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DBA 403: Etrepreneurship Skills Notes
| Institution | South Eastern kenya University |
| Course | Bachelor of Acturial... |
| Year | 4th Year |
| Semester | Unknown |
| Posted By | Mark |
| File Type | |
| Pages | 9 Pages |
| File Size | 108.34 KB |
| Views | 1430 |
| Downloads | 0 |
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Description
FINDING SOURCES OF FINANCING
Three basic types of financing can be identified. These are:
1. Profit retention: This is an approach where cash is not withdrawn in form of
dividends but instead uses the cash to finance the business.
2. Spontaneous financing: This is financing arising from increased sales. A such,
there income to buy more inventories and suppliers can extend credits when they
realize there is good business.
3. External financing: This comes from outside investors. The investors include
creditors, equity investors or owner piping more finance in business.
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