BUSINESS FINANCE

Refers to the time it takes for the business to sell its finished product from the time it purchased raw materials.

• Inventory Period

• Accounts Receivable Period

• Monthly Period

Is the setting of expenditure levels for each of an organization’s functions. It is the estimation and allocation of available capital used to achieve the designated targets of a firm.

• Budgeting

• Cash Budgeting

• Marketing

• Banking Institutions

This refers to the value of the assets that the customer has and plans to use to secure the credit.

• Collateral

• Capital

• Character

• Conditions

• Capacity

This refers to the general global and home country macroeconomic conditions and the industry-specific conditions.

• Collateral

• Capital

• Character

• Conditions

• Capacity

This refers the capacity of the customers repay you.

• Collateral

• Capital

• Character

• Conditions

• Capacity

This refers to the customer’s track of record of settling its obligation on time. More often than not, customers without a track record should not be given credit.

• Collateral

• Capital

• Character

• Conditions

• Capacity

Forecasting the financing requirement three to five years down the road.

• Long Term Financial Plan

• Short Term Financial Plan

• Long Term Funds

• Short Term Funds

Used for business’ operations working capital.

• Long Term Financial Plan

• Short Term Financial Plan

• Long Term Funds

• Short Term Funds

The buyer receives the invoices sent by the seller specifying the goods purchases, the purchase price, the total amount to be paid, and the terms of the purchase.

• Trade Credit

• Accruals

• Stretching of Payables

• Accounts Payable

Mainly deposit taking financial institutions that extend credit to retail and consumer market

• Commercial Banks

• Thrift Banks

• Islamic Banks

• Cooperatives