• Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

Forms Of Finance.

Extracts from this document...


There are a number of finances available for different people and many different things etc. weather it is a housing development are a factory unit you will still be required to sort out a form of finance to construct the building. Buildings are expensive to erect the way they must be built and constructed different people require different things weather it is expensive are not. A Public house is the most expensive house and if you build a replica house it will be the least expensive to erect out of the two. Very few clients would have the total cash available to construct a building. The alternative is PFI which is a system by the government and which enables a contractor erecting a building to his design and the government pays rent over 25-30 years. ...read more.


there is a limit to the amount you can take out for instance for every �100 you have in the credit union you can take out �1000. Medium term loans- Used for buying equipment, renovations etc. up to �50,000 over 3 years. You would approach a bank for a loan-usually paid back monthly which is called a term loan. Same amount every month and pay a bit of capital and less interest. Higher purchase: for equipment, machinery etc. Using the purchased item as security and if you stop paying they take the item back off you again. You would have equal payments weekly or monthly it would be arranged by the supplier. The repayments are worked out something similar to a loan, very high interest approx 18%. ...read more.


Company has a valuation of �100 million (shares worth �1 each on market) has a rights issue allowing share holders to buy a shares at 95p. A private can also go public it can float on the stock market. Venture capital- there are some tax incentives investing in new companies, often the people investing in the companies are called venture capitals. They are either wealthy individuals are companies who gain a share holding in return for investing money. Grants are sometimes available- they are available from centre of local government to help industrial developments. Grants are often given to build or to put up buildings in certain areas e.g. inner-city. As an alternative cheap loans would also be available with a reduced rate. Taxation- governments can help business by reducing tax provided that they are helping to reduce unemployment in some case. ...read more.

The above preview is unformatted text

This student written piece of work is one of many that can be found in our GCSE Economy & Economics section.

Found what you're looking for?

  • Start learning 29% faster today
  • 150,000+ documents available
  • Just £6.99 a month

Not the one? Search for your essay title...
  • Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

See related essaysSee related essays

Related GCSE Economy & Economics essays

  1. Toyota Motor Company Limited

    all level of competitive activity to such an extent that any price reduction or new product introduction is now quickly followed by similar moves from other car manufacturing companies. The same is true of prices in the U.S. computer industry.

  2. Bellway Plc is a holding company with subsidiaries; its main subsidiary company is Bellway ...

    Builders are also experiencing an increase in the transportation of materials from manufacturing regions to building sites. Land owner have a huge baring power over land supplies, as there is a scarce supply of land available for development. There may be future issue over the supply of wood due to

  1. Marketing Plan: Handywares Plc.

    It is especially important for a countries such as Hungary, Poland and China who can benefit from the expertise of more experienced member countries. Long-Term Growth prospect As we can see from the statistics* Hungary's economic growth has been steadily increasing since 1989 and is set to increase at an alarming rate in the future.

  2. The un-utopian issue

    to re-allocate the unemployed workers this policy could work and reduce scarcity. d) Sometimes planned economies resort to rationing, especially if the country is at war. The most commonly used system is the rationing coupons. By doing this, the government can easily estimate the amount needed and the amount that each person gets.

  1. Sources of Finance.

    The market decides what will be produced. This means that resources are used efficiently, but the wealthiest members of society determine production decisions. There will be little or no provision of goods and services for vulnerable members of society. Mixed Economy In a mixed economy, some production decisions are made by government and others by the market.

  2. Banking and International Finance.

    Additionally, he implies that fundamentalists are dim-witted as they only 'thinks that earnings...' rather than being sure of what can happen. This creates the impression that Rothchilds definitions take an informal approach. Rothchilds definition of risk arbitrage is 'investing in obvious takeover situations for maximum gain with minimum risk; taking

  • Over 160,000 pieces
    of student written work
  • Annotated by
    experienced teachers
  • Ideas and feedback to
    improve your own work