Across
- 2. Issue (Also known as share replacement) exists when an existing public limited company raises further finance by selling more of its shares
- 4. profit The value of surplus that the business keeps to use within the business after paying corporate taxes on its profits to the government and dividends to its shareholders
- 7. Allow a business to spend in excess of the amount in its bank account, up to a predetermined limit.
- 9. Source of finance Finance obtained from a third party in exchange for interest.
- 10. Funded by the government to lower a firm’s production costs as output provides extended benefits to society.
- 14. Government financial gifts to support business activities.
- 15. A form of debt where a contract is agreed between a leasing company (the lessor) and the customer (the lessee).
Down
- 1. Capital A high risk capital invested by venture capital firms, usually at the start of a business idea.
- 3. funds This is a key source of finance for sole traders and comes mostly from their own personal savings
- 5. Capital Medium to long term sources of interest bearing finance obtained from commercial lenders.
- 6. Factoring A financial service whereby a factor (such as a bank) collects debts on behalf of other businesses in return for a fee.
- 8. The general term used to refer to where or how businesses obtain their funds
- 10. and leaseback A source of external finance involving a business selling a fixed asset (such as its computer systems or a building) but immediately leasing the asset back.
- 11. angels Wealthy entrepreneurs who risk their own money by investing in small to medium sized businesses that have high growth potential.
- 12. sources of finance Obtaining funds from within the organization through personal funds, retained profits and/or the sale of assets
- 13. Credit Allows a business to buy now, pay later.
- 16. Refers to a business converting its legal status to a public limited company by floating (selling) its shares on a stock exchange for the first time.