52
State the negatives of the SOF - bank loans
- interest must be paid regarldess of financial performance.
53
State the negatives of the SOF - sales and leaseback
- no longer own the item so can't use it for guarentee.
54
State the negatives of the SOF - sales of assets.
- only a one off option. - loss of use of asset and future assets.
55
State the negatives of the SOF - retained profits.
reduces the security blanket of keeping retained profits for an emergency day.
56
State the negatives of the SOF - owner's capital
- limited amounts available and threat to personal finances and family.
57
State the negatives of the SOF - crowd funding
- fail to reach their funding goals.
58
is the source of finace internal / external - Crowd funding
external source
59
is the source of finace internal / external - owners capital
internal
60
is the source of finace internal / external - retained profit
internal source
61
is the source of finace internal / external - sales of assets
internal source
62
is the source of finace internal / external - sale and leaseback
internal
63
is the source of finace internal / external - bank loans
external source
64
is the source of finace internal / external - bank loans
enxternal source
65
is the source of finace internal / external - fam, friends and other biz
external source
66
is the source of finace internal / external - biz angels
external source
67
is the source of finace internal / external - venture capital
external source
68
is the source of finace internal / external - gov. grants
external source.
69
is the source of finace internal / external - trade credit
external source
70
is the source of finace internal / external - debt factoring
external source
71
is the source of finace internal / external - hire purchasing
external source
72
is the source of finace internal / external - share issue
external source
73
C'mon vicky that was all piss easy (PTO) IF YOU DELETE THIS CARD THEN ILL DELETE ALL THE CARDS WE'VE MADE SO FAR HEHEHEHE
If you still dont get it then god also can't help you LOSERRRRRR LOVE YOU LOTS - YOUR FAVE <3

Business (12 decks)

Brainscape helps you reach your goals faster, through stronger study habits.
© 2025 Bold Learning Solutions. Terms and Conditions