Chapter Name: Sources of Business Capital (Finance)
Description:Explores various funding options for small businesses, including loans, grants, and investor funding.
Purpuse:To provide learners with knowledge on how to secure financial resources to start or expand their business.
Rational:Access to capital is essential for business operations and growth.
Chapters Topics
Origin of business capital
Understanding where and how initial funds for the business are sourced.
Loans
Borrowed money that must be repaid with interest, typically from banks or financial institutions.
Interest on loans
The cost of borrowing money, expressed as a percentage of the loan amount.
Own finance
Using personal savings or assets to fund a business.
Other sources of finance
Includes grants, incentives, and funding from NEF, DTI, NDA, SEFA, NYDA, Solidarity Fund, venture capital, angel investors, and more.
Criteria to be met when applying for finance aid
Requirements such as a solid business plan, business viability (e.g., break-even point, financial forecasts, and market demand).