15

Sources of Business Finance

LEARNING OBJECTIVES

After studying this chapter, you should be able to know —

  • Meaning of Finance
  • Meaning of Business Finance
  • Significance of Business Finance
  • Types of Business Financed
    • Long-Term Finance – Meaning, Purpose, Factors affecting
    • Medium-Term Finance – Meaning, Purpose, Factors affecting
    • Short-Term Finance – Meaning, Purpose, Factors affecting
  • Sources of Finance
    • Owner’s Funds – Meaning, Characteristics, Merits & Limitations
    • Borrowed Funds – Meaning, Characteristics, Merits & Limitations
  • Distinction Between Owners’ Funds and Borrowed Funds
  • Comparative Study of Sources of Raising Funds in Case of a Company
  • Sources of Long-Term Finance
    • Issue of Equity Shares – Meaning, Features, Merits & Limitations ...

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