personal savings Flashcards
The finance that an entrepreneur or a firm has saved up. It does not cost the business (9 cards)
what is a personal saving
Finance that has been saved up by an entrepreneur or a firm that doesn’t cost anything.
what is a trade credit
A business buys its stock form supplies immediately but pays for it later
What is a bank loan
Finance lent to an individual or business that is paid off with an interest rate over an agreed period of time
What is a bank overdraft
A limit of finance that you can borrow if there isn’t enough money in your account
What is a retained profit
when a business makes a profit, it can leave some or all of this money in the business and reinvent it in order to expand
What is meant by selling shares?
selling a piece of your business to raise capital. This gives you less control over your business.
What is meant by selling assets?
Selling machinery, cars or premises that the business doesn’t use to raise capital and instead leasing equipment
What is meant by Venture capital?
It is the finance invested by an individual or group that is willing to take the risk of funding a new business
What is meant by Crowdfunding
financing a project or venture by gathering funds from many individuals who each offer a relatively modest contribution
