Sources of financeOnline version Match the source of finance with the correct advantage or disadvantage by Sarah Stringfellow 1 Bank Loan 2 Venture capitalist 3 Owners Savings 4 retained profit 5 overdraft 6 trade credit 7 share capital Must be repaid with interest Increases fixed costs can gain access to support with running the business owner must give away part of the business no borrowing involved if the owner has no savings then no finance is available using profit so no borrowing if no profit then no source of finance suitable for paying bills in the short term must be repaid within 12 months allows buy now pay later from suppliers items must be paid for normally within 30 days selling shares so no borrowing limited on who shares can be sold to
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