Enumerate the sources of long term capital.
Answers
Answer:
Sources of Finance
Table of Contents
Sources of finance for business are equity, debt, debentures, retained earnings, term loans, working capital loans, letter of credit, euro issue, venture funding etc. These sources of funds are used in different situations. They are classified based on time period, ownership and control, and their source of generation. It is ideal to evaluate each source of capital before opting for it.
Sources of capital are the most explorable area especially for the entrepreneurs who are about to start a new business. It is perhaps the toughest part of all the efforts. There are various capital sources, we can classify on the basis of different parameters.
Answer:
Long-term financing sources can be in the form of any of them: Share Capital or Equity Shares. Preference Capital or Preference Shares. Retained Earnings or Internal Accruals.