Unit 1 - Business Management - Sources of Finance - 3.4

Which is not an external source of finance?

• crowdfunding

• bank overdraft

• bank bills

• mortgage

Which is a short term source of finance?

• mortgage

• leasing

• trade credit

Equity is defined as...

• starting a business using personal finance or business revenues

• individuals or businesses that invest in a new business

• funds contributed by the owner(s) of a business to start and build the business

• funds available for the short term commitments of a business

Individuals or businesses that invest in a new business are called?

• crowd funders

• lending institutions

• boot strappers

• angel investors

The funds provided by banks, other financial institutions, government and suppliers, which must be paid back over time with interest is called...

• working capital

• bank overdraft

• debt

• shares

Which is a loan on a property, secured by the property of the borrower (the business)

• leasing

• crowdfunding

• shares

• mortgage

The Lessor is the person who is granted the lease.

• False

• True

The terms of finance relate to....

• the amount of the finance

• the date the finance was granted

• the amount and frequency of repayment

• the type of finance

Which is equity finance?

• bank overdraft

• self funding

• bank bills

• leasing

Which is not an external source of finance?

• bank overdraft

• government grants

• family/friends

• trade credit