sources of finance

sources of finance

the provision of finance to a company to cover its short-term WORKING CAPITAL requirements and longer-term FIXED ASSETS and investments. In financing their business operations, companies typically resort to a mix of internally generated funds and external capital. The company's own RETAINED PROFIT is the primary source of internal funds. Short-term external finance is obtained largely in the form of TRADE CREDITS extended by suppliers, and BANK LOANS and OVERDRAFTS from the commercial banks. Long-term external finance takes the form principally of SHARE CAPITAL (ordinary and preference shares) subscribed by private investors, the institutional investors, merchant banks and venture capital specialists; LOAN CAPITAL (loan stock and debentures) SUBSCRIBED by the above plus the commercial banks; and miscellaneous grants and loans made available by governments (see, for example, INDUSTRIAL POLICY, REGIONAL POLICY). See also FACTORING, LEASING, LETTER OF CREDIT, FORFAITING, LOAN GUARANTEE SCHEMES, BUSINESS ENTERPRISE INVESTMENT SCHEME, ENTERPRISE GRANT SCHEME.
References in periodicals archive ?
By leveraging all sources of finance, the expanded renewable energy sector is ready to push the country's growth trajectory further," added the Acting World Bank Country Director.
According to sources of finance ministry, the IMF has asked Pakistan to take effective measures - pertaining to insufficient tax revenue, higher lending or interest rates by banks and slow-going economic reforms - before taking a financial package.
In her words, the program will, on the one side, provide favorable and accessible sources of finance, through commercial banks which will partner with the German Development Bank and the Serbian government.
MDBs are one important channel to support adaptation and mitigation actions in developing countries and emerging economies, together with other public development institutions deploying limited public sources of finance, and private sources of finance,' the report stated.
Low oil prices have caused a shake-up in how infrastructure is financed in the Kingdom, as state-income has dropped dramatically, forcing alternative sources of finance to be found.
The conference will look at all sources of finance for sustainable development to ensure that resources are allocated to promote economic prosperity and improve health, education and employment opportunities while protecting the environment.
During the recession, the region has been lucky enough to have a host of alternative sources of finance, largely as a result of the prudence of One NorthEast in setting up the Finance for Business North East Funds.
New York City, July 15 -- Three sources of finance - humanitarian, development and climate finance - play a critical role in supporting recovery efforts in fragile and conflict-affected countries, says a report launched today by Helen Clark, Administrator of the United Nations Development Programme (UNDP) and Chair of the United Nations Development Group (UNDG).
The second part will look at the alternative sources of finance for with a draft report scheduled to be presented to the Minister later this year.
Managing director, Alan Pavis, began to research alternative sources of finance - leading him to Thincats.
In a UK-wide survey of 2,000 SMEs, including over 103 from across Wales, Lloyds TSB Commercial Finance questioned firms about their understanding and awareness of a range of sources of finance including overdrafts, Governmentbacked schemes like Funding for Lending and asset-based finance products such as factoring, invoice discounting and asset-based lending.
According to Mansoori corporate governance will become an increasing issue for family firms in the GCC and Qatar, as they develop new sources of finance for expansion and growth.