Chapter 3 Section 1

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Across
  1. 3. benefits given by the government to a business to reduce costs and encourage increased production
  2. 5. issued by companies to raise debt finance, often with a fixed rate of interest
  3. 7. agreement where a customer can purchase goods on account (without paying cash), paying the SUPPLIER at a later date.
  4. 8. finance
  5. 11. the use of equipment or vehicles and paying a rental or leasing charge over a fixed period. This avoids the need for the business to raise long-term capital to buy the asset; ownership remains with the leasing company
  6. 13. capital
  7. 14. that do not have to be repaid for at least one year
  8. 17. issue: existing shareholders are given the right to buy additional shares at a discounted price
  9. 18. purchase
Down
  1. 1. loans
  2. 2. capital invested in business startups or expanding small businesses, which have good profit potential, but do not find it easy to gain finance from other sources
  3. 4. investors who put in their own money in a variety of businesses and are seeking a better return than they would obtain from conventional investments
  4. 5. overdraft
  5. 6. from sources outside the business
  6. 9. provision of very small loans by specialist finance businesses, usually not traditional commercial banks
  7. 10. profit
  8. 12. angels
  9. 15. credit
  10. 16. ability of a firm to pay its short-term debts