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Describe the advice and nance available for a business considering expansion and growth.

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Transfer-Encoding: chunked I am working for Hounslow Chamber of Commerce as a trainee manager. The Hounslow Chamber of Commerce provides advice to existing businesses and to entrepreneurs seeking to set up their own businesses. Small businesses that are successful can expand and may change their structure and status in order to attract necessary investment. I will provide a guide describing the advice and finance available for a business considering expansion and growth. I will be including, general advice on when and how expansion might be achieved using relevant examples. Sources of finance for growth and the possible relevance of various financial transactions, such as spot and forward foreign exchange dealings, currency options, financial futures and securities. When expanding a business, it?s important the entrepreneur decides the best time to do so in order to be successful. Firstly, the most important factor to consider when expanding is if the business is profitable; the business should only consider expanding if they have been making profits over a period of time. Secondly, the business will need to do detailed market research. It?s important for the business to complete research as it will tell them if expanding will be reasonable; perhaps their products are at a high demand which would encourage the expansion. Furthermore, research will also show them the state of the economy. ...read more.


In general, an investment bank's clients are institutional investors, but high net-worth individuals also use them. Another place to go for advice is a finance house. Finance houses are a financial institution that lends money to people or businesses, so that they can buy things such as cars or machinery. Finance companies are often part of commercial banks, but operate independently. Or you can gain advice from mentors. Mentors are experienced individuals who can give you advice and guidance. In addition, you can get advice from the three different types of FTSE. FTSE stands for financial time?s stock exchange. If a business is considering expansion they can make use of FTSE to see what company to invest in. FTSE 100 index is an index of the share prices of the 100 largest companies. FTSE 250 index is an index of medium-capitalized companies not included in the FTSE 100 Index. It starts from the 101st to the 350th company listed on the London Stock Exchange. Lastly, there is FTSE 350 index which is a market capitalisation weighted stock market index incorporating the largest 350 companies by capitalisation which have their primary listing on the London Stock Exchange. Another way to expand is to use public equity. This is capital raised from the owners that can be invested in a public limited company. ...read more.


Using this service means you can get the money straight away but they charge a fee to use it. Financial support is available for businesses that are trading internationally. One type of support is forward foreign exchange. This is an agreement to purchase or sell an amount of foreign currency at a future date at a predetermined price. Or use spot foreign exchange which is a contract to exchange two currencies at an exchange rate agreed today. Then there is derivative which is an agreement between two parties that has a value, based on expected future price movements of the asset to which it is linked-called the underlying asset such as a share or currency. Examples are currency options and financial futures. Furthermore, there is currency options. This gives the owner the option the right to buy or sell the indicated amount of foreign currency at a specified price before a specific date. Lastly, there are financial futures which is contract to buy or sell a financial instruments (treasury bills, certificates of deposit and foreign currency) at a specific future date and at a specified price. In conclusion, if the entrepreneur thinks carefully about when and how they will expand they will be successful. They can also gain extra help from institutions in which provide specific help tailored to them and can pick the best finance to help them achieve the expansion. ...read more.

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